On the upside, Dollar Tree, Inc. (NASDAQ:DLTR) will test short term resistance at around $97.56. On a downside, the share price is likely to find some support, which begins at $94.64. The failure to get near-term support could push it to $92.86. Its 50 day simple moving average (SMA 50) price is $86.61 and its 200-day simple moving average (SMA 200) price is $88.51. The company’s stock currently has a total float of 231.37M shares. Its weekly volatility is hovering around 2.78% and felt 2.59% volatility in price over a month.
DLTR stock has been range bound between the range of $94.01 and $94.01 during the whole day. The stock finished Thursday at $96.41. The -0.78% downtrend forced its market value to reach at $22.53B. The price went up as high as $94.01 before retreating. Trading activity significantly improved as the volume at ready counter increased to 3,439,126 shares versus 3,278,300 in average daily trading volume over the past 20 days. So far this year, the volume has averaged about 3,747,529 shares. The stock is now 22.38% above against its bear-market low of $78.78 on October 11, 2018. It has retreated -20.99% since it’s 52-week high of $116.65 reached in January. Now the market price is down -12.11% on the year and up 6.74% YTD.
Separately, it has been reported that multiple insider activity took place at Dollar Tree, Inc. (DLTR). Director Lewis Lemuel E acquired 1,210 shares for $52,666 in transaction occurred on 2018/09/27. After making this transaction, the Director owns a direct stake of 100,128 shares, worth $5,077,529, as per the last closing price. On 2018/06/18 Whiddon Thomas E, Director at DLTR, purchased 2,250 shares at an average price of $88.78 per share. The new stake is valued at $2,518,326.
Director, Naylor Jeffrey G had invested in 3,000 shares for $242 through a trade on 2018/06/05. Following this activity, the insider holds 246,240 shares worth $23,331 as of recent close. Wall Street’s most bullish Dollar Tree, Inc. (NASDAQ:DLTR) analysts are predicting the share price to blow past $116 per share during the next 12 months. The current median share price forecast by them is $98, suggesting that the stock could increase 1.65% in that time frame. The average price target of $98.54 calls for a nearly 2.21% increase in the stock price.
It had seen a positive analyst call from Buckingham Research, which upgraded the stock from Neutral to Buy on January 08. Analysts at Gordon Haskett, shed their negative views on January 07 by lifting it fromHold to Accumulate. The stock won favor of Bernstein analysts who expressed their confidence in it using an upgrade from Mkt Perform to Outperform on December 14. Gordon Haskett analysts came out with bearish views on October 15 when the call was made. They think the stock is now Hold compared to to their prior call for Accumulate.
When looking at valuations, Dollar Tree, Inc. (DLTR) has a cheap P/E of 19.25x as compared to industry average of 27x. Moreover, it trades for 16.59 times the next 12 months of expected earnings. Also, it is trading at rather expensive levels at just over 2.89x price/book and 0.98x price/sales. Compared to others, Dollar Tree, Inc. is in a different league with regards to profitability, having net margins of 7.6%. To put some perspective around this, the industry’s average net margin is 4.68%. DLTR’s ROE is 23.3%, which is also considerably worse than the industry’s ROE of 23.79%. It’s also very liquid in the near term, with a current ratio of 2.2. The stock has a debt/capital of 0.65.
Shares of Dollar Tree, Inc. (DLTR) have gained 16.6% since the company’s Apr-19 earnings report. Over the past 12 fiscal quarters, Dollar Tree, Inc. (NASDAQ:DLTR) has topped consensus earnings estimates in 6 quarters (50%), missed earnings in 6 quarters (50%), whereas at 0 occasion EPS met analyst expectations. DLTR last reported earnings on November 29, 2018 when it released Jul-18 results that receded expectations. The company raked in $1.15 per share, 283.33% change on the same period last year. That was worse than consensus for $1.15. Revenue for the recent quarter stood at $5.53 billion, up 5% on last year and below the $5.53 billion predicted by analysts. For this quarter, Wall Street analysts forecast revenue in a range of $5.81 billion to $6 billion, which should be compared with $0 generated last year. EPS is seen in a range of $1.34 to $1.49, against the 0 reported a year ago.