Wellington Management Group LLP Has $2.91 Million Stock Position in Dollar Tree, Inc. $DLTR

Key Points

• Wellington Management Group LLP significantly reduced its stake in Dollar Tree, Inc. by 50.2%, selling 39,121 shares and now holding a total of 38,765 shares valued at approximately $2.91 million.
• Dollar Tree reported a 11.3% increase in quarterly revenue to $4.64 billion and earnings per share of $1.26, exceeding analysts' expectations by $0.05.
• The company has authorized a $2.5 billion stock repurchase program, allowing it to buy back up to 11.5% of its shares, indicating management's belief that the stock is undervalued.

Wellington Management Group LLP cut its holdings in shares of Dollar Tree, Inc. (NASDAQ:DLTR - Free Report) by 50.2% during the 1st quarter, according to its most recent 13F filing with the Securities & Exchange Commission. The fund owned 38,765 shares of the company's stock after selling 39,121 shares during the quarter. Wellington Management Group LLP's holdings in Dollar Tree were worth $2,910,000 at the end of the most recent quarter.

A number of other institutional investors also recently made changes to their positions in the business. Korea Investment CORP grew its position in shares of Dollar Tree by 44.5% during the first quarter. Korea Investment CORP now owns 208,872 shares of the company's stock worth $15,680,000 after buying an additional 64,300 shares in the last quarter. Northern Trust Corp grew its holdings in Dollar Tree by 2.7% during the 1st quarter. Northern Trust Corp now owns 2,047,085 shares of the company's stock worth $153,675,000 after acquiring an additional 54,343 shares in the last quarter. Brooklyn Investment Group grew its holdings in 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. Versor Investments LP bought a new stake in shares of Dollar Tree in the 1st quarter worth about $721,000. Finally, Raymond James Financial Inc. raised its stake in shares of Dollar Tree by 20.6% in the 1st quarter. Raymond James Financial Inc. now owns 400,918 shares of the company's stock valued at $30,096,000 after purchasing an additional 68,357 shares in the last quarter. 97.40% of the stock is owned by institutional investors and hedge funds.

Dollar Tree Stock Performance

NASDAQ DLTR traded down $10.20 during trading hours on Wednesday, hitting $101.15. The company had a trading volume of 12,515,812 shares, compared to its average volume of 4,130,497. The company has a quick ratio of 0.72, a current ratio of 1.04 and a debt-to-equity ratio of 0.62. The firm has a market cap of $21.11 billion, a P/E ratio of -7.30, a price-to-earnings-growth ratio of 2.32 and a beta of 0.89. Dollar Tree, Inc. has a fifty-two week low of $60.49 and a fifty-two week high of $118.06. The business has a fifty day simple moving average of $110.30 and a 200-day simple moving average of $90.61.

Dollar Tree (NASDAQ:DLTR - Get Free Report) last released its quarterly earnings results on Wednesday, September 3rd. The company reported $0.77 EPS for the quarter, topping the consensus estimate of $0.38 by $0.39. The business had revenue of $4.57 billion during the quarter, compared to analyst estimates of $4.46 billion. Dollar Tree had a negative net margin of 12.15% and a positive return on equity of 19.36%. The company's quarterly revenue was up 12.3% on a year-over-year basis. During the same quarter in the prior year, the firm earned $0.67 earnings per share. Dollar Tree has set its FY 2025 guidance at 5.320-5.720 EPS. Equities analysts predict that Dollar Tree, Inc. will post 5.39 EPS for the current year.

Dollar Tree declared that its board has authorized a stock buyback plan on Wednesday, July 9th that allows the company to buyback $2.50 billion in shares. This buyback authorization allows the company to buy up to 11.5% of its stock through open market purchases. Stock buyback plans are often an indication that the company's management believes its stock is undervalued.

Analysts Set New Price Targets

DLTR has been the subject of a number of research reports. Gordon Haskett downgraded Dollar Tree from a "hold" rating to a "reduce" rating and set a $95.00 price target for the company. in a research note on Wednesday. Jefferies Financial Group started coverage on Dollar Tree in a report on Thursday, July 17th. They set a "hold" rating and a $106.00 target price on the stock. Cfra Research upgraded Dollar Tree to a "hold" rating in a report on Wednesday, May 28th. UBS Group reissued a "buy" rating and set a $140.00 price target on shares of Dollar Tree in a research report on Tuesday, August 26th. Finally, Guggenheim reaffirmed a "buy" rating and issued a $100.00 price objective on shares of Dollar Tree in a report on Thursday, June 5th. Eight analysts have rated the stock with a Buy rating, eleven have assigned a Hold rating and three have issued a Sell rating to the company. Based on data from MarketBeat, the stock has a consensus rating of "Hold" and an average target price of $104.05.

Insider Transactions at Dollar Tree

In other news, CMO Richard L. Mcneely sold 21,026 shares of the 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 owned 50,419 shares of the company's stock, valued at approximately $4,770,645.78. This represents a 29.43% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which can be accessed through this link. Company insiders own 6.60% of the company's stock.

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.