Yahoo Finance Dollar General (DG) Stock Sinks As Market Gains: What You Should Know
Dollar General (DG) closed at $211.87 in the latest trading session, marking a -1.49% move from the prior day. This change lagged the S&P 500's daily gain of 0.02%. Meanwhile, the Dow lost 0.42%, and the Nasdaq, a tech-heavy index, added 2.7%.
Heading into today, shares of the discount retailer had lost 1.44% over the past month, lagging the Retail-Wholesale sector's gain of 1.85% and the S&P 500's gain of 1.07% in that time.
Wall Street will be looking for positivity from Dollar General as it approaches its next earnings report date. This is expected to be June 1, 2023. In that report, analysts expect Dollar General to post earnings of $2.38 per share. This would mark a year-over-year decline of 1.24%. Our most recent consensus estimate is calling for quarterly revenue of $9.47 billion, up 8.21% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $11.17 per share and revenue of $40.02 billion, which would represent changes of +4.59% and +5.75%, respectively, from the prior year.
It is also important to note the recent changes to analyst estimates for Dollar General. These revisions typically reflect the latest short-term business trends, which can change frequently. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.12% lower. Dollar General currently has a Zacks Rank of #3 (Hold).
In terms of valuation, Dollar General is currently trading at a Forward P/E ratio of 19.25. Its industry sports an average Forward P/E of 22.31, so we one might conclude that Dollar General is trading at a discount comparatively.
Meanwhile, DG's PEG ratio is currently 1.82. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. DG's industry had an average PEG ratio of 2.03 as of yesterday's close.
The Retail - Discount Stores industry is part of the Retail-Wholesale sector. This industry currently has a Zacks Industry Rank of 125, which puts it in the top 50% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.
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Dollar General Corporation (DG) : Free Stock Analysis Report
