Bank of America Corp DE Makes New $109.47 Million Investment in Dollar Tree, Inc. $DLTR

Key Points

• Bank of America acquired 905,120 Dollar Tree shares worth approximately $109.5 million, giving it a 0.47% stake. Institutional investors collectively own 97.4% of the company.
• Dollar Tree reported strong quarterly results, with EPS of $2.70 versus the $1.15 analyst estimate and revenue of $4.89 billion, up 7% year over year. The company also authorized a $2.5 billion share-buyback program covering up to 10.7% of outstanding shares.
• Analyst sentiment remains mixed: 11 firms rate the stock a Buy, 12 Hold and 2 Sell, producing a consensus Hold rating and an average price target of $131.68.

Bank of America Corp DE acquired a new stake in Dollar Tree, Inc. (NASDAQ:DLTR - Free Report) in the 2nd quarter, according to its most recent disclosure with the SEC. The fund acquired 905,120 shares of the company's stock, valued at approximately $109,474,000. Bank of America Corp DE owned approximately 0.47% of Dollar Tree at the end of the most recent reporting period.

Other institutional investors have also recently modified their holdings of the company. BlackRock Inc. bought a new stake in shares of Dollar Tree during the 2nd quarter worth approximately $2,643,741,000. Pzena Investment Management LLC bought a new position in Dollar Tree in the second quarter valued at approximately $1,176,661,000. Primecap Management Co. CA bought a new position in Dollar Tree in the second quarter valued at approximately $455,845,000. Norges Bank acquired a new position in Dollar Tree during the fourth quarter valued at approximately $260,858,000. Finally, Caisse de depot et placement du Quebec acquired a new position in Dollar Tree during the second quarter valued at approximately $205,631,000. 97.40% of the stock is currently owned by institutional investors.

Analyst Ratings Changes

A number of brokerages have weighed in on DLTR. BMO Capital Markets reaffirmed a "market perform" rating and issued a $135.00 target price on shares of Dollar Tree in a report on Friday, August 28th. BNP Paribas Exane boosted their price target on Dollar Tree from $88.00 to $98.00 and gave the stock an "underperform" rating in a report on Friday, May 29th. Wells Fargo & Company upped their price objective on Dollar Tree from $145.00 to $155.00 and gave the stock an "overweight" rating in a research report on Monday, August 17th. Morgan Stanley raised their price objective on Dollar Tree from $130.00 to $145.00 and gave the company an "equal weight" rating in a research note on Friday, August 28th. Finally, Truist Financial lifted their target price on Dollar Tree from $136.00 to $138.00 and gave the company a "buy" rating in a research report on Tuesday, August 25th. Eleven investment analysts have rated the stock with a Buy rating, twelve have given a Hold rating and two have issued a Sell rating to the company's stock. Based on data from MarketBeat, the stock presently has a consensus rating of "Hold" and a consensus target price of $131.68.

Dollar Tree Price Performance

Shares of DLTR opened at $111.96 on Friday. The company has a quick ratio of 0.39, a current ratio of 1.13 and a debt-to-equity ratio of 0.86. The business's fifty day moving average is $126.41 and its 200 day moving average is $114.15. The stock has a market cap of $21.01 billion, a P/E ratio of 13.67, a P/E/G ratio of 1.06 and a beta of 0.66. Dollar Tree, Inc. has a 12-month low of $84.71 and a 12-month high of $142.40.

Dollar Tree (NASDAQ:DLTR - Get Free Report) last announced its earnings results on Thursday, August 27th. The company reported $2.70 earnings per share for the quarter, topping analysts' consensus estimates of $1.15 by $1.55. Dollar Tree had a return on equity of 38.61% and a net margin of 8.03%.The firm had revenue of $4.89 billion for the quarter, compared to the consensus estimate of $4.86 billion. During the same quarter in the previous year, the business earned $0.77 EPS. The company's revenue was up 7.0% compared to the same quarter last year. Dollar Tree has set its Q3 2026 guidance at 0.800-0.950 EPS and its FY 2026 guidance at 7.700-8.050 EPS. Sell-side analysts anticipate that Dollar Tree, Inc. will post 7.95 earnings per share for the current fiscal year.

Dollar Tree announced that its Board of Directors has approved a share buyback plan on Thursday, July 2nd that allows the company to buyback $2.50 billion in outstanding shares. This buyback authorization allows the company to purchase up to 10.7% of its stock through open market purchases. Stock buyback plans are generally a sign that the company's management believes its stock is undervalued.

Insider Buying and Selling

In related news, Director Stephanie Stahl sold 1,185 shares of Dollar Tree stock in a transaction dated Friday, September 4th. The stock was sold at an average price of $131.47, for a total value of $155,791.95. Following the completion of the sale, the director owned 4,089 shares of the company's stock, valued at approximately $537,580.83. This trade represents a 22.47% decrease in their position. The sale was disclosed in a legal filing with the SEC, which can be accessed through this hyperlink. Also, insider Robert Aflatooni sold 2,500 shares of the business's stock in a transaction dated Monday, August 31st. The shares were sold at an average price of $126.01, for a total value of $315,025.00. Following the completion of the sale, the insider owned 24,820 shares in the company, valued at $3,127,568.20. This represents a 9.15% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders own 7.10% of the company's stock.

Dollar Tree Profile

Dollar Tree, Inc operates discount variety stores under the Dollar Tree brand. Its stores offer a broad selection of merchandise at value-oriented prices, including consumable products, household supplies, seasonal items, toys, health and personal-care products, and other general merchandise. Product assortments may include both nationally recognized brands and private-label goods.

The company traces its origins to discount retail operations established in the 1950s and adopted the Dollar Tree name in the early 1990s.

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