Broyhill Asset Management LLC Acquires New Position in Dollar Tree, Inc. $DLTR

Key Points

• Broyhill Asset Management LLC acquired 12,376 shares of Dollar Tree, Inc. for approximately $929,000 in the first quarter, contributing to an institutional ownership of 97.40% in the company.
• Dollar Tree reported a 11.3% increase in revenue year-over-year for the last quarter, with earnings per share (EPS) of $1.26, surpassing estimates.
• The company's Board of Directors has authorized a $2.5 billion stock buyback plan, allowing for the repurchase of up to 11.5% of outstanding shares, indicating a belief that the stock is undervalued.

Broyhill Asset Management LLC acquired a new position in shares of Dollar Tree, Inc. (NASDAQ:DLTR - Free Report) in the 1st quarter, according to its most recent disclosure with the SEC. The institutional investor acquired 12,376 shares of the company's stock, valued at approximately $929,000.

Several other institutional investors and hedge funds have also made changes to their positions in the business. Horizon Investments LLC boosted its position in shares of Dollar Tree by 5.1% during the 1st quarter. Horizon Investments LLC now owns 2,905 shares of the company's stock worth $218,000 after acquiring an additional 140 shares in the last quarter. Brooklyn Investment Group boosted its position in shares of Dollar Tree by 79.0% during the 1st quarter. Brooklyn Investment Group now owns 358 shares of the company's stock worth $27,000 after acquiring an additional 158 shares in the last quarter. Private Trust Co. NA boosted its position in shares of Dollar Tree by 11.6% during the 1st quarter. Private Trust Co. NA now owns 1,527 shares of the company's stock worth $115,000 after acquiring an additional 159 shares in the last quarter. Cary Street Partners Financial LLC boosted its position in shares of Dollar Tree by 8.5% during the 1st quarter. Cary Street Partners Financial LLC now owns 2,381 shares of the company's stock worth $179,000 after acquiring an additional 186 shares in the last quarter. Finally, Amalgamated Bank boosted its position in shares of Dollar Tree by 0.7% during the 1st quarter. Amalgamated Bank now owns 39,283 shares of the company's stock worth $2,949,000 after acquiring an additional 265 shares in the last quarter. 97.40% of the stock is owned by institutional investors and hedge funds.

Dollar Tree Stock Performance

Shares of Dollar Tree stock traded down $3.33 on Monday, reaching $109.17. 3,719,797 shares of the stock were exchanged, compared to its average volume of 2,988,700. Dollar Tree, Inc. has a 1-year low of $60.49 and a 1-year high of $118.06. The company has a current ratio of 1.04, a quick ratio of 0.72 and a debt-to-equity ratio of 0.62. The business has a fifty day moving average price of $109.87 and a two-hundred day moving average price of $90.20. The firm has a market capitalization of $22.78 billion, a PE ratio of -7.88, a PEG ratio of 2.32 and a beta of 0.89.

Dollar Tree (NASDAQ:DLTR - Get Free Report) last issued its quarterly earnings results on Wednesday, June 4th. The company reported $1.26 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $1.21 by $0.05. Dollar Tree had a negative net margin of 12.15% and a positive return on equity of 19.36%. The business had revenue of $4.64 billion for the quarter, compared to analyst estimates of $4.52 billion. During the same period in the previous year, the business posted $1.43 earnings per share. The business's revenue was up 11.3% compared to the same quarter last year. Dollar Tree has set its FY 2025 guidance at 5.150-5.650 EPS. As a group, research analysts anticipate that Dollar Tree, Inc. will post 5.39 earnings per share for the current fiscal year.

Dollar Tree announced that its Board of Directors has approved a stock buyback plan on Wednesday, July 9th that authorizes the company to repurchase $2.50 billion in shares. This repurchase authorization authorizes the company to reacquire up to 11.5% of its stock through open market purchases. Stock repurchase plans are usually a sign that the company's leadership believes its shares are undervalued.

Insider Activity

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

Analysts Set New Price Targets

A number of analysts have recently commented on DLTR shares. Barclays upgraded Dollar Tree from an "equal weight" rating to an "overweight" rating and lifted their target price for the stock from $95.00 to $138.00 in a research report on Monday, July 21st. Telsey Advisory Group upgraded Dollar Tree from a "market perform" rating to an "outperform" rating and lifted their target price for the stock from $100.00 to $130.00 in a research report on Friday. Piper Sandler lifted their target price on Dollar Tree from $93.00 to $112.00 and gave the stock a "neutral" rating in a research report on Tuesday, August 19th. Jefferies Financial Group assumed coverage on Dollar Tree in a research report on Thursday, July 17th. They set a "hold" rating and a $106.00 target price on the stock. Finally, Evercore ISI increased their target price on shares of Dollar Tree from $108.00 to $110.00 and gave the stock an "in-line" rating in a research note on Tuesday, August 26th. Eight investment analysts have rated the stock with a Buy rating, eleven have given a Hold rating and two have issued a Sell rating to the company's stock. Based on data from MarketBeat, the stock has a consensus rating of "Hold" and an average price target of $104.53.

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.