XTX Topco Ltd Invests $1.95 Million in Dollar Tree, Inc. (NASDAQ:DLTR)

Key Points

• XTX Topco Ltd acquired 25,929 shares of Dollar Tree, Inc. for approximately $1.95 million during the first quarter, signaling increased institutional interest in the company.
• Dollar Tree reported earnings of $1.26 per share and a revenue of $4.64 billion for the previous quarter, surpassing analyst estimates.
• The company has initiated a $2.5 billion stock buyback plan, indicating confidence in the valuation of its shares as they plan to repurchase up to 11.5% of their stock.

XTX Topco Ltd acquired a new position in Dollar Tree, Inc. (NASDAQ:DLTR - Free Report) in the 1st quarter, according to the company in its most recent 13F filing with the SEC. The fund acquired 25,929 shares of the company's stock, valued at approximately $1,946,000.

Several other institutional investors have also recently bought and sold shares of DLTR. Bessemer Group Inc. grew its holdings in shares of Dollar Tree by 34,600.0% in the 4th quarter. Bessemer Group Inc. now owns 347 shares of the company's stock valued at $26,000 after buying an additional 346 shares during the period. Hurley Capital LLC acquired a new position in shares of Dollar Tree in the 4th quarter valued at $33,000. CX Institutional acquired a new position in Dollar Tree in the 1st quarter worth $43,000. Sentry Investment Management LLC acquired a new position in Dollar Tree in the 1st quarter worth $48,000. Finally, GeoWealth Management LLC acquired a new position in Dollar Tree in the 4th quarter worth $61,000. Institutional investors own 97.40% of the company's stock.

Dollar Tree Price Performance

DLTR stock traded up $1.17 during midday trading on Friday, reaching $114.72. The company had a trading volume of 3,154,117 shares, compared to its average volume of 3,065,441. The company has a debt-to-equity ratio of 0.62, a current ratio of 1.04 and a quick ratio of 0.72. Dollar Tree, Inc. has a 1 year low of $60.49 and a 1 year high of $115.99. The company has a market capitalization of $23.94 billion, a P/E ratio of -8.28, a P/E/G ratio of 2.46 and a beta of 0.88. The firm has a 50-day moving average price of $101.98 and a 200-day moving average price of $84.33.

Dollar Tree (NASDAQ:DLTR - Get Free Report) last posted its quarterly earnings results on Wednesday, June 4th. The company reported $1.26 EPS for the quarter, beating analysts' consensus estimates of $1.21 by $0.05. Dollar Tree had a negative net margin of 12.15% and a positive return on equity of 19.36%. The company had revenue of $4.64 billion during the quarter, compared to analyst estimates of $4.52 billion. During the same period in the prior year, the business posted $1.43 EPS. The firm's revenue was up 11.3% compared to the same quarter last year. On average, research analysts anticipate that Dollar Tree, Inc. will post 5.39 earnings per share for the current fiscal year.

Dollar Tree announced that its Board of Directors has initiated a stock repurchase plan on Wednesday, July 9th that allows the company to buyback $2.50 billion in shares. This buyback authorization allows the company to purchase up to 11.5% of its stock through open market purchases. Stock buyback plans are usually a sign that the company's management believes its stock is undervalued.

Analyst Upgrades and Downgrades

Several research analysts have weighed in on the stock. Citigroup raised shares of Dollar Tree from a "neutral" rating to a "buy" rating and increased their price target for the company from $76.00 to $103.00 in a report on Monday, April 7th. JPMorgan Chase & Co. raised their target price on shares of Dollar Tree from $111.00 to $138.00 and gave the company an "overweight" rating in a research report on Monday, July 21st. UBS Group raised their target price on shares of Dollar Tree from $95.00 to $108.00 and gave the company a "buy" rating in a research report on Thursday, May 29th. Sanford C. Bernstein set a $82.00 price target on shares of Dollar Tree and gave the company a "market perform" rating in a research note on Monday, May 5th. Finally, Bank of America lowered their target price on shares of Dollar Tree from $75.00 to $70.00 and set an "underperform" rating for the company in a research note on Tuesday, April 8th. Two research analysts have rated the stock with a sell rating, thirteen have given a hold rating and seven have assigned a buy rating to the company. According to data from MarketBeat, the stock has a consensus rating of "Hold" and an average target price of $97.74.

Insider Activity

In related news, CMO Richard L. Mcneely sold 21,026 shares of the stock in a transaction dated Friday, June 6th. The shares were sold at an average price of $94.62, for a total transaction of $1,989,480.12. Following the sale, the chief marketing officer directly owned 50,419 shares of the company's stock, valued at approximately $4,770,645.78. This represents a 29.43% decrease in their position. The sale was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. 6.60% of the stock is currently owned by insiders.

Dollar Tree Profile

Dollar Tree, Inc operates retail discount stores. The company operates in two segments, Dollar Tree and Family Dollar. The Dollar Tree segment offers merchandise at the fixed price of $ 1.25. It provides consumable merchandise, which includes everyday consumables, such as household paper and chemicals, food, candy, health, personal care products, and frozen and refrigerated food; variety merchandise comprising toys, durable housewares, gifts, stationery, party goods, greeting cards, softlines, arts and crafts supplies, and other items; and seasonal goods that include Christmas, Easter, Halloween, and Valentine's Day merchandise.