Dollar Tree Stock: A Deep Dive Into Analyst Perspectives (20 Ratings)
Dollar Tree (NASDAQ:DLTR) underwent analysis by 20 analysts in the last quarter, revealing a spectrum of viewpoints from bullish to bearish.
The following table summarizes their recent ratings, shedding light on the changing sentiments within the past 30 days and comparing them to the preceding months.
| Bullish | Somewhat Bullish | Indifferent | Somewhat Bearish | Bearish | |
|---|---|---|---|---|---|
| Total Ratings | 4 | 6 | 10 | 0 | 0 |
| Last 30D | 0 | 1 | 0 | 0 | 0 |
| 1M Ago | 1 | 0 | 3 | 0 | 0 |
| 2M Ago | 0 | 3 | 0 | 0 | 0 |
| 3M Ago | 3 | 2 | 7 | 0 | 0 |
In the assessment of 12-month price targets, analysts unveil insights for Dollar Tree, presenting an average target of $107.75, a high estimate of $138.00, and a low estimate of $85.00. This upward trend is evident, with the current average reflecting a 14.87% increase from the previous average price target of $93.80.
Diving into Analyst Ratings: An In-Depth Exploration
A clear picture of Dollar Tree's perception among financial experts is painted with a thorough analysis of recent analyst actions. The summary below outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.
| Analyst | Analyst Firm | Action Taken | Rating | Current Price Target | Prior Price Target |
|---|---|---|---|---|---|
| Joseph Feldman | Telsey Advisory Group | Raises | Outperform | $130.00 | $100.00 |
| Greg Melich | Evercore ISI Group | Raises | In-Line | $110.00 | $108.00 |
| Peter Keith | Piper Sandler | Raises | Neutral | $112.00 | $93.00 |
| Scot Ciccarelli | Truist Securities | Raises | Buy | $127.00 | $109.00 |
| Greg Melich | Evercore ISI Group | Raises | In-Line | $108.00 | $104.00 |
| Edward Kelly | Wells Fargo | Raises | Overweight | $130.00 | $105.00 |
| Matthew Boss | JP Morgan | Raises | Overweight | $138.00 | $111.00 |
| Seth Sigman | Barclays | Raises | Overweight | $120.00 | $95.00 |
| Greg Melich | Evercore ISI Group | Raises | In-Line | $94.00 | $92.00 |
| Simeon Gutman | Morgan Stanley | Raises | Equal-Weight | $96.00 | $80.00 |
| Peter Keith | Piper Sandler | Raises | Neutral | $93.00 | $72.00 |
| Kelly Bania | BMO Capital | Raises | Market Perform | $85.00 | $80.00 |
| John Heinbockel | Guggenheim | Maintains | Buy | $100.00 | $100.00 |
| Scot Ciccarelli | Truist Securities | Raises | Buy | $109.00 | $100.00 |
| Greg Melich | Evercore ISI Group | Raises | In-Line | $92.00 | $86.00 |
| Matthew Boss | JP Morgan | Raises | Overweight | $111.00 | $72.00 |
| Joseph Feldman | Telsey Advisory Group | Raises | Market Perform | $100.00 | $95.00 |
| Joseph Feldman | Telsey Advisory Group | Maintains | Market Perform | $95.00 | $95.00 |
| Edward Kelly | Wells Fargo | Raises | Overweight | $105.00 | $90.00 |
| Scot Ciccarelli | Truist Securities | Raises | Buy | $100.00 | $89.00 |
Key Insights:
- Action Taken: In response to dynamic market conditions and company performance, analysts update their recommendations. Whether they 'Maintain', 'Raise', or 'Lower' their stance, it signifies their reaction to recent developments related to Dollar Tree. This insight gives a snapshot of analysts' perspectives on the current state of the company.
- Rating: Providing a comprehensive analysis, analysts offer qualitative assessments, ranging from 'Outperform' to 'Underperform'. These ratings reflect expectations for the relative performance of Dollar Tree compared to the broader market.
- Price Targets: Understanding forecasts, analysts offer estimates for Dollar Tree's future value. Examining the current and prior targets provides insight into analysts' changing expectations.
Understanding these analyst evaluations alongside key financial indicators can offer valuable insights into Dollar Tree's market standing. Stay informed and make well-considered decisions with our Ratings Table.
Stay up to date on Dollar Tree analyst ratings.
All You Need to Know About Dollar Tree
Dollar Tree operates discount stores across the United States and Canada, with over 8,800 shops under its namesake banner. About 50% of Dollar Tree's sales in fiscal 2024 were consumables (including food, health and beauty, and cleaning products), around 45% variety items (including toys and homewares), and 5% seasonal items. Dollar Tree sells most of its merchandise at the $1.25 price point and positions its stores in well-populated suburban markets. The retailer has agreed to sell Family Dollar (with about 7,000 stores) to private equity investors for $1 billion.
Financial Insights: Dollar Tree
Market Capitalization: With restricted market capitalization, the company is positioned below industry averages. This reflects a smaller scale relative to peers.
Revenue Growth: Over the 3M period, Dollar Tree showcased positive performance, achieving a revenue growth rate of 11.29% as of 30 April, 2025. This reflects a substantial increase in the company's top-line earnings. As compared to its peers, the company achieved a growth rate higher than the average among peers in Consumer Staples sector.
Net Margin: Dollar Tree's net margin surpasses industry standards, highlighting the company's exceptional financial performance. With an impressive 7.4% net margin, the company effectively manages costs and achieves strong profitability.
Return on Equity (ROE): Dollar Tree's ROE stands out, surpassing industry averages. With an impressive ROE of 8.71%, the company demonstrates effective use of equity capital and strong financial performance.
Return on Assets (ROA): Dollar Tree's ROA is below industry averages, indicating potential challenges in efficiently utilizing assets. With an ROA of 1.86%, the company may face hurdles in achieving optimal financial returns.
Debt Management: The company faces challenges in debt management with a debt-to-equity ratio higher than the industry average. With a ratio of 2.03, caution is advised due to increased financial risk.
The Core of Analyst Ratings: What Every Investor Should Know
Ratings come from analysts, or specialists within banking and financial systems that report for specific stocks or defined sectors (typically once per quarter for each stock). Analysts usually derive their information from company conference calls and meetings, financial statements, and conversations with important insiders to reach their decisions.
Analysts may supplement their ratings with predictions for metrics like growth estimates, earnings, and revenue, offering investors a more comprehensive outlook. However, investors should be mindful that analysts, like any human, can have subjective perspectives influencing their forecasts.
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This article was generated by Benzinga's automated content engine and reviewed by an editor.