Dollar General (NYSE:DG) Sets New 1-Year High – Time to Buy?

Dollar General Corporation (NYSE:DG)’s stock price reached a new 52-week high on Tuesday . The company traded as high as $155.00 and last traded at $152.8110, with a volume of 130622 shares. The stock had previously closed at $153.84.

Analysts Set New Price Targets

Several research analysts recently weighed in on DG shares. Wall Street Zen upgraded Dollar General from a “hold” rating to a “buy” rating in a research report on Saturday, December 6th. Truist Financial set a $144.00 target price on shares of Dollar General in a report on Friday, January 16th. Wells Fargo & Company boosted their target price on Dollar General from $115.00 to $125.00 and gave the stock an “equal weight” rating in a research note on Friday, December 19th. Morgan Stanley increased their price objective on shares of Dollar General from $135.00 to $160.00 and gave the company an “equal weight” rating in a research report on Thursday, January 15th. Finally, Citigroup increased their price objective on Dollar General from $112.00 to $138.00 and gave the company a “neutral” rating in a report on Monday, December 8th. Fourteen research analysts have rated the stock with a Buy rating, fifteen have assigned a Hold rating and one has issued a Sell rating to the company’s stock. According to data from MarketBeat, the stock presently has an average rating of “Hold” and an average target price of $144.44.

Dollar General Price Performance

The stock has a fifty day simple moving average of $142.13 and a two-hundred day simple moving average of $119.00. The company has a market cap of $32.81 billion, a PE ratio of 25.76, a price-to-earnings-growth ratio of 2.56 and a beta of 0.24. The company has a current ratio of 1.17, a quick ratio of 0.24 and a debt-to-equity ratio of 0.63.

Dollar General (NYSE:DG) last issued its earnings results on Thursday, December 4th. The company reported $1.28 earnings per share for the quarter, topping the consensus estimate of $0.95 by $0.33. Dollar General had a net margin of 3.03% and a return on equity of 18.59%. The company had revenue of $10.65 billion for the quarter, compared to analyst estimates of $10.60 billion. During the same period in the prior year, the business posted $0.89 earnings per share. The firm’s revenue for the quarter was up 4.6% compared to the same quarter last year. Dollar General has set its FY 2025 guidance at 6.300-6.500 EPS. On average, equities analysts predict that Dollar General Corporation will post 5.75 EPS for the current fiscal year.

Dollar General Dividend Announcement

The business also recently declared a quarterly dividend, which was paid on Tuesday, January 20th. Shareholders of record on Tuesday, January 6th were paid a dividend of $0.59 per share. The ex-dividend date of this dividend was Tuesday, January 6th. This represents a $2.36 dividend on an annualized basis and a yield of 1.6%. Dollar General’s dividend payout ratio (DPR) is currently 40.76%.

Insider Transactions at Dollar General

In other Dollar General news, EVP Rhonda Taylor sold 7,500 shares of the stock in a transaction that occurred on Tuesday, December 16th. The shares were sold at an average price of $134.89, for a total value of $1,011,675.00. Following the completion of the sale, the executive vice president owned 73,492 shares of the company’s stock, valued at $9,913,335.88. This trade represents a 9.26% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. Also, EVP Carman R. Wenkoff sold 19,166 shares of Dollar General stock in a transaction on Thursday, December 11th. The stock was sold at an average price of $132.01, for a total transaction of $2,530,103.66. Following the sale, the executive vice president directly owned 43,179 shares in the company, valued at $5,700,059.79. This trade represents a 30.74% decrease in their position. The SEC filing for this sale provides additional information. Insiders have sold 58,673 shares of company stock valued at $7,713,389 in the last ninety days. Company insiders own 0.56% of the company’s stock.

Institutional Investors Weigh In On Dollar General

A number of institutional investors have recently modified their holdings of DG. Life Cycle Investment Partners Ltd bought a new stake in Dollar General in the fourth quarter valued at about $363,299,000. AQR Capital Management LLC increased its holdings in shares of Dollar General by 416.4% in the 3rd quarter. AQR Capital Management LLC now owns 2,525,608 shares of the company’s stock valued at $259,759,000 after acquiring an additional 2,036,573 shares during the last quarter. Bessemer Group Inc. raised its position in shares of Dollar General by 24,882.5% during the 4th quarter. Bessemer Group Inc. now owns 1,694,315 shares of the company’s stock valued at $224,953,000 after acquiring an additional 1,687,533 shares in the last quarter. Morgan Stanley raised its position in shares of Dollar General by 35.0% during the 4th quarter. Morgan Stanley now owns 6,270,333 shares of the company’s stock valued at $832,513,000 after acquiring an additional 1,624,748 shares in the last quarter. Finally, Arrowstreet Capital Limited Partnership lifted its stake in Dollar General by 116.0% during the second quarter. Arrowstreet Capital Limited Partnership now owns 2,714,972 shares of the company’s stock worth $310,538,000 after purchasing an additional 1,458,093 shares during the last quarter. Institutional investors and hedge funds own 91.77% of the company’s stock.

About Dollar General

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.