Dollar Tree (NASDAQ:DLTR) was downgraded by Zacks Investment Research from a “buy” rating to a “hold” rating in a report released on Monday.
According to Zacks, “Dollar Tree has underperformed the industry in the last three months. Though Dollar Tree’s earnings and sales lagged estimates in fourth-quarter fiscal 2017, it improved year over year. Earnings gained from higher sales, rise in comparable store sales (comps) and higher margins. Meanwhile, sales benefited from solid performance at both Dollar Tree and Family Dollar stores. Comps improved for the 40th straight quarter, while reduced merchandise costs, lower markdowns and occupancy expenses aided margins. Moreover, the company is on track with the Family Dollar integration and re-banner process, which is likely to generate run rate savings of about $300 million in three years. Based on these results and expected benefits from Family Dollar, the company provided a solid view for the first quarter and fiscal 2018. However, volatile consumer behavior remains a concern for Dollar Tree. Also, significant global exposure may pose threats.”
Several other analysts also recently weighed in on DLTR. Loop Capital reiterated a “hold” rating and set a $92.00 target price (down from $100.00) on shares of Dollar Tree in a research report on Wednesday, March 7th. Deutsche Bank set a $119.00 target price on Dollar Tree and gave the stock a “buy” rating in a research report on Thursday, March 8th. BMO Capital Markets decreased their target price on Dollar Tree from $115.00 to $97.00 and set a “hold” rating for the company in a research report on Thursday, March 8th. Morgan Stanley reiterated an “equal weight” rating and set a $101.00 target price (down from $112.00) on shares of Dollar Tree in a research report on Thursday, March 8th. Finally, Jefferies Group reiterated a “neutral” rating on shares of Dollar Tree in a research report on Wednesday, March 7th. Twelve investment analysts have rated the stock with a hold rating, nineteen have assigned a buy rating and one has given a strong buy rating to the stock. The stock presently has an average rating of “Buy” and an average target price of $106.08.
Dollar Tree (NASDAQ:DLTR) last issued its quarterly earnings results on Wednesday, March 7th. The company reported $1.89 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $1.90 by ($0.01). The company had revenue of $6.36 billion during the quarter, compared to the consensus estimate of $6.39 billion. Dollar Tree had a return on equity of 18.68% and a net margin of 7.71%. The firm’s quarterly revenue was up 12.9% compared to the same quarter last year. During the same quarter in the prior year, the business earned $1.36 earnings per share. analysts anticipate that Dollar Tree will post 5.65 EPS for the current year.
In other news, Director Conrad M. Hall purchased 10,000 shares of the business’s stock in a transaction dated Friday, March 9th. The shares were purchased at an average price of $91.83 per share, for a total transaction of $918,300.00. Following the completion of the purchase, the director now owns 799 shares in the company, valued at approximately $73,372.17. The purchase was disclosed in a document filed with the SEC, which is available at this link. Company insiders own 2.90% of the company’s stock.
A number of institutional investors and hedge funds have recently bought and sold shares of the business. DnB Asset Management AS grew its stake in Dollar Tree by 2.1% in the fourth quarter. DnB Asset Management AS now owns 24,355 shares of the company’s stock valued at $2,614,000 after purchasing an additional 500 shares during the last quarter. Bronfman E.L. Rothschild L.P. grew its stake in Dollar Tree by 38.8% in the fourth quarter. Bronfman E.L. Rothschild L.P. now owns 1,890 shares of the company’s stock valued at $203,000 after purchasing an additional 528 shares during the last quarter. Global X MANAGEMENT CO LLC grew its stake in Dollar Tree by 22.7% in the third quarter. Global X MANAGEMENT CO LLC now owns 3,023 shares of the company’s stock valued at $262,000 after purchasing an additional 559 shares during the last quarter. Amalgamated Bank grew its stake in Dollar Tree by 2.1% in the third quarter. Amalgamated Bank now owns 27,793 shares of the company’s stock valued at $2,413,000 after purchasing an additional 559 shares during the last quarter. Finally, Advisor Partners LLC grew its stake in Dollar Tree by 17.6% in the fourth quarter. Advisor Partners LLC now owns 3,800 shares of the company’s stock valued at $436,000 after purchasing an additional 568 shares during the last quarter. Institutional investors own 90.97% of the company’s stock.
COPYRIGHT VIOLATION NOTICE: This report was published by Sports Perspectives and is the sole property of of Sports Perspectives. If you are viewing this report on another website, it was copied illegally and reposted in violation of US and international trademark & copyright legislation. The original version of this report can be viewed at https://sportsperspectives.com/2018/03/14/dollar-tree-dltr-rating-lowered-to-hold-at-zacks-investment-research.html.
About Dollar Tree
Dollar Tree, Inc is an operator of discount variety stores. As of January 28, 2017, the Company operated 14,334 stores in 48 states and the District of Columbia, and five Canadian provinces. Its segments include Dollar Tree and Family Dollar. The Dollar Tree segment is the operator of discount variety stores offering merchandise at a fixed price.
For more information about research offerings from Zacks Investment Research, visit Zacks.com
Receive News & Ratings for Dollar Tree Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Dollar Tree and related companies with MarketBeat.com's FREE daily email newsletter.