Assenagon Asset Management S.A. Raises Stock Holdings in Dollar Tree, Inc. $DLTR

Key Points

• Assenagon Asset Management S.A. increased its stake in Dollar Tree, Inc. by 57.3%, owning approximately 765,376 shares valued at about $75.8 million as of the latest filing.
• Dollar Tree reported earnings of $0.77 per share for the latest quarter, surpassing analyst expectations, with revenue reaching $4.57 billion.
• The company has initiated a $2.5 billion share buyback plan, indicating management's belief that the stock is undervalued.

Assenagon Asset Management S.A. lifted its stake in shares of Dollar Tree, Inc. (NASDAQ:DLTR - Free Report) by 57.3% in the 2nd quarter, according to the company in its most recent filing with the Securities & Exchange Commission. The firm owned 765,376 shares of the company's stock after buying an additional 278,658 shares during the quarter. Assenagon Asset Management S.A. owned about 0.37% of Dollar Tree worth $75,803,000 as of its most recent filing with the Securities & Exchange Commission.

Several other large investors also recently modified their holdings of DLTR. Price T Rowe Associates Inc. MD grew its position in shares of Dollar Tree by 69.6% during the 1st quarter. Price T Rowe Associates Inc. MD now owns 5,848,196 shares of the company's stock worth $439,025,000 after buying an additional 2,400,586 shares during the period. Alyeska Investment Group L.P. grew its position in Dollar Tree by 1,055.1% in the 1st quarter. Alyeska Investment Group L.P. now owns 2,322,189 shares of the company's stock valued at $174,327,000 after purchasing an additional 2,121,149 shares during the period. EdgePoint Investment Group Inc. boosted its holdings in Dollar Tree by 21.4% during the 1st quarter. EdgePoint Investment Group Inc. now owns 9,641,507 shares of the company's stock worth $723,788,000 after acquiring an additional 1,701,344 shares during the last quarter. Maverick Capital Ltd. bought a new stake in Dollar Tree in the 1st quarter valued at about $69,890,000. Finally, Alliancebernstein L.P. grew its holdings in shares of Dollar Tree by 155.1% during the first quarter. Alliancebernstein L.P. now owns 1,353,050 shares of the company's stock worth $101,573,000 after purchasing an additional 822,694 shares in the last quarter. Institutional investors and hedge funds own 97.40% of the company's stock.

Dollar Tree Trading Down 0.2%

DLTR traded down $0.22 during trading hours on Tuesday, reaching $94.26. 1,702,165 shares of the company's stock traded hands, compared to its average volume of 4,233,419. The company has a quick ratio of 0.27, a current ratio of 1.04 and a debt-to-equity ratio of 0.67. The firm has a 50-day moving average price of $108.87 and a 200 day moving average price of $93.24. The firm has a market capitalization of $19.23 billion, a PE ratio of -6.95, a PEG ratio of 1.73 and a beta of 0.89. Dollar Tree, Inc. has a 52-week low of $60.49 and a 52-week high of $118.06.

Dollar Tree (NASDAQ:DLTR - Get Free Report) last issued its earnings results on Wednesday, September 3rd. The company reported $0.77 earnings per share for the quarter, beating analysts' consensus estimates of $0.38 by $0.39. The business had revenue of $4.57 billion during the quarter, compared to analyst estimates of $4.46 billion. Dollar Tree had a positive return on equity of 23.52% and a negative net margin of 13.46%.Dollar Tree's revenue was up 12.3% on a year-over-year basis. During the same period in the previous year, the company posted $0.67 EPS. Dollar Tree has set its FY 2025 guidance at 5.320-5.720 EPS. As a group, sell-side analysts predict that Dollar Tree, Inc. will post 5.39 EPS for the current fiscal year.

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

Wall Street Analysts Forecast Growth

Several brokerages have issued reports on DLTR. The Goldman Sachs Group lowered Dollar Tree from a "strong-buy" rating to a "strong sell" rating in a research note on Thursday, June 5th. Evercore ISI decreased their target price on Dollar Tree from $108.00 to $105.00 and set an "in-line" rating for the company in a report on Tuesday. Guggenheim decreased their target price on Dollar Tree from $130.00 to $125.00 and set a "buy" rating for the company in a report on Monday, September 8th. Wolfe Research assumed coverage on Dollar Tree in a report on Thursday, September 18th. They issued a "peer perform" rating for the company. Finally, Piper Sandler dropped their target price on Dollar Tree from $112.00 to $108.00 and set a "neutral" rating on the stock in a research report on Thursday, September 4th. Eight investment analysts have rated the stock with a Buy rating, eleven have given a Hold rating and three have issued a Sell rating to the company. According to data from MarketBeat, the company presently has a consensus rating of "Hold" and an average target price of $111.29.

Insider Activity at Dollar Tree

In other news, Director Stephanie Stahl sold 1,185 shares of the business's stock in a transaction on Friday, September 5th. The stock was sold at an average price of $100.32, for a total value of $118,879.20. Following the completion of the transaction, the director directly owned 4,089 shares of the company's stock, valued at approximately $410,208.48. The trade was a 22.47% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is accessible through this link. Insiders own 6.60% of the company's stock.

About Dollar Tree

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.