Dollar General (NYSE:DG) Posts Earnings Results, Beats Expectations By $0.11 EPS

Posted by Francis Steltz on Jun 4th, 2026

Dollar General (NYSE:DG – Get Free Report) released its quarterly earnings data on Tuesday. The company reported $2.00 EPS for the quarter, topping analysts’ consensus estimates of $1.89 by $0.11, FiscalAI reports. Dollar General had a return on equity of 18.65% and a net margin of 3.63%.The business had revenue of $10.79 billion during the quarter, compared to the consensus estimate of $10.81 billion. During the same period in the prior year, the firm posted $1.78 EPS. The business’s revenue for the quarter was up 3.4% on a year-over-year basis. Dollar General updated its FY 2026 guidance to 7.200-7.450 EPS.

Here are the key takeaways from Dollar General’s conference call:

Dollar General beat Q1 expectations, with EPS rising 12.4% to $2 and operating profit up 10.8%, helped by 65 bps of gross margin expansion that more than offset weather and higher fuel costs.
Same-store sales increased 2%, driven by 1.4% traffic growth and higher basket size, marking the fourth straight quarter of traffic gains and the fifth consecutive quarter of positive comp growth across all four merchandising categories.
The company raised full-year 2026 guidance to net sales growth of 3.7%-4.2% and EPS of $7.20-$7.45, reflecting strong Q1 execution and continued momentum despite inflation, fuel costs, and tariff uncertainty.
Management said its value proposition is attracting both core and higher-income shoppers, with the $1 price point and Value Valley outperforming strongly, while delivery and targeted promotions are adding incremental traffic and sales.
The company continues to invest in margin and growth initiatives, including shrink reduction, DG Media Network, remodels, supply chain productivity, AI, and store expansion, while expecting fuel costs to stay elevated and promoting selectively.

Dollar General Trading Down 1.1%

Dollar General stock opened at $105.10 on Thursday. The company has a debt-to-equity ratio of 0.52, a quick ratio of 0.22 and a current ratio of 1.17. The firm has a market cap of $23.15 billion, a price-to-earnings ratio of 14.87, a price-to-earnings-growth ratio of 1.76 and a beta of 0.26. Dollar General has a 1 year low of $95.11 and a 1 year high of $158.23. The firm’s 50 day moving average price is $114.46 and its two-hundred day moving average price is $128.74.

Dollar General Announces Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Tuesday, July 21st. Investors of record on Tuesday, July 7th will be paid a dividend of $0.59 per share. This represents a $2.36 dividend on an annualized basis and a dividend yield of 2.2%. The ex-dividend date is Tuesday, July 7th. Dollar General’s dividend payout ratio (DPR) is currently 34.45%.

Dollar General News Summary

Here are the key news stories impacting Dollar General this week:

Positive Sentiment: Dollar General beat Q1 EPS expectations, reporting $2.00 per share versus $1.89 expected, while revenue grew 3.4% year over year to $10.79 billion. The company also lifted its FY2026 profit outlook to $7.20-$7.45 EPS, signaling confidence in earnings momentum. Dollar General earnings report and conference call
Positive Sentiment: Management pointed to positive customer traffic, margin expansion, and inventory discipline, suggesting operational improvements are helping offset weather and fuel-cost pressures. Dollar General Q1 earnings call highlights
Positive Sentiment: Several analysts nudged earnings estimates higher after the results, including KeyCorp, which raised its Q3 and Q4 2027 EPS forecasts. Dollar General analyst updates
Neutral Sentiment: Analyst views remain mixed overall: some firms kept buy or hold-equivalent ratings, while others cut price targets, reflecting cautious sentiment despite the earnings beat.
Negative Sentiment: Citigroup, Goldman Sachs, BNP Paribas Exane, HSBC, Evercore, Guggenheim, Loop Capital, and Telsey all lowered price targets, suggesting limited near-term upside in some analysts’ eyes. Citigroup price target cut
Negative Sentiment: Management said core customers are under more pressure from higher gas prices and reduced SNAP benefits, which could weigh on spending trends if conditions worsen. Dollar General customer pressure article

Wall Street Analysts Forecast Growth

DG has been the subject of several recent research reports. Wolfe Research reiterated an “outperform” rating and issued a $165.00 price target on shares of Dollar General in a report on Thursday, March 12th. Oppenheimer lowered their target price on Dollar General from $170.00 to $150.00 and set an “outperform” rating for the company in a research note on Friday, May 29th. Rothschild & Co Redburn lowered their target price on Dollar General from $111.00 to $90.00 and set a “sell” rating for the company in a research note on Monday, May 18th. Gordon Haskett downgraded Dollar General from a “buy” rating to a “hold” rating and lowered their target price for the company from $140.00 to $110.00 in a research note on Friday, May 22nd. Finally, Telsey Advisory Group lowered their target price on Dollar General from $140.00 to $125.00 and set a “market perform” rating for the company in a research note on Wednesday. Eleven investment analysts have rated the stock with a Buy rating, sixteen have assigned a Hold rating and one has issued a Sell rating to the company. According to MarketBeat, Dollar General presently has an average rating of “Hold” and a consensus target price of $134.15.

View Our Latest Stock Analysis on DG

Institutional Inflows and Outflows

Hedge funds have recently added to or reduced their stakes in the business. Kemnay Advisory Services Inc. acquired a new position in Dollar General in the fourth quarter worth approximately $31,000. Hollencrest Capital Management acquired a new position in Dollar General in the fourth quarter worth approximately $40,000. DV Equities LLC acquired a new position in Dollar General in the fourth quarter worth approximately $41,000. Summit Securities Group LLC grew its position in Dollar General by 43.4% in the fourth quarter. Summit Securities Group LLC now owns 542 shares of the company’s stock worth $72,000 after buying an additional 164 shares during the last quarter. Finally, MUFG Securities EMEA plc acquired a new position in Dollar General in the second quarter worth approximately $74,000. Institutional investors and hedge funds own 91.77% of the company’s stock.

Dollar General Company Profile

(Get Free Report)

Dollar General Corporation is a U.S.-based variety and discount retailer operating a large network of small-format stores that serve primarily rural and suburban communities. The company is publicly traded on the New York Stock Exchange under the ticker DG and is headquartered in the Nashville/Goodlettsville, Tennessee area. Founded in 1939, Dollar General has grown from a regional operation into one of the nation’s prominent low-price retailers focused on convenience and value.

Dollar General’s stores offer a wide assortment of everyday consumables and household goods, including food and beverage items, cleaning supplies, health and beauty products, paper goods, apparel basics, seasonal merchandise and small household items.