Dollar Tree, Inc. (DLTR) is a major U.S. discount retailer headquartered in Virginia, operating over 9,000 stores under the Dollar Tree and Dollar Tree Canada brands. With a market cap of $24 billion, the company offers a wide range of consumables, seasonal goods, and general merchandise through its physical locations and bulk e-commerce platform, DollarTree.com, supported by a nationwide logistics network.
The company is expected to announce its fiscal Q2 2025 earnings results on Wednesday, Sept. 3. Ahead of this event, analysts expect the company to report an adjusted EPS of $0.36, down 46.3% from $0.67 in the year-ago quarter. It has surpassed Wall Street's earnings estimates in two of the last four quarters while missing on two other occasions.
For fiscal 2025, analysts expect the discount store chain to report an adjusted EPS of $5.43, up 6.5% from $5.10 in fiscal 2024. In addition, adjusted EPS is anticipated to grow 15.1% year-over-year to $6.25 in fiscal 2026.
DLTR shares have climbed 10.2% over the past 52 weeks, lagging behind both the S&P 500 Index's ($SPX) 17.3% gain but surpassing the Consumer Staples Select Sector SPDR Fund’s (XLP) 4.6% return over the same period.
On July 21, shares of Dollar Tree gained more than 2% following an upgrade from Barclays plc (BCS), which raised its rating on the stock to “Overweight” from “Equal Weight.” The firm also lifted its price target to $120, citing improved fundamentals and growing confidence in the company’s turnaround strategy. Barclays highlighted Dollar Tree’s focus on reaccelerating growth through store remodels, pricing flexibility with its Dollar Tree Plus format, and the recent divestiture of its underperforming Family Dollar segment as key catalysts. The upgrade reflects optimism around the retailer’s potential to expand margins, drive stronger traffic, and enhance shareholder value in the coming quarters.
Analysts' consensus view on Dollar Tree’s stock is cautiously optimistic, with a "Moderate Buy" rating overall. Among 23 analysts covering the stock, eight recommend "Strong Buy," 13 suggest "Hold," one gives "Moderate Sell," and one “Strong Sell.” DLTR currently trades above its average analyst price target of $99.28.
