Zacks Research Lowers Earnings Estimates for Dollar Tree

Dollar Tree, Inc. (NASDAQ:DLTR) – Equities researchers at Zacks Research lowered their Q3 2027 EPS estimates for Dollar Tree in a research note issued on Thursday, September 10th. Zacks Research analyst Team now forecasts that the company will post earnings of $0.88 per share for the quarter, down from their prior estimate of $1.38. The consensus estimate for Dollar Tree’s current full-year earnings is $7.95 per share. Zacks Research also issued estimates for Dollar Tree’s FY2027 earnings at $7.95 EPS and Q2 2029 earnings at $2.01 EPS.

Dollar Tree (NASDAQ:DLTR) last announced its earnings results on Thursday, August 27th. The company reported $2.70 earnings per share (EPS) for the quarter, topping the consensus estimate of $1.15 by $1.55. The business had revenue of $4.89 billion during the quarter, compared to analyst estimates of $4.86 billion. Dollar Tree had a return on equity of 38.61% and a net margin of 8.03%.Dollar Tree’s revenue for the quarter was up 7.0% compared to the same quarter last year. During the same period last year, the company earned $0.77 EPS. Dollar Tree has set its Q3 2026 guidance at 0.800-0.950 EPS and its FY 2026 guidance at 7.700-8.050 EPS.

Several other brokerages have also recently commented on DLTR. Jefferies Financial Group upgraded Dollar Tree from a “moderate sell” rating to a “buy” rating in a report on Wednesday, July 8th. BNP Paribas Exane boosted their price target on shares of Dollar Tree from $88.00 to $98.00 and gave the stock an “underperform” rating in a research report on Friday, May 29th. The Goldman Sachs Group reiterated a “neutral” rating and set a $131.00 price objective on shares of Dollar Tree in a research report on Monday, August 31st. Sanford C. Bernstein reissued a “market perform” rating and set a $130.00 target price on shares of Dollar Tree in a research note on Friday, August 28th. Finally, Benchmark assumed coverage on shares of Dollar Tree in a report on Wednesday, July 8th. They issued a “hold” rating on the stock. Eleven investment analysts have rated the stock with a Buy rating, thirteen have given a Hold rating and two have issued a Sell rating to the company’s stock. Based on data from MarketBeat.com, the company presently has an average rating of “Hold” and an average target price of $131.68.

Dollar Tree Trading Down 5.4%

Shares of DLTR stock opened at $112.79 on Monday. Dollar Tree has a 1-year low of $84.71 and a 1-year high of $142.40. The company has a current ratio of 1.13, a quick ratio of 0.39 and a debt-to-equity ratio of 0.86. The stock has a market cap of $21.16 billion, a price-to-earnings ratio of 13.77, a PEG ratio of 1.10 and a beta of 0.66. The stock has a 50-day moving average of $127.03 and a 200-day moving average of $114.35.

Dollar Tree announced that its board has initiated a stock repurchase program on Thursday, July 2nd that authorizes the company to buyback $2.50 billion in outstanding shares. This buyback authorization authorizes the company to reacquire up to 10.7% of its stock through open market purchases. Stock buyback programs are typically an indication that the company’s board of directors believes its stock is undervalued.

Insiders Place Their Bets

In related news, Director Stephanie Stahl sold 1,185 shares of the stock in a transaction on Friday, September 4th. The stock was sold at an average price of $131.47, for a total value of $155,791.95. Following the transaction, the director directly owned 4,089 shares in the company, valued at $537,580.83. This trade represents a 22.47% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. Also, insider Robert Aflatooni sold 2,500 shares of the business’s stock in a transaction that occurred on Monday, August 31st. The stock was sold at an average price of $126.01, for a total value of $315,025.00. Following the sale, the insider directly owned 24,820 shares of the company’s stock, valued at $3,127,568.20. This represents a 9.15% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Company insiders own 7.10% of the company’s stock.

Institutional Trading of Dollar Tree

Institutional investors and hedge funds have recently made changes to their positions in the company. Cullen Frost Bankers Inc. bought a new position in shares of Dollar Tree during the 4th quarter worth approximately $25,000. Reflection Asset Management bought a new position in Dollar Tree during the fourth quarter valued at about $25,000. Covestor Ltd grew its position in shares of Dollar Tree by 60.9% during the 4th quarter. Covestor Ltd now owns 222 shares of the company’s stock valued at $27,000 after acquiring an additional 84 shares during the period. Basecamp Wealth Advisors LLC increased its position in Dollar Tree by 59.9% in the first quarter. Basecamp Wealth Advisors LLC now owns 259 shares of the company’s stock worth $28,000 after buying an additional 97 shares during the last quarter. Finally, EFG International AG bought a new stake in Dollar Tree in the 2nd quarter valued at about $30,000. Hedge funds and other institutional investors own 97.40% of the company’s stock.

About Dollar Tree

Dollar Tree, Inc operates discount variety stores under the Dollar Tree brand. Its stores offer a broad selection of merchandise at value-oriented prices, including consumable products, household supplies, seasonal items, toys, health and personal-care products, and other general merchandise. Product assortments may include both nationally recognized brands and private-label goods.

The company traces its origins to discount retail operations established in the 1950s and adopted the Dollar Tree name in the early 1990s.