Brandywine Global Investment Management LLC Decreases Stake in Dollar General Corporation $DG

Key Points

• Brandywine Global Investment Management cut its Dollar General stake by 12.8% in the fourth quarter, though it still held 1.25 million shares worth about $166.5 million.
• Dollar General recently 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 some positive analyst commentary, sentiment remains mixed: several firms have lowered price targets or downgraded the stock, and the consensus rating is currently Hold with a $131.27 price target.

Brandywine Global Investment Management LLC reduced its stake in Dollar General Corporation (NYSE:DG - Free Report) by 12.8% during the fourth quarter, according to its most recent filing with the Securities and Exchange Commission (SEC). The firm owned 1,254,014 shares of the company's stock after selling 184,386 shares during the period. Dollar General comprises 1.1% of Brandywine Global Investment Management LLC's investment portfolio, making the stock its 17th largest position. Brandywine Global Investment Management LLC owned 0.57% of Dollar General worth $166,495,000 as of its most recent filing with the Securities and Exchange Commission (SEC).

Other large investors have also bought and sold shares of the company. Fideuram Asset Management Ireland dac purchased a new position in shares of Dollar General during the fourth quarter valued at approximately $25,000. Annis Gardner Whiting Capital Advisors LLC increased its stake in shares of Dollar General by 69.3% during the fourth quarter. Annis Gardner Whiting Capital Advisors LLC now owns 193 shares of the company's stock valued at $26,000 after buying an additional 79 shares during the period. Eastern Bank purchased a new position in shares of Dollar General during the fourth quarter valued at approximately $35,000. Flagship Harbor Advisors LLC purchased a new position in shares of Dollar General during the fourth quarter valued at approximately $36,000. Finally, Basepoint Wealth LLC purchased a new position in shares of Dollar General during the fourth quarter valued at approximately $39,000. 91.77% of the stock is owned by hedge funds and other institutional investors.

Key Stories Impacting Dollar General

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

• Positive Sentiment: KeyCorp raised its earnings estimates for Dollar General, nudging expected profitability higher across upcoming quarters and signaling confidence in the company’s longer-term earnings power. Dollar General analyst estimate updates
• Positive Sentiment: Several analyst roundups highlighted Dollar General as a stock that analysts remain bullish on within consumer goods, suggesting some support from Wall Street despite recent volatility. Analysts Are Bullish on These Consumer Goods Stocks: Dollar General (DG), Philip Morris (PM)
• Positive Sentiment: Another analyst roundup again included Dollar General among consumer staples names receiving favorable views, reinforcing that some investors still see value in the shares. Analysts Are Bullish on These Consumer Goods Stocks: McCormick & Company (MKC), Dollar General (DG)
• Neutral Sentiment: MarketWatch said Dollar General underperformed its peers, indicating the stock is lagging competitor performance even if there is no new company-specific shock. Dollar General stock underperforms Thursday when compared to competitors
• Neutral Sentiment: Commentary around recent retail earnings suggests DG may be benefiting from value-conscious shoppers, but investors are still weighing that against cautious guidance and a weak broader retail sentiment. Why Walmart and Other Consumer Stocks Aren’t Getting the Gains They Deserve
• Negative Sentiment: Recent coverage noted that Dollar General’s stock has been weaker since its latest earnings report and that its cautious outlook is still weighing on sentiment. Dollar General's Q1 Beat Driven By Cost Control As CEO Exit Looms
• Negative Sentiment: Dollar General also faced a cut in price target from Daiwa and a downgrade from Freedom Capital, which adds to pressure on the stock and suggests some analysts see limited near-term upside. Daiwa Securities price target adjustment on Dollar General

Analyst Upgrades and Downgrades

DG has been the topic of several research reports. Wall Street Zen lowered Dollar General from a "buy" rating to a "hold" rating in a research report on Saturday, April 4th. Jefferies Financial Group dropped their price target on Dollar General from $155.00 to $135.00 and set a "buy" rating on the stock in a research report on Wednesday, June 3rd. Barclays dropped their price target on Dollar General from $151.00 to $148.00 and set an "overweight" rating on the stock in a research report on Wednesday. BNP Paribas Exane dropped their price target on Dollar General from $144.00 to $113.00 and set a "neutral" rating on the stock in a research report on Wednesday, June 3rd. Finally, Weiss Ratings restated a "hold (c)" rating on shares of Dollar General in a research report on Friday, April 10th. Ten investment analysts have rated the stock with a Buy rating, eighteen have given a Hold rating and one has issued a Sell rating to the company's stock. According to data from MarketBeat, the stock currently has an average rating of "Hold" and a consensus price target of $131.27.

Dollar General Trading Down 0.1%

Shares of NYSE:DG opened at $103.57 on Monday. The company has a market cap of $22.85 billion, a P/E ratio of 14.65, a PEG ratio of 1.59 and a beta of 0.26. The company has a debt-to-equity ratio of 0.52, a current ratio of 1.17 and a quick ratio of 0.25. Dollar General Corporation has a 1 year low of $95.11 and a 1 year high of $158.23. The stock's fifty day moving average price is $113.86 and its 200-day moving average price is $128.74.

Dollar General (NYSE:DG - Get Free Report) last posted its earnings results on Tuesday, June 2nd. The company reported $2.00 earnings per share for the quarter, beating analysts' consensus estimates of $1.89 by $0.11. Dollar General had a return on equity of 18.65% and a net margin of 3.63%.The company had revenue of $10.79 billion for the quarter, compared to the consensus estimate of $10.81 billion. During the same quarter in the prior year, the company earned $1.78 earnings per share. Dollar General's revenue was up 3.4% on a year-over-year basis. Dollar General has set its FY 2026 guidance at 7.200-7.450 EPS. Sell-side analysts expect that Dollar General Corporation will post 7.33 earnings per share for the current year.

Dollar General Announces Dividend

The firm also recently announced 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. This represents a $2.36 annualized dividend and a yield of 2.3%. The ex-dividend date of this dividend is Tuesday, July 7th. Dollar General's dividend payout ratio (DPR) is 33.38%.

Dollar General Company 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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