Dollar Tree (NASDAQ:DLTR) Downgraded by Wall Street Zen to Hold

Wall Street Zen downgraded shares of Dollar Tree (NASDAQ:DLTR) from a buy rating to a hold rating in a research note released on Saturday morning.

Other equities analysts have also recently issued reports about the stock. JPMorgan Chase & Co. lifted their price objective on shares of Dollar Tree from $160.00 to $170.00 and gave the stock an “overweight” rating in a research report on Monday, July 6th. Gordon Haskett upgraded shares of Dollar Tree from a “reduce” rating to a “hold” rating and set a $115.00 target price for the company in a research note on Thursday, June 4th. UBS Group reaffirmed a “buy” rating on shares of Dollar Tree in a report on Friday, July 10th. Truist Financial decreased their price target on shares of Dollar Tree from $142.00 to $107.00 and set a “buy” rating on the stock in a research note on Wednesday, May 27th. Finally, Barclays cut shares of Dollar Tree from an “overweight” rating to a “strong sell” rating in a report on Wednesday, July 8th. Ten analysts have rated the stock with a Buy rating, twelve have assigned a Hold rating and four have assigned a Sell rating to the company’s stock. According to data from MarketBeat.com, Dollar Tree currently has a consensus rating of “Hold” and an average price target of $122.82.

Dollar Tree Stock Performance

DLTR opened at $127.21 on Friday. Dollar Tree has a 12-month low of $84.71 and a 12-month high of $142.40. The stock has a market cap of $24.45 billion, a price-to-earnings ratio of 19.88, a PEG ratio of 1.45 and a beta of 0.65. The business has a 50 day moving average of $117.49 and a 200-day moving average of $114.47. The company has a quick ratio of 0.39, a current ratio of 1.16 and a debt-to-equity ratio of 0.84.

Dollar Tree (NASDAQ:DLTR) last issued its earnings results on Thursday, May 28th. The company reported $1.74 EPS for the quarter, topping the consensus estimate of $1.53 by $0.21. Dollar Tree had a return on equity of 35.19% and a net margin of 6.51%.The company had revenue of $4.98 billion during the quarter, compared to the consensus estimate of $4.96 billion. During the same period in the previous year, the company posted $1.26 EPS. The firm’s revenue for the quarter was up 7.2% compared to the same quarter last year. Dollar Tree has set its Q2 2026 guidance at 1.000-1.150 EPS. On average, equities research analysts expect that Dollar Tree will post 7 earnings per share for the current year.

Dollar Tree announced that its board has authorized a share buyback program on Thursday, July 2nd that permits the company to buyback $2.50 billion in shares. This buyback authorization permits the company to reacquire up to 10.7% of its shares through open market purchases. Shares buyback programs are typically a sign that the company’s board believes its shares are undervalued.

Hedge Funds Weigh In On Dollar Tree

Institutional investors and hedge funds have recently modified their holdings of the business. Wedge Capital Management L L P NC acquired a new stake in Dollar Tree in the 2nd quarter worth about $6,840,000. Tema ETFs LLC boosted its holdings in Dollar Tree by 7.1% in the 2nd quarter. Tema ETFs LLC now owns 2,176 shares of the company’s stock valued at $263,000 after purchasing an additional 145 shares during the period. Handelsbanken Fonder AB grew its position in shares of Dollar Tree by 185.2% during the 2nd quarter. Handelsbanken Fonder AB now owns 51,345 shares of the company’s stock worth $6,210,000 after purchasing an additional 33,344 shares in the last quarter. Valeo Financial Advisors LLC increased its holdings in shares of Dollar Tree by 3.5% during the second quarter. Valeo Financial Advisors LLC now owns 3,475 shares of the company’s stock worth $420,000 after purchasing an additional 118 shares during the period. Finally, Polianta Ltd increased its holdings in shares of Dollar Tree by 30.9% during the second quarter. Polianta Ltd now owns 16,100 shares of the company’s stock worth $1,947,000 after purchasing an additional 3,800 shares during the period. 97.40% of the stock is currently owned by institutional investors and hedge funds.

Dollar Tree Company Profile

Dollar Tree, Inc is a North American discount retailer that operates a portfolio of value-oriented store banners, primarily Dollar Tree and Family Dollar. The company’s stores offer a broad assortment of everyday items at low price points, including household essentials, food and snacks, health and beauty products, cleaning supplies, seasonal and party goods, home décor, and basic apparel. Dollar Tree’s merchandising strategy emphasizes high-turnover branded and private-label merchandise tailored to budget-conscious consumers, with Family Dollar complementing the chain by offering a wider range of price points and assortment depth in smaller-format neighborhood locations.

Founded in 1986 and headquartered in Chesapeake, Virginia, Dollar Tree has grown through both organic store openings and acquisitions.