Dollar Tree (NASDAQ:DLTR) Shares Down 4% Following Analyst Downgrade

Shares of Dollar Tree, Inc. (NASDAQ:DLTR) were down 4% during trading on Thursday after Exane BNP Paribas downgraded the stock from a hold rating to a strong sell rating. The company traded as low as $127.77 and last traded at $127.6480. Approximately 858,497 shares changed hands during mid-day trading, a decline of 69% from the average daily volume of 2,773,814 shares. The stock had previously closed at $132.94.

A number of other equities research analysts have also weighed in on DLTR. Citigroup boosted their price target on Dollar Tree from $124.00 to $132.00 and gave the stock a “buy” rating in a research note on Thursday, December 4th. BNP Paribas Exane cut shares of Dollar Tree to an “underperform” rating and set a $87.00 target price for the company. in a research note on Wednesday. UBS Group upped their price target on shares of Dollar Tree from $135.00 to $138.00 and gave the company a “buy” rating in a research note on Thursday, December 4th. Truist Financial set a $156.00 price objective on shares of Dollar Tree in a research note on Friday, January 16th. Finally, Wells Fargo & Company upped their target price on Dollar Tree from $125.00 to $145.00 and gave the company an “overweight” rating in a research report on Friday, December 19th. Eight investment analysts have rated the stock with a Buy rating, nine have assigned a Hold rating and seven have issued a Sell rating to the company’s stock. According to MarketBeat, the stock currently has an average rating of “Hold” and an average price target of $120.10.

Insider Buying and Selling at Dollar Tree

In other news, insider Brent A. Beebe sold 2,200 shares of the business’s stock in a transaction dated Monday, December 8th. The stock was sold at an average price of $124.65, for a total value of $274,230.00. Following the completion of the transaction, the insider owned 13,740 shares of the company’s stock, valued at $1,712,691. The trade was a 13.80% decrease in their position. The sale was disclosed in a filing with the SEC, which is available through the SEC website. Insiders own 6.60% of the company’s stock.

Institutional Inflows and Outflows

Large investors have recently bought and sold shares of the stock. EdgePoint Investment Group Inc. grew its stake in shares of Dollar Tree by 2.9% during the 3rd quarter. EdgePoint Investment Group Inc. now owns 11,138,183 shares of the company’s stock worth $1,051,110,000 after purchasing an additional 312,382 shares during the period. State Street Corp boosted its holdings in Dollar Tree by 3.5% during the third quarter. State Street Corp now owns 9,421,856 shares of the company’s stock worth $889,141,000 after buying an additional 319,938 shares in the last quarter. Primecap Management Co. CA grew its position in Dollar Tree by 6.8% during the third quarter. Primecap Management Co. CA now owns 4,194,049 shares of the company’s stock valued at $395,792,000 after buying an additional 268,539 shares during the period. Alliancebernstein L.P. grew its position in Dollar Tree by 4.8% during the third quarter. Alliancebernstein L.P. now owns 3,926,586 shares of the company’s stock valued at $370,552,000 after buying an additional 180,364 shares during the period. Finally, London Co. of Virginia increased its holdings in Dollar Tree by 51.0% in the second quarter. London Co. of Virginia now owns 2,840,104 shares of the company’s stock valued at $281,284,000 after buying an additional 958,925 shares in the last quarter. 97.40% of the stock is owned by institutional investors and hedge funds.

Dollar Tree Stock Performance

The business’s 50-day simple moving average is $122.09 and its two-hundred day simple moving average is $110.27. The company has a quick ratio of 0.22, a current ratio of 0.96 and a debt-to-equity ratio of 0.70. The firm has a market cap of $25.22 billion, a price-to-earnings ratio of -9.43, a P/E/G ratio of 1.97 and a beta of 0.74.

Dollar Tree (NASDAQ:DLTR) last posted its earnings results on Wednesday, December 3rd. The company reported $1.21 EPS for the quarter, beating analysts’ consensus estimates of $1.09 by $0.12. The firm had revenue of $4.75 billion for the quarter, compared to analysts’ expectations of $4.70 billion. Dollar Tree had a positive return on equity of 30.23% and a negative net margin of 15.40%.The company’s quarterly revenue was up 9.4% on a year-over-year basis. During the same period last year, the firm earned $1.12 EPS. Dollar Tree has set its Q4 2025 guidance at 2.400-2.600 EPS. As a group, sell-side analysts expect that Dollar Tree, Inc. will post 5.39 earnings per share for the current fiscal year.

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.