1248 Management LLC has made a significant investment in Dollar General Corporation (NYSE: DG), acquiring a new position during the second quarter of the year. According to the firm’s recent 13F filing with the Securities and Exchange Commission (SEC), the investment firm purchased 6,744 shares of Dollar General, valued at approximately $771,000.
Several other institutional investors have also adjusted their holdings in Dollar General recently. Blue Trust Inc. increased its position by 5.8%, now owning 2,005 shares worth about $229,000 after acquiring an additional 110 shares. Stablepoint Partners LLC raised its holdings by 0.6%, bringing its total to 17,474 shares valued at $1.999 million. Meanwhile, Tectonic Advisors LLC grew its stake by 1.9%, now holding 6,037 shares worth $691,000 after purchasing 113 shares during the last quarter.
The trend continues with Ancora Advisors LLC, which increased its stake by 1.7% to 7,258 shares valued at $638,000, and Harbor Investment Advisory LLC, which saw a substantial increase of 35.2% in its holdings, now owning 492 shares worth $56,000. Currently, institutional investors and hedge funds own approximately 91.77% of Dollar General’s stock.
Analysts Weigh In on Dollar General
Recent assessments from equity research analysts indicate a positive outlook for Dollar General. Gordon Haskett upgraded the company’s stock from “accumulate” to “buy” in a research note. Additionally, Jefferies Financial Group raised its target price from $130.00 to $142.00 and maintained a “buy” rating. Similarly, Guggenheim increased its price target from $125.00 to $140.00, also rating the stock as a “buy.”
Furthermore, Evercore ISI established a price objective of $130.00 for Dollar General, while Raymond James Financial reiterated an “outperform” rating with a target price of $135.00. In total, one analyst has given the stock a strong buy rating, eleven have issued buy ratings, and seventeen analysts have rated it as a hold. According to data from MarketBeat.com, Dollar General currently holds an average rating of “hold” with a consensus target price of $127.60.
Stock Performance and Financial Results
Dollar General’s stock opened at $132.97 on the most recent trading day. It has a market capitalization of $29.27 billion and a price-to-earnings (PE) ratio of 22.97. The stock has shown significant movement over the past year, with a fifty-two week low of $66.43 and a high of $135.08. The company reported a debt-to-equity ratio of 0.63 and a current ratio of 1.17.
In its latest earnings report, Dollar General revealed earnings per share (EPS) of $1.28 for the quarter, surpassing analysts’ expectations of $0.95 by $0.33. The company’s revenue totaled $10.65 billion, exceeding estimates of $10.60 billion, marking a 4.6% increase compared to the same period last year. For fiscal year 2025, Dollar General has set its EPS guidance between $6.300 and $6.500.
Dividend Announcement and Insider Transactions
In a recent announcement, Dollar General declared a quarterly dividend of $0.59, set to be paid on January 20, 2025. Shareholders of record on January 6, 2025 will receive this dividend, representing an annualized total of $2.36 and a dividend yield of 1.8%. The ex-dividend date will also be January 6, 2025, with the company’s payout ratio currently at 40.76%.
In related news, Carman R. Wenkoff, Executive Vice President, sold 19,166 shares on December 11, 2023, for a total transaction value of $2,530,103.66. Following this sale, Wenkoff retains 43,179 shares valued at approximately $5.7 million. Additionally, Tracey N. Herrmann, another Executive Vice President, sold 12,583 shares on December 10, 2023, totaling $1,573,755.81.
Over the past 90 days, insiders have sold 36,599 shares of Dollar General stock, valued at approximately $4.74 million, with corporate insiders holding 0.56% of the company’s stock.
Dollar General Corporation operates as a discount retailer, offering a variety of merchandise products across the southern, southwestern, midwestern, and eastern United States. Their product range includes consumables, packaged foods, and perishables, catering to a diverse customer base.
