Earnings Preview: Dollar General (DG) Q2 Earnings Expected to Decline

Dollar General (DG) is expected to report Q2 earnings of $1.56 per share, down 8.2% YoY, and revenues of $10.67 billion, up 4.5% YoY. Analysts have revised their estimates, with the consensus EPS estimate up 0.05% over the last 30 days. The Zacks Earnings ESP model, which compares the most accurate estimate to the Zacks consensus estimate, is expected to be positive, indicating a potential earnings beat.

Dollar General (DG) is set to report its Q2 earnings on August 28, 2025, with analysts expecting an EPS of $1.56 per share, marking an 8.2% year-over-year (YoY) decline. Revenues are forecasted to reach $10.67 billion, representing a 4.5% YoY growth. The consensus EPS estimate has been revised upward by 0.05% over the past 30 days, indicating a potential earnings beat.

Jefferies, a prominent brokerage firm, recently raised its price target for Dollar General shares by 3% to $130, maintaining a "buy" recommendation. The firm cited improved store traffic in the second quarter as a positive indicator for upcoming results. Jefferies has also raised its sales growth forecast to 4.8%, while keeping its EPS estimate at $1.63 [1].

Analysts and investors are closely monitoring Dollar General's performance, with the stock having gained 2.69% in the past month. The Retail-Wholesale sector, which includes Dollar General, has seen a 3.1% gain over the same period, outperforming the S&P 500's 1.95% increase. The company's stock is currently trading at $114.85, with a Forward P/E ratio of 19.54, which is slightly lower than the industry average of 23.07 [2].

The Zacks Earnings ESP model, which compares the most accurate estimate to the Zacks consensus estimate, is expected to be positive for Dollar General, suggesting a potential earnings beat. The Zacks Rank for Dollar General is currently #3 (Hold), indicating a moderate level of analyst optimism. The company's PEG ratio of 2.76 is slightly lower than the industry average of 2.84, indicating a relatively undervalued stock.

Investors should keep an eye on Dollar General's earnings report and any updates to analyst estimates, as positive revisions can signal optimism and potentially drive stock performance. For the latest recommendations and stock-moving metrics, visit Zacks.com [2].

References:
[1] https://www.marketscreener.com/news/dollar-general-jefferies-raises-target-price-ce7c51ddda89f321
[2] https://finance.yahoo.com/news/dollar-general-dg-gains-market-221501680.html