20-Year Pro Trader Reveals His "MoneyLine"
Ditch your indicators and use the "MoneyLine." A simple line tells you when to buy and sell without the guesswork. It’s a line on a chart that’s helped Nic Chahine win 83% of his options buys. Here's how he does it.
In the latest quarter, 18 analysts provided ratings for Dollar Tree (NASDAQ:DLTR), showcasing a mix of bullish and bearish perspectives.
The table below provides a snapshot of their recent ratings, showcasing how sentiments have evolved over the past 30 days and comparing them to the preceding months.
| Bullish | Somewhat Bullish | Indifferent | Somewhat Bearish | Bearish | |
|---|---|---|---|---|---|
| Total Ratings | 4 | 10 | 4 | 0 | 0 |
| Last 30D | 0 | 1 | 0 | 0 | 0 |
| 1M Ago | 0 | 1 | 3 | 0 | 0 |
| 2M Ago | 3 | 8 | 1 | 0 | 0 |
| 3M Ago | 1 | 0 | 0 | 0 | 0 |
Analysts have set 12-month price targets for Dollar Tree, revealing an average target of $156.5, a high estimate of $180.00, and a low estimate of $140.00. Experiencing a 1.29% decline, the current average is now lower than the previous average price target of $158.54.
Understanding Analyst Ratings: A Comprehensive Breakdown
A clear picture of Dollar Tree's perception among financial experts is painted with a thorough analysis of recent analyst actions. The summary below outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.
| Analyst | Analyst Firm | Action Taken | Rating | Current Price Target | Prior Price Target |
|---|---|---|---|---|---|
| Bradley Thomas | Keybanc | Announces | Overweight | $150.00 | - |
| Greg Melich | Evercore ISI Group | Lowers | In-Line | $142.00 | $144.00 |
| Matthew Boss | JP Morgan | Raises | Overweight | $152.00 | $144.00 |
| Chuck Grom | Gordon Haskett | Lowers | Hold | $140.00 | $150.00 |
| Greg Melich | Evercore ISI Group | Raises | In-Line | $145.00 | $144.00 |
| Anthony Chukumba | Loop Capital | Lowers | Buy | $170.00 | $195.00 |
| Michael Montani | Evercore ISI Group | Lowers | In-Line | $144.00 | $157.00 |
| Kelly Bania | BMO Capital | Lowers | Outperform | $160.00 | $170.00 |
| Peter Keith | Piper Sandler | Lowers | Overweight | $168.00 | $171.00 |
| Scot Ciccarelli | Truist Securities | Lowers | Buy | $147.00 | $149.00 |
| Matthew Boss | JP Morgan | Lowers | Overweight | $144.00 | $165.00 |
| Joseph Feldman | Telsey Advisory Group | Maintains | Outperform | $160.00 | - |
| Joseph Feldman | Telsey Advisory Group | Maintains | Outperform | $160.00 | - |
| Matthew Boss | JP Morgan | Raises | Overweight | $165.00 | $157.00 |
| Joseph Feldman | Telsey Advisory Group | Maintains | Outperform | $160.00 | - |
| John Heinbockel | Guggenheim | Raises | Buy | $170.00 | $155.00 |
| Edward Kelly | Wells Fargo | Raises | Overweight | $180.00 | $160.00 |
| Chuck Grom | Gordon Haskett | Announces | Buy | $160.00 | - |
Key Insights:
- Action Taken: Analysts frequently update their recommendations based on evolving market conditions and company performance. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their reaction to recent developments related to Dollar Tree. This information provides a snapshot of how analysts perceive the current state of the company.
- Rating: Offering a comprehensive view, analysts assess stocks qualitatively, spanning from 'Outperform' to 'Underperform'. These ratings convey expectations for the relative performance of Dollar Tree compared to the broader market.
- Price Targets: Analysts provide insights into price targets, offering estimates for the future value of Dollar Tree's stock. This comparison reveals trends in analysts' expectations over time.
Analyzing these analyst evaluations alongside relevant financial metrics can provide a comprehensive view of Dollar Tree's market position. Stay informed and make data-driven decisions with the assistance of our Ratings Table.
Stay up to date on Dollar Tree analyst ratings.
All You Need to Know About Dollar Tree
Dollar Tree operates discount stores across the United States and Canada, with over 8,400 shops under its namesake banner and 8,350 under Family Dollar. About 47% of Dollar Tree's sales in fiscal 2023 were composed of consumables (including food, health and beauty, and cleaning products), around 45% from variety items (including toys and homewares), and over 5% from seasonal items. The Dollar Tree banner sells most of its merchandise at the $1.25 price point and positions its stores in well-populated suburban markets. Conversely, Family Dollar primarily sells consumable merchandise (80% of the banner's sales) at prices below $10. About two-thirds of Family Dollar's stores are located in urban and suburban markets, with the remaining one-third located in rural areas.
A Deep Dive into Dollar Tree's Financials
Market Capitalization Analysis: Below industry benchmarks, the company's market capitalization reflects a smaller scale relative to peers. This could be attributed to factors such as growth expectations or operational capacity.
Positive Revenue Trend: Examining Dollar Tree's financials over 3 months reveals a positive narrative. The company achieved a noteworthy revenue growth rate of 11.91% as of 31 January, 2024, showcasing a substantial increase in top-line earnings. In comparison to its industry peers, the company stands out with a growth rate higher than the average among peers in the Consumer Staples sector.
Net Margin: Dollar Tree's net margin is below industry standards, pointing towards difficulties in achieving strong profitability. With a net margin of -19.79%, the company may encounter challenges in effective cost control.
Return on Equity (ROE): Dollar Tree's ROE is below industry averages, indicating potential challenges in efficiently utilizing equity capital. With an ROE of -20.96%, the company may face hurdles in achieving optimal financial returns.
Return on Assets (ROA): The company's ROA is below industry benchmarks, signaling potential difficulties in efficiently utilizing assets. With an ROA of -7.43%, the company may need to address challenges in generating satisfactory returns from its assets.
Debt Management: Dollar Tree's debt-to-equity ratio is below industry norms, indicating a sound financial structure with a ratio of 1.42.
How Are Analyst Ratings Determined?
Analyst ratings serve as essential indicators of stock performance, provided by experts in banking and financial systems. These specialists diligently analyze company financial statements, participate in conference calls, and engage with insiders to generate quarterly ratings for individual stocks.
Some analysts publish their predictions for metrics such as growth estimates, earnings, and revenue to provide additional guidance with their ratings. When using analyst ratings, it is important to keep in mind that stock and sector analysts are also human and are only offering their opinions to investors.
This article was generated by Benzinga's automated content engine and reviewed by an editor.
20-Year Pro Trader Reveals His "MoneyLine"
Ditch your indicators and use the "MoneyLine." A simple line tells you when to buy and sell without the guesswork. It’s a line on a chart that’s helped Nic Chahine win 83% of his options buys. Here's how he does it.
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