Dillard's (NYSE:DDS) Issues Earnings Results

Key Points

• Dillard’s reported quarterly EPS of $6.25, surpassing the $4.29 analyst consensus by $1.96. Profitability remained strong, with a 10.09% net margin and 31.43% return on equity, partly helped by tariff refunds.
• Despite the earnings beat, shares fell 3.8% to $611.80, as sales were broadly in line with estimates and investors questioned whether tariff-related margin benefits will recur.
• The company paid a quarterly dividend of $0.30, while analyst sentiment remained cautious: Dillard’s carries a consensus “Reduce” rating and an average price target of $521.33.

Dillard's (NYSE:DDS - Get Free Report) issued its quarterly earnings data on Thursday. The company reported $6.25 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $4.29 by $1.96, Zacks reports. Dillard's had a return on equity of 31.43% and a net margin of 10.09%.

Dillard's Trading Down 3.8%

DDS stock traded down $24.22 during midday trading on Thursday, reaching $611.80. The company's stock had a trading volume of 118,359 shares, compared to its average volume of 127,408. The company has a debt-to-equity ratio of 0.21, a quick ratio of 1.20 and a current ratio of 2.37. The stock has a fifty day simple moving average of $573.24 and a two-hundred day simple moving average of $587.69. Dillard's has a 1 year low of $487.74 and a 1 year high of $741.97. The firm has a market capitalization of $9.56 billion, a price-to-earnings ratio of 14.55 and a beta of 1.15.

Dillard's Announces Dividend

The firm also recently disclosed a quarterly dividend, which was paid on Monday, August 3rd. Shareholders of record on Tuesday, June 30th were given a $0.30 dividend. This represents a $1.20 annualized dividend and a yield of 0.2%. The ex-dividend date of this dividend was Tuesday, June 30th. Dillard's's dividend payout ratio is 2.85%.

Insider Activity

In other news, Director J C. Watts, Jr. sold 400 shares of the business's stock in a transaction on Friday, June 5th. The shares were sold at an average price of $609.18, for a total transaction of $243,672.00. Following the completion of the sale, the director directly owned 10,150 shares of the company's stock, valued at approximately $6,183,177. The trade was a 3.79% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Corporate insiders own 34.80% of the company's stock.

Institutional Investors Weigh In On Dillard's

Large investors have recently added to or reduced their stakes in the stock. Invesco Ltd. grew its stake in Dillard's by 40.9% in the fourth quarter. Invesco Ltd. now owns 18,851 shares of the company's stock worth $11,430,000 after purchasing an additional 5,473 shares in the last quarter. Corient Private Wealth LLC lifted its holdings in shares of Dillard's by 63.4% in the 4th quarter. Corient Private Wealth LLC now owns 1,268 shares of the company's stock worth $769,000 after buying an additional 492 shares during the period. Mercer Global Advisors Inc. ADV lifted its holdings in shares of Dillard's by 42.6% in the 4th quarter. Mercer Global Advisors Inc. ADV now owns 1,278 shares of the company's stock worth $775,000 after buying an additional 382 shares during the period. XTX Topco Ltd bought a new position in shares of Dillard's during the 4th quarter worth $729,000. Finally, SummitTX Capital L.P. increased its stake in shares of Dillard's by 1.6% during the fourth quarter. SummitTX Capital L.P. now owns 2,856 shares of the company's stock valued at $1,732,000 after buying an additional 45 shares during the period. 67.15% of the stock is owned by hedge funds and other institutional investors.

Key Dillard's News

Here are the key news stories impacting Dillard's this week:

• Positive Sentiment: Second-quarter earnings were $6.25 per share, well above the Zacks consensus estimate of $4.04 and the $4.66 reported a year earlier. Another estimate placed consensus at $4.29, still implying a significant beat. Dillard's Beats Q2 Earnings Estimates
• Positive Sentiment: The company reported a 10.09% net margin and 31.43% return on equity, indicating strong profitability. Reports attributed part of the margin benefit to tariff refunds, which helped offset cost pressures. Dillard's Q2 Profit Beats Forecasts
• Neutral Sentiment: Dillard’s released results for the 13 and 26 weeks ended August 1, 2026. Investors are assessing the detailed operating metrics, including how sales, margins and other key measures compared with Wall Street forecasts and year-ago levels. Dillard's Q2 Key Metrics Versus Estimates
• Negative Sentiment: Quarterly sales were reported as broadly in line with estimates, rather than materially exceeding them. That may have limited enthusiasm around the earnings beat, particularly because the margin boost benefited from tariff refunds that may not recur. Dillard's Sales In Line With Estimates

Analyst Upgrades and Downgrades

DDS has been the topic of several analyst reports. UBS Group boosted their target price on Dillard's from $460.00 to $465.00 and gave the company a "sell" rating in a research report on Wednesday, May 6th. Wall Street Zen lowered shares of Dillard's from a "buy" rating to a "hold" rating in a research note on Monday, July 20th. Weiss Ratings cut shares of Dillard's from a "buy (b-)" rating to a "hold (c+)" rating in a research report on Tuesday, June 23rd. Finally, Zacks Research downgraded shares of Dillard's from a "strong-buy" rating to a "hold" rating in a research note on Monday, July 27th. Three research analysts have rated the stock with a Hold rating and two have assigned a Sell rating to the company. Based on data from MarketBeat, the stock presently has a consensus rating of "Reduce" and an average target price of $521.33.

Dillard's Company Profile

Dillard's, Inc NYSE: DDS, headquartered in Little Rock, Arkansas, is a U.S.-based department store chain founded by William T. Dillard in 1938. Over more than eight decades of operation, the company has grown from a single store in Nashville, Arkansas, to a prominent retailer with a national footprint. Dillard's equity is publicly traded on the New York Stock Exchange under the ticker DDS.

The company operates approximately 280 departmental stores across 29 states, offering a broad assortment of merchandise that includes men's and women's apparel, accessories, cosmetics, footwear, and home furnishings.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.

Continue following MarketBeat

Add MarketBeat as your preferred source on Google to see our latest stories in your feed.

Add As Preferred Source