Adams Diversified Equity Fund Inc. Takes $18.38 Million Position in Dollar General Corporation $DG

Key Points

• Adams Diversified Equity Fund opened a new position in Dollar General, buying 138,400 shares worth about $18.4 million in the fourth quarter.
• Dollar General reported better-than-expected quarterly earnings of $2.00 per share, topping estimates, while revenue rose 3.4% year over year to $10.79 billion.
• Despite the earnings beat, several analysts cut price targets on DG and the stock’s consensus rating remains Hold with an average price target of $131.27.

Adams Diversified Equity Fund Inc. acquired a new stake in shares of Dollar General Corporation (NYSE:DG - Free Report) in the fourth quarter, according to its most recent filing with the Securities and Exchange Commission (SEC). The firm acquired 138,400 shares of the company's stock, valued at approximately $18,375,000. Adams Diversified Equity Fund Inc. owned about 0.06% of Dollar General at the end of the most recent reporting period.

A number of other hedge funds have also recently made changes to their positions in the business. Atlas Capital Advisors Inc. acquired a new position in shares of Dollar General during the fourth quarter valued at about $160,000. Aptus Capital Advisors LLC grew its holdings in shares of Dollar General by 16.7% during the fourth quarter. Aptus Capital Advisors LLC now owns 13,131 shares of the company's stock valued at $1,743,000 after buying an additional 1,880 shares during the last quarter. FORA Capital LLC grew its holdings in shares of Dollar General by 906.3% during the fourth quarter. FORA Capital LLC now owns 48,585 shares of the company's stock valued at $6,451,000 after buying an additional 43,757 shares during the last quarter. CreativeOne Wealth LLC grew its holdings in shares of Dollar General by 151.1% during the fourth quarter. CreativeOne Wealth LLC now owns 22,854 shares of the company's stock valued at $3,034,000 after buying an additional 13,754 shares during the last quarter. Finally, Transamerica Financial Advisors LLC lifted its position in shares of Dollar General by 42.5% during the fourth quarter. Transamerica Financial Advisors LLC now owns 1,488 shares of the company's stock valued at $198,000 after purchasing an additional 444 shares in the last quarter. 91.77% of the stock is currently owned by institutional investors and hedge funds.

Dollar General Stock Performance

NYSE DG opened at $114.90 on Friday. The company's 50 day moving average is $113.17 and its 200-day moving average is $128.89. Dollar General Corporation has a 12-month low of $95.11 and a 12-month high of $158.23. The company has a quick ratio of 0.25, a current ratio of 1.17 and a debt-to-equity ratio of 0.52. The firm has a market cap of $25.35 billion, a P/E ratio of 16.25, a price-to-earnings-growth ratio of 1.75 and a beta of 0.26.

Dollar General (NYSE:DG - Get Free Report) last posted its quarterly earnings results on Tuesday, June 2nd. The company reported $2.00 earnings per share (EPS) for the quarter, beating the consensus estimate of $1.89 by $0.11. Dollar General had a net margin of 3.63% and a return on equity of 18.65%. The company had revenue of $10.79 billion for the quarter, compared to analyst estimates of $10.81 billion. During the same quarter in the previous year, the firm posted $1.78 earnings per share. The company's quarterly revenue was up 3.4% compared to the same quarter last year. Dollar General has set its FY 2026 guidance at 7.200-7.450 EPS. Sell-side analysts predict that Dollar General Corporation will post 7.38 earnings per share for the current year.

Dollar General Dividend Announcement

The company also recently disclosed a quarterly dividend, which will be paid on Tuesday, July 21st. Investors of record on Tuesday, July 7th will be paid a dividend of $0.59 per share. The ex-dividend date of this dividend is Tuesday, July 7th. This represents a $2.36 annualized dividend and a yield of 2.1%. Dollar General's payout ratio is currently 33.38%.

Wall Street Analyst Weigh In

A number of research analysts recently weighed in on DG shares. Telsey Advisory Group dropped their price target on shares of Dollar General from $140.00 to $125.00 and set a "market perform" rating on the stock in a research report on Wednesday, June 3rd. Morgan Stanley dropped their price target on shares of Dollar General from $150.00 to $132.00 and set an "equal weight" rating on the stock in a research report on Wednesday, June 3rd. Piper Sandler dropped their price target on shares of Dollar General from $133.00 to $118.00 and set a "neutral" rating on the stock in a research report on Wednesday, June 3rd. The Goldman Sachs Group dropped their price target on shares of Dollar General from $130.00 to $128.00 and set a "neutral" rating on the stock in a research report on Wednesday, June 3rd. Finally, Evercore dropped their price target on shares of Dollar General from $145.00 to $140.00 in a research report on Wednesday, June 3rd. Ten analysts have rated the stock with a Buy rating, eighteen have assigned a Hold rating and one has issued a Sell rating to the company's stock. Based on data from MarketBeat, the company currently has a consensus rating of "Hold" and an average price target of $131.27.

Dollar General News Summary

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

• Positive Sentiment: Multiple analysts raised longer-term earnings estimates for Dollar General, signaling improved profit expectations and supporting the stock’s outlook.
• Positive Sentiment: Wolfe Research reiterated an Outperform rating and a $165 price target, reflecting a constructive view on the shares.
• Positive Sentiment: Coverage emphasized Dollar General’s appeal as a defensive retailer as consumers trade down amid inflation and economic uncertainty. Article Title
• Neutral Sentiment: Technical commentary says the stock is trying to stage a short-term turnaround after finding support near the $100 level, but the broader technical picture is still weak. Article Title
• Neutral Sentiment: Dollar General announced officer appointments and a charitable donation to the American Red Cross, which are positive corporate updates but likely limited near-term stock impact. Article Title

Dollar General 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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