AQR Capital Management LLC Buys 62,097 Shares of Dollar Tree, Inc. $DLTR

Key Points

• AQR Capital Management LLC increased its stake in Dollar Tree by 96.1% in the first quarter, now owning 126,714 shares valued at approximately $9.37 million.
• Dollar Tree reported a 12.3% year-over-year revenue increase for the last quarter, with earnings per share (EPS) of $0.77, exceeding analysts' expectations of $0.38.
• The company initiated a $2.50 billion share repurchase program, indicating management's belief that its shares are undervalued.

AQR Capital Management LLC lifted its position in shares of Dollar Tree, Inc. (NASDAQ:DLTR - Free Report) by 96.1% in the 1st quarter, according to the company in its most recent Form 13F filing with the Securities & Exchange Commission. The firm owned 126,714 shares of the company's stock after buying an additional 62,097 shares during the quarter. AQR Capital Management LLC owned about 0.06% of Dollar Tree worth $9,367,000 at the end of the most recent reporting period.

Several other large investors also recently modified their holdings of the company. Alyeska Investment Group L.P. increased its stake in Dollar Tree by 1,055.1% in the first 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 in the last quarter. Amundi increased its stake in Dollar Tree by 29.6% in the first quarter. Amundi now owns 1,408,854 shares of the company's stock valued at $105,763,000 after purchasing an additional 321,951 shares in the last quarter. Ancora Advisors LLC increased its stake in Dollar Tree by 119.6% in the first quarter. Ancora Advisors LLC now owns 20,090 shares of the company's stock valued at $1,508,000 after purchasing an additional 10,940 shares in the last quarter. Chiron Capital Management LLC bought a new stake in Dollar Tree in the first quarter valued at $218,000. Finally, Maverick Capital Ltd. bought a new stake in Dollar Tree in the first quarter valued at $69,890,000. 97.40% of the stock is currently owned by institutional investors and hedge funds.

Dollar Tree Stock Down 2.0%

Shares of NASDAQ DLTR traded down $1.94 during mid-day trading on Friday, reaching $97.45. 3,666,212 shares of the company's stock traded hands, compared to its average volume of 4,701,667. The stock has a market cap of $19.88 billion, a P/E ratio of -7.18, a PEG ratio of 1.81 and a beta of 0.89. The business has a 50-day simple moving average of $110.10 and a 200 day simple moving average of $91.85. 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 0.67, a current ratio of 1.04 and a quick ratio of 0.27.

Dollar Tree (NASDAQ:DLTR - Get Free Report) last released its quarterly 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. Dollar Tree had a negative net margin of 13.46% and a positive return on equity of 23.52%. The company had revenue of $4.57 billion for the quarter, compared to analyst estimates of $4.46 billion. During the same period last year, the firm earned $0.67 earnings per share. The firm's revenue was up 12.3% on a year-over-year basis. Dollar Tree has set its FY 2025 guidance at 5.320-5.720 EPS. On average, analysts expect that Dollar Tree, Inc. will post 5.39 EPS for the current fiscal year.

Dollar Tree declared that its board has authorized a share repurchase plan on Wednesday, July 9th that permits the company to buyback $2.50 billion in outstanding shares. This buyback authorization permits the company to purchase up to 11.5% of its shares through open market purchases. Shares buyback plans are typically a sign that the company's board of directors believes its shares are undervalued.

Insider Buying and Selling at Dollar Tree

In related news, Director Stephanie Stahl sold 1,185 shares of the firm's stock in a transaction dated Friday, September 5th. The shares were sold at an average price of $100.32, for a total transaction of $118,879.20. Following the transaction, the director directly owned 4,089 shares of the company's stock, valued at $410,208.48. This trade represents a 22.47% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. 6.60% of the stock is owned by insiders.

Analysts Set New Price Targets

Several equities research analysts have weighed in on DLTR shares. Telsey Advisory Group reaffirmed an "outperform" rating and issued a $130.00 price target on shares of Dollar Tree in a research note on Thursday, September 4th. Bank of America lifted their price target on shares of Dollar Tree from $70.00 to $75.00 and gave the company an "underperform" rating in a research note on Thursday, September 4th. Citigroup reduced their price objective on shares of Dollar Tree from $130.00 to $124.00 and set a "buy" rating for the company in a report on Thursday, September 4th. Wells Fargo & Company reiterated an "overweight" rating on shares of Dollar Tree in a report on Wednesday, September 3rd. Finally, Truist Financial lifted their price objective on shares of Dollar Tree from $127.00 to $129.00 and gave the company a "buy" rating in a report on Wednesday, September 3rd. Eight analysts have rated the stock with a Buy rating, twelve have assigned a Hold rating and three have issued a Sell rating to the company. According to MarketBeat, the company presently has an average rating of "Hold" and a consensus price target of $109.28.

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.