Dollar General (NYSE:DG) Stock Price Down 4.9% - Time to Sell?

Key Points

• Dollar General's stock price fell by 4.9% to $101.65, with a significant decrease in trading volume compared to its average.
• Several analysts have **raised their price targets** for the stock, with Bank of America setting the highest at $135.00 and the average consensus target now at $114.52.
• The company reported **strong quarterly earnings**, surpassing expectations with an EPS of $1.86 and setting a FY 2025 guidance of 5.800-6.300 EPS.

Dollar General Corporation (NYSE:DG - Get Free Report) traded down 4.9% during trading on Friday . The stock traded as low as $101.92 and last traded at $101.65. 2,217,809 shares were traded during trading, a decline of 40% from the average session volume of 3,691,595 shares. The stock had previously closed at $106.90.

Analyst Ratings Changes

A number of brokerages recently commented on DG. Piper Sandler boosted their target price on shares of Dollar General from $115.00 to $117.00 and gave the stock a "neutral" rating in a research note on Friday, August 29th. Raymond James Financial upped their price objective on Dollar General from $125.00 to $130.00 and gave the stock an "outperform" rating in a research report on Friday, August 29th. Citigroup upped their price objective on Dollar General from $101.00 to $112.00 and gave the stock a "neutral" rating in a research report on Wednesday, June 4th. Barclays upped their price target on Dollar General from $119.00 to $127.00 and gave the company an "overweight" rating in a report on Friday, August 29th. Finally, Wells Fargo & Company upped their price target on Dollar General from $105.00 to $115.00 and gave the company an "equal weight" rating in a report on Friday, August 29th. One equities research analyst has rated the stock with a Strong Buy rating, eleven have given a Buy rating and fifteen have given a Hold rating to the stock. Based on data from MarketBeat.com, the stock has an average rating of "Hold" and a consensus price target of $114.52.

Dollar General Price Performance

The company's 50 day moving average is $109.84 and its 200 day moving average is $101.59. The company has a debt-to-equity ratio of 0.71, a current ratio of 1.25 and a quick ratio of 0.27. The stock has a market cap of $22.47 billion, a price-to-earnings ratio of 18.91, a PEG ratio of 2.15 and a beta of 0.29.

Dollar General (NYSE:DG - Get Free Report) last issued its quarterly earnings data on Thursday, August 28th. The company reported $1.86 earnings per share (EPS) for the quarter, topping the consensus estimate of $1.56 by $0.30. The firm had revenue of $10.73 billion during the quarter, compared to analysts' expectations of $10.68 billion. Dollar General had a return on equity of 17.97% and a net margin of 2.86%.Dollar General's revenue was up 5.1% on a year-over-year basis. During the same period in the previous year, the firm posted $1.70 earnings per share. Dollar General has set its FY 2025 guidance at 5.800-6.300 EPS. Research analysts forecast that Dollar General Corporation will post 5.75 earnings per share for the current fiscal year.

Dollar General Dividend Announcement

The business also recently disclosed a quarterly dividend, which will be paid on Tuesday, October 21st. Investors of record on Tuesday, October 7th will be given a dividend of $0.59 per share. This represents a $2.36 annualized dividend and a dividend yield of 2.3%. The ex-dividend date is Tuesday, October 7th. Dollar General's payout ratio is currently 43.70%.

Institutional Inflows and Outflows

Several institutional investors have recently added to or reduced their stakes in DG. Elevation Point Wealth Partners LLC acquired a new position in shares of Dollar General in the second quarter valued at approximately $25,000. Atlantic Union Bankshares Corp acquired a new position in Dollar General in the 2nd quarter valued at $26,000. Ameriflex Group Inc. acquired a new position in Dollar General in the fourth quarter valued at $31,000. Hantz Financial Services Inc. increased its stake in Dollar General by 46.8% in the second quarter. Hantz Financial Services Inc. now owns 439 shares of the company's stock valued at $50,000 after purchasing an additional 140 shares during the last quarter. Finally, MTM Investment Management LLC acquired a new position in Dollar General in the second quarter valued at $51,000. Institutional investors and hedge funds own 91.77% of the company's stock.

About Dollar General

Dollar General Corporation, a discount retailer, provides various merchandise products in the southern, southwestern, midwestern, and eastern United States. It offers consumable products, including paper and cleaning products, such as paper towels, bath tissues, paper dinnerware, trash and storage bags, disinfectants, and laundry products; packaged food comprising cereals, pasta, canned soups, fruits and vegetables, condiments, spices, sugar, and flour; and perishables that include milk, eggs, bread, refrigerated and frozen food, beer, and wine.