Dollar General Corp (DG) stock expected to rise by 39.12%: What’s driving the optimism?

A share price of Dollar General Corp [DG] is currently trading at $76.13, up 0.66%. Until recently, the best way to gauge how the stock has performed was to look at its short-term value. The DG shares have gain 3.14% over the last week, with a monthly amount glided 5.82%, and seem to be holding up well over a long-time horizon.

From an analyst’s perspective:

Dollar General Corp [NYSE: DG] stock has seen the most recent analyst activity on December 06, 2024, when BofA Securities upgraded its rating to a Buy but kept the price target unchanged to $95 for it. Previously, Telsey Advisory Group reaffirmed its Market Perform rating on December 06, 2024, and dropped its price target to $88. On October 22, 2024, Bernstein initiated with a Outperform rating and assigned a price target of $98 on the stock. Citigroup downgraded its rating to a Sell and decreased its price target to $73 on September 27, 2024. Telsey Advisory Group downgraded its rating to a Market Perform and reduced its price target to $103 on August 30, 2024. Morgan Stanley downgraded its rating to Equal-Weight for this stock on August 30, 2024, and downed its price target to $100. In a note dated August 30, 2024, Gordon Haskett downgraded an Hold rating on this stock but restated the target price of $90.

Dollar General Corp experienced fluctuations in its stock price throughout the past year between $66.43 and $168.07. Currently, Wall Street analysts expect the stock to reach $105.91 within the next 12 months. Dollar General Corp [NYSE: DG] shares were valued at $76.13 at the most recent close of the market. An investor can expect a potential return of 39.12% based on the average DG price forecast.

Analyzing the DG fundamentals

Trailing Twelve Months sales for Dollar General Corp [NYSE:DG] were 40.17B which represents 5.05% growth. Gross Profit Margin for this corporation currently stands at 0.28% with Operating Profit Margin at 0.05%, Pretax Profit Margin comes in at 0.04%, and Net Profit Margin reading is 0.03%. To continue investigating profitability, this company’s Return on Assets is posted at 0.04, Equity is 0.19 and Total Capital is 0.08. Upon thorough examination of the company’s fundamental financial framework, it becomes apparent that the debt-to-equity ratio stands at 2.39.

Before buying any particular stock, readers tend to pay close attention to the indicators that support and create resistance. The company’s stock is currently sitting at 74.18 points at the first support level, and at 72.24 for the second support level. However, for the 1st resistance point, the stock is sitting at 78.11, and for the 2nd resistance point, it is at 80.10.

Ratios To Look Out For

To put it in perspective, the Current Ratio for Dollar General Corp [NYSE:DG] is 1.15. As well, the Quick Ratio is 0.15, while the Cash Ratio is 0.08. Considering the valuation of this stock, the price to sales ratio is 0.42, the price to book ratio is 2.28 and price to earnings (TTM) ratio is 12.54.

Transactions by insiders

Recent insider trading involved CALBERT MICHAEL M, Director, that happened on Dec 31 ’24 when 6000.0 shares were sold. Director, CALBERT MICHAEL M completed a deal on Dec 31 ’24 to buy 6000.0 shares. Meanwhile, EVP & Chief Merchandising Ofc TAYLOR EMILY C sold 4740.0 shares on Dec 13 ’24.

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