#5 - Dollar Tree Inc. (NASDAQ:DLTR)
Dollar Tree Inc. (NASDAQ: DLTR) - Dollar Tree is trading at slight discount to the industry average. The P/E ratio for DLTR sits at 18.22 while the Discount Store Industry has a P/E ratio of 19.86. What’s more encouraging for investors is that the stock is up 18.5% in the last six months while the industry is down 2.7%. Analysts are also projecting the company’s long-term earnings growth rate to come in at 9.8%. The driver behind this growth is the renovations happening at its sister brand, Dollar General. These renovations which began in 2018 are starting to pay off for the stock. Traffic is up as are comparable store sales (comps) growth of 10% over control stores. The company remodeled 522 Dollar General stores much higher than its initial target of 450 stores and it re-bannered 200 more stores to the Dollar Tree name. The renovation and re-bannering activity is expected to continue throughout 2019 and will include some store closings. As a result of these efforts, the company is expecting to see comps growth of up to 1.5% by the end of fiscal year 2019.
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.
Read More - Current Price
- $117.95
- Consensus Rating
- Moderate Buy
- Ratings Breakdown
- 13 Buy Ratings, 5 Hold Ratings, 1 Sell Ratings.
- Consensus Price Target
- $150.55 (27.6% Upside)
