Benchstone Capital Management LP Increases Holdings in Dollar Tree, Inc. $DLTR

Key Points

• Benchstone Capital Management LP increased its stake in Dollar Tree by 54.5% in Q1, owning approximately 156,465 shares worth $11.75 million.
• Dollar Tree reported a quarterly EPS of $1.26, exceeding analysts' expectations and achieving a revenue of $4.64 billion, up 11.3% year-over-year.
• The company has initiated a $2.5 billion share repurchase plan, signaling that the board believes its shares are undervalued, and institutional investors own about 97.40% of the stock.

Benchstone Capital Management LP increased its stake in Dollar Tree, Inc. (NASDAQ:DLTR - Free Report) by 54.5% during the 1st quarter, according to the company in its most recent Form 13F filing with the Securities and Exchange Commission. The institutional investor owned 156,465 shares of the company's stock after acquiring an additional 55,181 shares during the period. Benchstone Capital Management LP owned approximately 0.07% of Dollar Tree worth $11,746,000 at the end of the most recent reporting period.

Several other hedge funds have also modified their holdings of DLTR. Brooklyn Investment Group raised its stake in shares of Dollar Tree by 79.0% in the first quarter. Brooklyn Investment Group now owns 358 shares of the company's stock valued at $27,000 after acquiring an additional 158 shares in the last quarter. Zions Bancorporation National Association UT acquired a new stake in Dollar Tree in the first quarter valued at $30,000. CX Institutional acquired a new stake in Dollar Tree in the first quarter valued at $43,000. Sentry Investment Management LLC acquired a new stake in Dollar Tree in the first quarter valued at $48,000. Finally, MassMutual Private Wealth & Trust FSB raised its stake in Dollar Tree by 121.4% in the first quarter. MassMutual Private Wealth & Trust FSB now owns 974 shares of the company's stock valued at $73,000 after buying an additional 534 shares in the last quarter. 97.40% of the stock is currently owned by institutional investors and hedge funds.

Dollar Tree Price Performance

Shares of DLTR stock traded down $9.32 during midday trading on Wednesday, reaching $102.03. 15,754,959 shares of the company traded hands, compared to its average volume of 2,824,145. The firm's 50 day simple moving average is $110.30 and its two-hundred day simple moving average is $90.61. Dollar Tree, Inc. has a 1-year low of $60.49 and a 1-year high of $118.06. The company has a debt-to-equity ratio of 0.62, a current ratio of 1.04 and a quick ratio of 0.72. The firm has a market cap of $21.29 billion, a PE ratio of -7.36, a price-to-earnings-growth ratio of 2.32 and a beta of 0.89.

Dollar Tree (NASDAQ:DLTR - Get Free Report) last issued its quarterly earnings data on Wednesday, September 3rd. The company reported $0.77 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.38 by $0.39. The firm had revenue of $4.57 billion during the quarter, compared to the consensus estimate of $4.46 billion. Dollar Tree had a positive return on equity of 19.36% and a negative net margin of 12.15%.The company's quarterly revenue was up 12.3% compared to the same quarter last year. During the same period in the previous year, the firm posted $0.67 EPS. Dollar Tree has set its FY 2025 guidance at 5.320-5.720 EPS. On average, equities research analysts expect that Dollar Tree, Inc. will post 5.39 EPS for the current fiscal year.

Dollar Tree announced that its Board of Directors has initiated a stock buyback plan on Wednesday, July 9th that authorizes the company to buyback $2.50 billion in shares. This buyback authorization authorizes 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 leadership believes its shares are undervalued.

Insiders Place Their Bets

In other Dollar Tree news, CMO Richard L. Mcneely sold 21,026 shares of the business's stock in a transaction on Friday, June 6th. The stock was sold at an average price of $94.62, for a total value of $1,989,480.12. Following the completion of the transaction, the chief marketing officer directly owned 50,419 shares in the company, valued at approximately $4,770,645.78. The trade was a 29.43% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is accessible through this link. Company insiders own 6.60% of the company's stock.

Wall Street Analyst Weigh In

A number of analysts have recently commented on DLTR shares. BMO Capital Markets lifted their target price on Dollar Tree from $80.00 to $85.00 and gave the stock a "market perform" rating in a research report on Thursday, June 5th. Piper Sandler raised their price target on Dollar Tree from $93.00 to $112.00 and gave the stock a "neutral" rating in a report on Tuesday, August 19th. The Goldman Sachs Group lowered Dollar Tree from a "strong-buy" rating to a "strong sell" rating in a report on Thursday, June 5th. Cfra Research raised Dollar Tree to a "hold" rating in a report on Wednesday, May 28th. Finally, Gordon Haskett lowered Dollar Tree from a "hold" rating to a "reduce" rating and set a $95.00 price target on the stock. in a report on Wednesday. Eight research analysts have rated the stock with a Buy rating, eleven have given a Hold rating and three have assigned a Sell rating to the stock. Based on data from MarketBeat, Dollar Tree has an average rating of "Hold" and a consensus price target of $104.15.

Dollar Tree Company 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.