Dollar Tree (DLTR, $146.48) beats Q4 earnings expectations
Dollar Tree posted its fourth quarter earnings that exceeded the Zacks Consensus Estimate.
The discount retail chain’s earnings fell -5.6% year over year to $2.01 per share in the quarter, well above the Zacks Consensus Estimate of $1.79.
Consolidated net sales rose +4.6% from the year-ago quarter to $7,044.7 million but fell short of the Zacks Consensus Estimate of $7,127 million.
Enterprise same-store sales (comps) rose +2.5% year over year. Comps at the Dollar Tree banner were up +3.1%, while comps for the Family Dollar banner increased +1.7% year over year.
The company’s gross margin narrowed -160 bps to 30.2%, amid higher freight costs and recall-related markdowns, partly offset by continued improvement in shrink, positive product mix and lower distribution costs. The gross margin fell -50 bps to 35.6% at the Dollar Tree banner and -320 bps to 23.4% at the Family Dollar banner.
For fiscal 2022, the company expects to complete 800 Family Dollar H2 Renovations as part of the Key Real Estate Initiative, out of which there will be 190 Dollar Tree stores and 400 Family Dollar stores. Within the Family Dollar segment, 350 stores will be in the Combo Store format. The company plans to expand the $3 and $5 Plus assortments to more than 1,500 Dollar Tree stores.
DLTR in +1.66% Uptrend, rising for three consecutive days on August 07, 2026
Moving higher for three straight days is viewed as a bullish sign. Keep an eye on this stock for future growth. Considering data from situations where DLTR advanced for three days, in of 290 cases, the price rose further within the following month. The odds of a continued upward trend are .
Technical Analysis (Indicators)
Bullish Trend Analysis
The 50-day moving average for DLTR moved above the 200-day moving average on July 24, 2026. This could be a long-term bullish signal for the stock as the stock shifts to an upward trend.
DLTR may jump back above the lower band and head toward the middle band. Traders may consider buying the stock or exploring call options.
The Aroon Indicator entered an Uptrend today. In of 323 cases where DLTR Aroon's Indicator entered an Uptrend, the price rose further within the following month. The odds of a continued Uptrend are .
Bearish Trend Analysis
The Stochastic Oscillator may be shifting from an upward trend to a downward trend. In of 60 cases where DLTR's Stochastic Oscillator exited the overbought zone, the price fell further within the following month. The odds of a continued downward trend are .
The Momentum Indicator moved below the 0 level on August 12, 2026. You may want to consider selling the stock, shorting the stock, or exploring put options on DLTR as a result. In of 63 cases where the Momentum Indicator fell below 0, the stock fell further within the subsequent month. The odds of a continued downward trend are .
The Moving Average Convergence Divergence Histogram (MACD) for DLTR turned negative on August 10, 2026. This could be a sign that the stock is set to turn lower in the coming weeks. Traders may want to sell the stock or buy put options. Tickeron's A.I.dvisor looked at 43 similar instances when the indicator turned negative. In of the 43 cases the stock turned lower in the days that followed. This puts the odds of success at .
Following a 3-day decline, the stock is projected to fall further. Considering past instances where DLTR declined for three days, the price rose further in of 62 cases within the following month. The odds of a continued downward trend are .
Fundamental Analysis (Ratings)
The Tickeron SMR rating for this company is (best 1 - 100 worst), indicating very strong sales and a profitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.
The Tickeron Price Growth Rating for this company is (best 1 - 100 worst), indicating steady price growth. DLTR’s price grows at a higher rate over the last 12 months as compared to S&P 500 index constituents.
The Tickeron PE Growth Rating for this company is (best 1 - 100 worst), pointing to consistent earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.
The Tickeron Profit vs. Risk Rating rating for this company is (best 1 - 100 worst), indicating that the returns do not compensate for the risks. DLTR’s unstable profits reported over time resulted in significant Drawdowns within these last five years. A stable profit reduces stock drawdown and volatility. The average Profit vs. Risk Rating rating for the industry is 62, placing this stock worse than average.
The Tickeron Valuation Rating of (best 1 - 100 worst) indicates that the company is significantly overvalued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: P/B Ratio (7.097) is normal, around the industry mean (7.669). P/E Ratio (20.791) is within average values for comparable stocks, (38.305). Projected Growth (PEG Ratio) (1.616) is also within normal values, averaging (2.906). DLTR has a moderately low Dividend Yield (0.000) as compared to the industry average of (0.014). P/S Ratio (1.326) is also within normal values, averaging (1.064).
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General Information
an operator of discount variety stores
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