Q1 EPS Estimates for Dollar General Cut by Wolfe Research

Key Points

• Wolfe Research cut its Q1 2027 EPS estimate for Dollar General to $1.91 (from $2.02) but kept an Outperform rating and a $165 price target, signaling confidence in upside despite near‑term softness.
• Dollar General beat Q4 expectations with $1.93 EPS (vs. $1.57 est.) and revenue of $10.91B, yet investor concern about the sustainability of its sales mix and guidance drove a ~2.6% share decline and mixed analyst reactions.
• Wolfe's longer‑term forecasts project rising earnings, with FY2027–FY2029 EPS estimates of $7.30, $8.27 and $9.39, implying expected multi‑year earnings growth despite the near‑term cut.

Dollar General Corporation (NYSE:DG - Free Report) - Wolfe Research lowered their Q1 2027 earnings per share (EPS) estimates for shares of Dollar General in a research note issued on Wednesday, March 18th. Wolfe Research analyst S. Hanus now expects that the company will post earnings per share of $1.91 for the quarter, down from their previous forecast of $2.02. Wolfe Research currently has a "Outperform" rating and a $165.00 target price on the stock. The consensus estimate for Dollar General's current full-year earnings is $5.75 per share. Wolfe Research also issued estimates for Dollar General's Q2 2027 earnings at $2.02 EPS, Q3 2027 earnings at $1.42 EPS, Q4 2027 earnings at $1.96 EPS, FY2027 earnings at $7.30 EPS, Q1 2028 earnings at $2.13 EPS, Q2 2028 earnings at $2.28 EPS, Q3 2028 earnings at $1.63 EPS, Q4 2028 earnings at $2.24 EPS, FY2028 earnings at $8.27 EPS and FY2029 earnings at $9.39 EPS.

Dollar General (NYSE:DG - Get Free Report) last released its earnings results on Thursday, March 12th. The company reported $1.93 earnings per share (EPS) for the quarter, topping the consensus estimate of $1.57 by $0.36. The business had revenue of $10.91 billion for the quarter, compared to analyst estimates of $10.78 billion. Dollar General had a return on equity of 18.66% and a net margin of 3.54%.Dollar General's revenue was up 5.9% on a year-over-year basis. During the same quarter in the prior year, the company posted $0.87 earnings per share. Dollar General has set its FY 2026 guidance at 7.100-7.35 EPS.

DG has been the subject of several other research reports. Rothschild & Co Redburn raised Dollar General to a "strong sell" rating in a report on Wednesday, February 25th. Sanford C. Bernstein restated an "outperform" rating on shares of Dollar General in a report on Friday, March 13th. Wells Fargo & Company upped their price target on shares of Dollar General from $115.00 to $125.00 and gave the stock an "equal weight" rating in a research report on Friday, December 19th. Oppenheimer increased their price target on shares of Dollar General from $145.00 to $170.00 and gave the company an "outperform" rating in a research note on Tuesday, February 24th. Finally, BNP Paribas Exane restated a "neutral" rating and set a $127.00 price objective on shares of Dollar General in a research note on Thursday, March 12th. Fourteen investment analysts have rated the stock with a Buy rating, fifteen have assigned a Hold rating and one has given a Sell rating to the company. Based on data from MarketBeat, the stock presently has an average rating of "Hold" and an average target price of $145.33.

Dollar General Stock Down 2.6%

NYSE:DG opened at $123.38 on Friday. Dollar General has a twelve month low of $80.51 and a twelve month high of $158.23. The firm has a market capitalization of $27.16 billion, a price-to-earnings ratio of 18.01, a price-to-earnings-growth ratio of 2.05 and a beta of 0.23. The company has a quick ratio of 0.22, a current ratio of 1.13 and a debt-to-equity ratio of 0.54. The stock's 50 day moving average price is $146.59 and its two-hundred day moving average price is $124.13.

Hedge Funds Weigh In On Dollar General

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in the stock. Parkside Financial Bank & Trust lifted its stake in shares of Dollar General by 9.3% during the 4th quarter. Parkside Financial Bank & Trust now owns 808 shares of the company's stock worth $107,000 after buying an additional 69 shares during the last quarter. BOKF NA grew its stake in Dollar General by 15.2% in the 4th quarter. BOKF NA now owns 554 shares of the company's stock valued at $74,000 after buying an additional 73 shares during the last quarter. Strata Wealth Advisors LLC grew its stake in Dollar General by 3.3% in the 4th quarter. Strata Wealth Advisors LLC now owns 2,367 shares of the company's stock valued at $314,000 after buying an additional 75 shares during the last quarter. Optimize Financial Inc raised its holdings in Dollar General by 1.4% in the 4th quarter. Optimize Financial Inc now owns 5,550 shares of the company's stock valued at $737,000 after acquiring an additional 76 shares during the period. Finally, Tevis Investment Management raised its holdings in Dollar General by 0.5% in the 3rd quarter. Tevis Investment Management now owns 16,655 shares of the company's stock valued at $1,721,000 after acquiring an additional 77 shares during the period. 91.77% of the stock is owned by institutional investors.

Dollar General Dividend Announcement

The firm also recently declared a quarterly dividend, which will be paid on Tuesday, April 21st. Shareholders of record on Tuesday, April 7th will be issued a dividend of $0.59 per share. The ex-dividend date of this dividend is Tuesday, April 7th. This represents a $2.36 annualized dividend and a yield of 1.9%. Dollar General's dividend payout ratio (DPR) is currently 34.45%.

Key Stories Impacting Dollar General

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

• Positive Sentiment: Wolfe Research kept an Outperform rating and a $165 price target and raised some quarter forecasts (notably Q4 2027 and Q4 2028), suggesting confidence in longer‑term upside despite near‑term softness.
• Neutral Sentiment: Wolfe also issued a detailed set of quarterly forecasts (FY2027–FY2029) that are a mixed bag—small raises for certain quarters and small cuts for others—leaving consensus-level longer‑term upside but creating short‑term uncertainty.
• Neutral Sentiment: Retail peers and sector context are mixed: discount/ specialty peers such as Five Below posted strong results that are lifting parts of the sector, but investor focus is on where Dollar General’s traffic and mix trends go next. Five Below article
• Neutral Sentiment: Executives from a range of retailers, including Dollar General, say rising gas prices aren’t yet depressing customer demand — supportive context but not decisive. MarketWatch
• Negative Sentiment: Investors reacted negatively to Dollar General’s Q4 release despite beats — commentary flagged worries about sustainability of the sales mix shift (more nonconsumables, $1 price-point mix) and guidance aspects that weakened the buy case for some analysts. Analyst questions from Q4 call
• Negative Sentiment: Post‑quarter commentary from some research outlets argued DG “lost its buy case” after Q4, amplifying downside pressure as investors reassess valuation vs. growth prospects. TipRanks

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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