Dollar Tree (NASDAQ:DLTR) Updates FY 2026 Earnings Guidance

Key Points

• Dollar Tree raised its FY 2026 outlook, guiding for EPS of $6.70 to $7.10 and revenue of $20.5 billion to $20.7 billion, both above Wall Street expectations.
• The company also beat Q1 earnings and revenue estimates, reporting EPS of $1.74 versus $1.53 expected and revenue of $4.98 billion versus $4.96 billion expected.
• Shares were up 17.9% after the update, while analysts’ sentiment remains mixed overall with an average Hold rating and an average price target of $117.95.

Dollar Tree (NASDAQ:DLTR - Get Free Report) updated its FY 2026 earnings guidance on Friday. The company provided EPS guidance of 6.700-7.100 for the period, compared to the consensus EPS estimate of 5.950. The company issued revenue guidance of $20.5 billion-$20.7 billion, compared to the consensus revenue estimate of $19.7 billion.

Analyst Ratings Changes

A number of equities research analysts have issued reports on DLTR shares. Guggenheim reiterated a "buy" rating and set a $130.00 price objective on shares of Dollar Tree in a research note on Tuesday, March 17th. Wall Street Zen lowered shares of Dollar Tree from a "buy" rating to a "hold" rating in a report on Sunday, April 19th. Citigroup reduced their target price on shares of Dollar Tree from $132.00 to $125.00 and set a "neutral" rating on the stock in a report on Tuesday, March 17th. Morgan Stanley reduced their target price on shares of Dollar Tree from $146.00 to $126.00 and set an "equal weight" rating on the stock in a report on Tuesday, March 17th. Finally, Truist Financial reduced their target price on shares of Dollar Tree from $142.00 to $107.00 and set a "buy" rating on the stock in a report on Wednesday. Eight investment analysts have rated the stock with a Buy rating, nine have issued a Hold rating and six have issued a Sell rating to the stock. According to MarketBeat.com, the stock presently has an average rating of "Hold" and an average price target of $117.95.

Dollar Tree Stock Up 17.9%

Dollar Tree stock opened at $113.00 on Friday. The company has a quick ratio of 0.29, a current ratio of 1.07 and a debt-to-equity ratio of 0.65. Dollar Tree has a 12-month low of $84.71 and a 12-month high of $142.40. The firm's fifty day moving average is $100.56 and its 200 day moving average is $114.00. The company has a market capitalization of $22.00 billion, a PE ratio of 18.08, a PEG ratio of 1.20 and a beta of 0.61.

Dollar Tree (NASDAQ:DLTR - Get Free Report) last released its earnings results on Thursday, May 28th. The company reported $1.74 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $1.53 by $0.21. Dollar Tree had a net margin of 6.61% and a return on equity of 32.24%. The company had revenue of $4.98 billion for the quarter, compared to the consensus estimate of $4.96 billion. During the same quarter in the previous year, the company earned $1.26 EPS. Dollar Tree's quarterly revenue was up 7.2% compared to the same quarter last year. Dollar Tree has set its Q2 2026 guidance at 1.000-1.150 EPS. As a group, sell-side analysts predict that Dollar Tree will post 6.72 EPS for the current fiscal year.

Key Stories Impacting Dollar Tree

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

• Positive Sentiment: Dollar Tree beat Q1 earnings expectations with adjusted EPS of $1.74 versus $1.53 expected, and revenue of $4.98 billion topped estimates, showing better-than-expected execution and resilient demand for low-price goods. Dollar Tree, Inc. Reports First Quarter Results
• Positive Sentiment: The company raised full-year fiscal 2026 EPS guidance to $6.70-$7.10, above consensus, and lifted Q2 guidance as well, signaling management confidence in margins and earnings momentum. Dollar Tree raises its annual profit forecast
• Positive Sentiment: Investors also liked commentary on margin gains from tighter execution, shrink control, lower freight costs, and stronger comparable sales, plus a new DoorDash delivery partnership that could expand convenience and traffic. Dollar Tree's Q1 Earnings Call Centers on Execution & Outlook
• Neutral Sentiment: Management said bargain-hunting remains strong as budget-conscious shoppers stretch spending, supporting the discount model, but traffic trends remain an area to watch. Dollar Tree’s sales top forecasts as fewer people are shopping but they’re spending more
• Neutral Sentiment: Some of the upside was tempered by caution around fuel costs, tariffs, and softer traffic, which could pressure margins if the macro environment worsens. Dollar Tree's Q1 Earnings Call Centers on Execution & Outlook

Institutional Inflows and Outflows

A number of institutional investors have recently modified their holdings of the stock. DV Equities LLC acquired a new position in Dollar Tree during the fourth quarter worth $32,000. Jessup Wealth Management Inc acquired a new position in Dollar Tree during the fourth quarter worth $50,000. MUFG Securities EMEA plc acquired a new position in Dollar Tree during the second quarter worth $58,000. Wexford Capital LP acquired a new position in Dollar Tree during the third quarter worth $92,000. Finally, Northwestern Mutual Wealth Management Co. raised its holdings in Dollar Tree by 33.7% during the third quarter. Northwestern Mutual Wealth Management Co. now owns 984 shares of the company's stock worth $93,000 after buying an additional 248 shares during the last quarter. Institutional investors and hedge funds own 97.40% of the company's stock.

Dollar Tree Company Profile

Dollar Tree, Inc is a North American discount retailer that operates a portfolio of value-oriented store banners, primarily Dollar Tree and Family Dollar. The company's stores offer a broad assortment of everyday items at low price points, including household essentials, food and snacks, health and beauty products, cleaning supplies, seasonal and party goods, home décor, and basic apparel. Dollar Tree's merchandising strategy emphasizes high-turnover branded and private-label merchandise tailored to budget-conscious consumers, with Family Dollar complementing the chain by offering a wider range of price points and assortment depth in smaller-format neighborhood locations.

Founded in 1986 and headquartered in Chesapeake, Virginia, Dollar Tree has grown through both organic store openings and acquisitions.

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