Analysts Set Expectations for Dollar General Q1 Earnings

Key Points

• Rothschild & Co Redburn trimmed its Q1 EPS forecast for Dollar General to $1.88 from $1.91, while keeping a Sell rating and a $90 price target. The firm also left its view well below the stock’s current trading level.
• Longer-term earnings expectations were raised, with Redburn boosting FY2027, FY2028, and FY2029 EPS estimates, suggesting improving profitability over time despite the cautious near-term stance.
• Wall Street remains split but cautious overall: Dollar General has an average Hold rating and an average price target of about $139.96, even after posting a better-than-expected last quarter and paying a $0.59 quarterly dividend.

Dollar General Corporation (NYSE:DG - Free Report) - Equities researchers at Rothschild & Co Redburn dropped their Q1 2027 EPS estimates for shares of Dollar General in a note issued to investors on Friday, May 22nd. Rothschild & Co Redburn analyst S. Hudson now forecasts that the company will post earnings of $1.88 per share for the quarter, down from their previous estimate of $1.91. Rothschild & Co Redburn currently has a "Sell" rating and a $90.00 price target on the stock. The consensus estimate for Dollar General's current full-year earnings is $7.27 per share. Rothschild & Co Redburn also issued estimates for Dollar General's Q2 2027 earnings at $1.97 EPS, Q3 2027 earnings at $1.33 EPS, Q4 2027 earnings at $1.95 EPS, FY2027 earnings at $7.12 EPS, Q1 2028 earnings at $1.86 EPS, Q2 2028 earnings at $1.97 EPS, Q3 2028 earnings at $1.31 EPS, Q4 2028 earnings at $2.01 EPS, FY2028 earnings at $7.16 EPS, Q1 2029 earnings at $1.93 EPS and FY2029 earnings at $7.38 EPS.

DG has been the topic of a number of other reports. Weiss Ratings reissued a "hold (c)" rating on shares of Dollar General in a report on Friday, April 10th. Truist Financial reduced their target price on shares of Dollar General from $139.00 to $109.00 and set a "hold" rating on the stock in a report on Wednesday. Wolfe Research reissued an "outperform" rating and set a $165.00 target price on shares of Dollar General in a report on Thursday, March 12th. Wall Street Zen lowered shares of Dollar General from a "buy" rating to a "hold" rating in a report on Saturday, April 4th. Finally, Barclays restated an "overweight" rating on shares of Dollar General in a research report on Thursday, March 12th. Twelve investment analysts have rated the stock with a Buy rating, sixteen have issued a Hold rating and one has given a Sell rating to the company's stock. According to data from MarketBeat, Dollar General currently has an average rating of "Hold" and an average price target of $139.96.

Dollar General Trading Up 0.9%

DG opened at $104.52 on Thursday. Dollar General has a fifty-two week low of $95.11 and a fifty-two week high of $158.23. The company has a debt-to-equity ratio of 0.54, a current ratio of 1.13 and a quick ratio of 0.22. The firm has a market capitalization of $23.02 billion, a price-to-earnings ratio of 15.26, a PEG ratio of 1.68 and a beta of 0.28. The company's 50 day moving average price is $116.22 and its two-hundred day moving average price is $128.53.

Dollar General (NYSE:DG - Get Free Report) last posted its earnings results on Thursday, March 12th. The company reported $1.93 earnings per share for the quarter, topping analysts' consensus estimates of $1.57 by $0.36. Dollar General had a net margin of 3.54% and a return on equity of 18.66%. The firm had revenue of $10.91 billion for the quarter, compared to analyst estimates of $10.78 billion. During the same period in the previous year, the firm posted $0.87 EPS. The company's revenue for the quarter was up 5.9% compared to the same quarter last year. Dollar General has set its FY 2026 guidance at 7.100-7.35 EPS.

Dollar General Dividend Announcement

The business also recently announced a quarterly dividend, which was paid on Tuesday, April 21st. Investors of record on Tuesday, April 7th were given a dividend of $0.59 per share. This represents a $2.36 dividend on an annualized basis and a dividend yield of 2.3%. The ex-dividend date was Tuesday, April 7th. Dollar General's payout ratio is presently 34.45%.

Institutional Inflows and Outflows

A number of institutional investors have recently modified their holdings of the stock. Summitry LLC lifted its position in shares of Dollar General by 5.5% during the 1st quarter. Summitry LLC now owns 8,654 shares of the company's stock valued at $1,027,000 after acquiring an additional 454 shares during the period. Vestor Capital LLC lifted its position in shares of Dollar General by 663.8% during the 1st quarter. Vestor Capital LLC now owns 28,979 shares of the company's stock valued at $3,441,000 after acquiring an additional 25,185 shares during the period. Western Wealth Management LLC acquired a new position in shares of Dollar General during the 1st quarter valued at $396,000. NewEdge Advisors LLC lifted its position in shares of Dollar General by 12.3% during the 1st quarter. NewEdge Advisors LLC now owns 70,427 shares of the company's stock valued at $8,362,000 after acquiring an additional 7,702 shares during the period. Finally, Kentucky Retirement Systems lifted its position in shares of Dollar General by 76.4% during the 1st quarter. Kentucky Retirement Systems now owns 24,325 shares of the company's stock valued at $2,888,000 after acquiring an additional 10,534 shares during the period. Institutional investors and hedge funds own 91.77% of the company's stock.

More Dollar General News

Here are the key news stories impacting Dollar General this week:

• Positive Sentiment: Rothschild & Co Redburn raised several longer-term earnings forecasts for Dollar General, including FY2027 EPS to $7.12 from $7.01, FY2028 EPS to $7.16 from $6.91, and FY2029 EPS to $7.38 from $6.92, suggesting improved profitability expectations over time. Article Title
• Positive Sentiment: The same analyst also nudged up near-term estimates for Q1 2028, Q2 2028, and Q4 2028 EPS, signaling some confidence in Dollar General’s earnings trajectory despite maintaining a Sell rating and a $90 target. Article Title
• Neutral Sentiment: UBS said Dollar General is likely to meet expectations for about 2% comparable sales growth in Q1, which could reduce the risk of a major earnings surprise but does not by itself point to a strong upside catalyst. Article Title
• Neutral Sentiment: The company also has a CEO transition planned, with Jerry W. “JJ” Fleeman Jr. set to become CEO on January 1, 2027, which gives investors visibility but adds a governance/transition backdrop. Article Title
• Negative Sentiment: Rothschild & Co Redburn kept a Sell rating and $90 price target, well below Dollar General’s current share level, reinforcing a cautious stance from at least one analyst. Article Title
• Negative Sentiment: Investor concern around labor practices, workplace safety, and a shareholder proposal on a human rights policy is creating a governance overhang ahead of the annual meeting. Article Title
• Negative Sentiment: Separate market commentary noted DG has been sliding as investors reduce risk ahead of its June 2 earnings release, and Truist also cut its price target to $109 from $139 while keeping a Hold rating. Article Title

Dollar General Company Profile

Dollar General Corporation is a U.S.-based variety and discount retailer operating a large network of small-format stores that serve primarily rural and suburban communities. The company is publicly traded on the New York Stock Exchange under the ticker DG and is headquartered in the Nashville/Goodlettsville, Tennessee area. Founded in 1939, Dollar General has grown from a regional operation into one of the nation's prominent low-price retailers focused on convenience and value.

Dollar General's stores offer a wide assortment of everyday consumables and household goods, including food and beverage items, cleaning supplies, health and beauty products, paper goods, apparel basics, seasonal merchandise and small household items.

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