Dollar Tree, Inc. $DLTR Holdings Decreased by Royal Bank of Canada

Key Points

• Royal Bank of Canada has decreased its holdings in Dollar Tree, Inc. by 0.5%, selling 8,569 shares, while retaining 1,552,438 shares valued at $116.5 million.
• Analysts have shown mixed sentiments towards Dollar Tree, with upgrades from several firms including a price target increase to $138.00 by Barclays, while Goldman Sachs downgraded it to a "strong sell."
• Dollar Tree announced a $2.5 billion share buyback plan, which represents a strategic move indicating that the company's leadership believes its shares are currently undervalued.

Royal Bank of Canada reduced its holdings in Dollar Tree, Inc. (NASDAQ:DLTR - Free Report) by 0.5% in the 1st quarter, according to its most recent disclosure with the Securities and Exchange Commission. The fund owned 1,552,438 shares of the company's stock after selling 8,569 shares during the quarter. Royal Bank of Canada owned approximately 0.72% of Dollar Tree worth $116,542,000 as of its most recent filing with the Securities and Exchange Commission.

Several other institutional investors have also recently added to or reduced their stakes in DLTR. Vanguard Group Inc. increased its stake in Dollar Tree by 1.7% during the first quarter. Vanguard Group Inc. now owns 23,839,718 shares of the company's stock worth $1,789,648,000 after acquiring an additional 389,490 shares during the last quarter. T. Rowe Price Investment Management Inc. increased its stake in Dollar Tree by 0.7% during the first quarter. T. Rowe Price Investment Management Inc. now owns 9,994,978 shares of the company's stock worth $750,323,000 after acquiring an additional 74,230 shares during the last quarter. EdgePoint Investment Group Inc. increased its stake in Dollar Tree by 14.4% during the fourth quarter. EdgePoint Investment Group Inc. now owns 7,940,163 shares of the company's stock worth $595,036,000 after acquiring an additional 1,000,637 shares during the last quarter. Price T Rowe Associates Inc. MD boosted its position in shares of Dollar Tree by 69.6% in the first quarter. Price T Rowe Associates Inc. MD now owns 5,848,196 shares of the company's stock worth $439,025,000 after buying an additional 2,400,586 shares during the period. Finally, Invesco Ltd. boosted its position in shares of Dollar Tree by 8.8% in the first quarter. Invesco Ltd. now owns 3,529,998 shares of the company's stock worth $264,997,000 after buying an additional 286,910 shares during the period. 97.40% of the stock is currently owned by institutional investors and hedge funds.

Analyst Ratings Changes

DLTR has been the subject of several analyst reports. JPMorgan Chase & Co. upped their target price on Dollar Tree from $138.00 to $140.00 and gave the stock an "overweight" rating in a research report on Thursday. Bank of America upped their target price on Dollar Tree from $70.00 to $75.00 and gave the stock an "underperform" rating in a research report on Thursday. Gordon Haskett downgraded Dollar Tree from a "hold" rating to a "reduce" rating and set a $95.00 target price for the company. in a research report on Wednesday. UBS Group reaffirmed a "buy" rating and issued a $140.00 target price on shares of Dollar Tree in a research report on Tuesday, August 26th. Finally, Evercore ISI upped their target price on Dollar Tree from $108.00 to $110.00 and gave the stock an "in-line" rating in a research report on Tuesday, August 26th. Eight equities research analysts have rated the stock with a Buy rating, twelve have given a Hold rating and three have given a Sell rating to the company. Based on data from MarketBeat.com, Dollar Tree has a consensus rating of "Hold" and an average target price of $106.95.

Dollar Tree Stock Up 0.9%

DLTR traded up $0.87 on Friday, reaching $101.12. The company's stock had a trading volume of 5,823,150 shares, compared to its average volume of 3,913,377. The stock has a market cap of $20.63 billion, a price-to-earnings ratio of -7.45, a price-to-earnings-growth ratio of 2.13 and a beta of 0.89. 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 0.72. The business's 50 day moving average is $110.41 and its 200 day moving average is $91.18.

Dollar Tree (NASDAQ:DLTR - Get Free Report) last announced its quarterly earnings data on Wednesday, September 3rd. The company reported $0.77 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.38 by $0.39. The firm had revenue of $4.57 billion for the quarter, compared to analysts' expectations of $4.46 billion. Dollar Tree had a positive return on equity of 23.52% and a negative net margin of 13.46%.Dollar Tree's revenue for the quarter was up 12.3% compared to the same quarter last year. During the same quarter in the prior year, the firm posted $0.67 earnings per share. Dollar Tree has set its FY 2025 guidance at 5.320-5.720 EPS. As a group, research analysts forecast that Dollar Tree, Inc. will post 5.39 EPS for the current fiscal year.

Dollar Tree declared that its Board of Directors has initiated a stock 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 stock through open market purchases. Stock buyback plans are often an indication that the company's board believes its shares are undervalued.

Dollar Tree 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.