Dollar General (NYSE:DG) Releases FY 2026 Earnings Guidance

Dollar General (NYSE:DG) issued an update on its FY 2026 earnings guidance on Thursday morning. The company provided EPS guidance of 7.800-8.000 for the period, compared to the consensus EPS estimate of 7.230. The company issued revenue guidance of $44.4 billion-$44.6 billion, compared to the consensus revenue estimate of $44.4 billion.

Dollar General Stock Performance

Shares of Dollar General stock opened at $122.97 on Thursday. Dollar General has a 1 year low of $95.11 and a 1 year high of $158.23. The firm’s 50-day moving average is $120.97 and its 200 day moving average is $123.31. The stock has a market cap of $27.13 billion, a price-to-earnings ratio of 17.39, a PEG ratio of 1.86 and a beta of 0.23. The company has a debt-to-equity ratio of 0.52, a current ratio of 1.17 and a quick ratio of 0.25.

Dollar General (NYSE:DG) last posted its earnings results on Thursday, August 27th. The company reported $2.48 EPS for the quarter, topping analysts’ consensus estimates of $2.01 by $0.47. Dollar General had a return on equity of 18.65% and a net margin of 3.63%.The business had revenue of $11.29 billion during the quarter, compared to analyst estimates of $11.20 billion. Dollar General has set its FY 2026 guidance at 7.800-8.000 EPS. Sell-side analysts anticipate that Dollar General will post 7.38 EPS for the current fiscal year.

Dollar General Dividend Announcement

The firm also recently declared a quarterly dividend, which was paid on Tuesday, July 21st. Shareholders of record on Tuesday, July 7th were given a $0.59 dividend. The ex-dividend date was Tuesday, July 7th. This represents a $2.36 annualized dividend and a yield of 1.9%. Dollar General’s dividend payout ratio (DPR) is presently 33.38%.

Wall Street Analyst Weigh In

A number of research firms have recently weighed in on DG. Sanford C. Bernstein reaffirmed an “outperform” rating and set a $149.00 price objective on shares of Dollar General in a research report on Wednesday, June 3rd. Daiwa Securities Group reduced their target price on shares of Dollar General from $136.00 to $111.00 and set a “neutral” rating for the company in a report on Thursday, June 4th. Citigroup decreased their target price on shares of Dollar General from $138.00 to $116.00 and set a “neutral” rating on the stock in a research note on Wednesday, June 3rd. Oppenheimer reiterated an “outperform” rating and issued a $150.00 price target on shares of Dollar General in a research report on Tuesday. Finally, Morgan Stanley reduced their price objective on shares of Dollar General from $150.00 to $132.00 and set an “equal weight” rating for the company in a research note on Wednesday, June 3rd. Ten investment analysts have rated the stock with a Buy rating, eighteen have given a Hold rating and one has given a Sell rating to the company. According to data from MarketBeat.com, Dollar General presently has a consensus rating of “Hold” and an average target price of $130.42.

Trending Headlines about Dollar General

Here are the key news stories impacting Dollar General this week:

• Positive Sentiment: Earnings and revenue beat estimates: Fiscal Q2 revenue increased 5.2% year over year to $11.3 billion, while diluted EPS rose 33.3% to $2.48, well above the $2.01 consensus estimate. Operating profit climbed 29.2% to $769.2 million. Dollar General Corporation Reports Second Quarter 2026 Results
• Positive Sentiment: Healthy comparable-store performance: Same-store sales grew 3.5%, supported by a 2.0% increase in customer traffic and a 1.5% rise in average transaction size, suggesting improving consumer demand. Dollar General Q2 Revenue Hits $11.3 Billion as EPS Rises 33%
• Positive Sentiment: Outlook raised: Management now expects fiscal 2026 net sales growth of approximately 4.0% to 4.3% and EPS of $7.80 to $8.00, improving the earnings outlook for investors.
• Positive Sentiment: Shareholder returns and expansion: Dollar General declared a quarterly dividend of $0.59 per share, plans up to $700 million in share repurchases, and opened 126 stores during the quarter.
• Neutral Sentiment: Institutional positioning was mixed: Some large investors increased their holdings, including Pzena Investment Management and Invesco, while BlackRock and other institutions reduced positions. This signals differing views on the retailer’s recovery prospects.
• Negative Sentiment: Profitability remains a concern: Despite the strong improvement, Dollar General’s reported net margin was only 3.63%. Investors may continue to monitor costs, margins and competitive pressure affecting discount retailers.

Hedge Funds Weigh In On Dollar General

Several hedge funds have recently bought and sold shares of the business. AQR Capital Management LLC raised its holdings in shares of Dollar General by 416.4% during the third quarter. AQR Capital Management LLC now owns 2,525,608 shares of the company’s stock worth $259,759,000 after purchasing an additional 2,036,573 shares during the last quarter. Morgan Stanley grew its position in Dollar General by 35.0% during the 4th quarter. Morgan Stanley now owns 6,270,333 shares of the company’s stock worth $832,513,000 after purchasing an additional 1,624,748 shares during the period. State Street Corp grew its position in Dollar General by 9.1% during the 3rd quarter. State Street Corp now owns 10,963,378 shares of the company’s stock worth $1,133,065,000 after purchasing an additional 913,373 shares during the period. Caisse de depot et placement du Quebec raised its stake in shares of Dollar General by 1,615.1% during the 3rd quarter. Caisse de depot et placement du Quebec now owns 908,110 shares of the company’s stock valued at $93,853,000 after buying an additional 855,162 shares during the last quarter. Finally, Two Sigma Investments LP lifted its holdings in shares of Dollar General by 120.8% in the 3rd quarter. Two Sigma Investments LP now owns 1,453,649 shares of the company’s stock valued at $150,235,000 after buying an additional 795,178 shares during the period. Institutional investors own 91.77% of the company’s stock.

About Dollar General

Dollar General Corporation is a U.S.-based variety and discount retailer operating a large network of small-format stores that serve primarily rural and suburban communities. The company is publicly traded on the New York Stock Exchange under the ticker DG and is headquartered in the Nashville/Goodlettsville, Tennessee area. Founded in 1939, Dollar General has grown from a regional operation into one of the nation’s prominent low-price retailers focused on convenience and value.

Dollar General’s stores offer a wide assortment of everyday consumables and household goods, including food and beverage items, cleaning supplies, health and beauty products, paper goods, apparel basics, seasonal merchandise and small household items.