Dollar General: Telsey Advisory Group Raises PT to $120, Maintains Market Perform Rating

Dollar General: Telsey Advisory Group Raises PT to $120, Maintains Market Perform Rating

Dollar General (NYSE:DG) has seen a significant boost in its stock price and analyst ratings following recent developments. Telsey Advisory Group, a prominent financial advisory firm, has reiterated its Market Perform rating on Dollar General stock while raising its price target to $120.00 [1].

The stock has shown remarkable strength over the past six months, returning 51.5% and outperforming the S&P 500's 1.95% gain. This performance has been driven by strategic appointments and partnerships, including the appointment of Donny Lau as the new Chief Financial Officer (CFO) [1].

Lau, who previously served as SVP of Finance and Chief Strategy Officer at Dollar General from 2017 to 2023, brings extensive financial expertise from his roles at Zaxby’s Franchising LLC and Yum! Brands (NYSE:YUM). His appointment is expected to bring a swift adjustment and success to the role, as noted by Telsey [1].

Additionally, Dollar General has partnered with Uber Technologies (NYSE:UBER) to expand its reach through the Uber Eats platform, bringing over 14,000 locations to the service [1]. This strategic move is anticipated to drive growth and enhance customer convenience.

The company's stock has also gained attention from other analysts. Truist Securities has raised its price target to $119, maintaining a Hold rating, while Piper Sandler has increased its target to $115, citing benefits from the company's store remodel program and modest store growth [1].

Investors should keep a close eye on Dollar General's earnings report, scheduled for August 28, 2025. The company is expected to post an EPS of $1.56, indicating an 8.24% decline compared to the same quarter last year. The full-year EPS is expected to be $5.77 per share, representing a -2.53% change from last year [2].

In terms of valuation, Dollar General is currently trading with a Forward P/E ratio of 19.54, which is a discount compared to the industry average of 23.07. The company's PEG ratio is 2.76, indicating a reasonable balance between its earnings growth and price [2].

Overall, the recent developments and analyst ratings suggest a period of transition and strategic expansion for Dollar General. As the company continues to navigate these changes, investors will be closely monitoring its performance and earnings reports.

References:
[1] https://www.investing.com/news/analyst-ratings/dollar-general-stock-holds-steady-as-telsey-reiterates-market-perform-rating-93CH-4203919
[2] https://www.nasdaq.com/articles/dollar-general-dg-gains-market-dips-what-you-should-know-0