Dollar General (DG) ended the recent trading session at $152.62, demonstrating a -2.32% change from the preceding day's closing price. This change lagged the S&P 500's 0.04% gain on the day. On the other hand, the Dow registered a loss of 0.15%, and the technology-centric Nasdaq increased by 0.36%.
The discount retailer's shares have seen an increase of 8.93% over the last month, surpassing the Retail-Wholesale sector's loss of 5.38% and the S&P 500's loss of 1.33%.
The investment community will be paying close attention to the earnings performance of Dollar General in its upcoming release. The company is slated to reveal its earnings on March 12, 2026. The company is forecasted to report an EPS of $1.61, showcasing a 4.17% downward movement from the corresponding quarter of the prior year. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $10.78 billion, up 4.62% from the year-ago period.
For the annual period, the Zacks Consensus Estimates anticipate earnings of $6.53 per share and a revenue of $42.59 billion, signifying shifts of +10.3% and +4.88%, respectively, from the last year.
Investors should also pay attention to any latest changes in analyst estimates for Dollar General. These revisions help to show the ever-changing nature of near-term business trends. Hence, positive alterations in estimates signify analyst optimism regarding the business and profitability.
Based on our research, we believe these estimate revisions are directly related to near-term stock moves. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed a 0.71% increase. Dollar General currently has a Zacks Rank of #3 (Hold).
Looking at valuation, Dollar General is presently trading at a Forward P/E ratio of 21.89. This represents a discount compared to its industry average Forward P/E of 27.97.
Also, we should mention that DG has a PEG ratio of 2.58. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company's anticipated earnings growth rate. The Retail - Discount Stores was holding an average PEG ratio of 3.12 at yesterday's closing price.
The Retail - Discount Stores industry is part of the Retail-Wholesale sector. With its current Zacks Industry Rank of 87, this industry ranks in the top 36% of all industries, numbering over 250.
The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
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Dollar General Corporation (DG): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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