Dollar General Corporation

Dollar General Corporation

Dollar General Corporation (DG) is a US-based discount retailer operating thousands of small-format stores that sell everyday essentials at low prices. With a market capitalisation around $23.22 billion, the company targets value-focused shoppers in rural and suburban areas, using a limited-assortment model, private-label goods and high inventory turnover to drive profitability. Growth has come from a combination of same-store sales, steady new-store openings and cost management initiatives. Strengths include a large physical footprint, resilient demand in moderate economic conditions and a focus on convenience for time-pressed consumers. Key risks are intense competition from other discounters and big-box retailers, margin pressure from rising input and labour costs, and the growing role of e-commerce. Dollar General historically returns cash via dividends and buybacks, but payout levels and repurchase activity can vary. This summary is educational and not personalised investment advice; values can fall as well as rise and past performance is no guarantee of future results.

Why It's Moving

Dollar General Corporation

Dollar General jumps after stronger-than-expected Q3 and an upgraded outlook, fueling a holiday-season rally

Shares rallied after Dollar General reported Q3 results that beat Street forecasts and the company raised full-year guidance, a signal that its value-oriented model is capturing resilient holiday demand. Traders and analysts reacted to both the earnings beat and updated sales/earnings outlook, lifting sentiment despite some short-term technical caution.

Sentiment:
πŸƒBullish
  • Earnings beat: Dollar General posted Q3 EPS of $1.28, well above the consensus of about $0.95, driven by margin improvement and lower inventory losses β€” a result that prompted immediate upward revisions to analyst forecasts.[2][5]
  • Guidance raised: Management raised fiscal 2025 EPS guidance to $6.30–$6.50 and nudged sales guidance higher, implying stronger-than-expected underlying demand and giving investors more confidence in the company’s ability to sustain profitability into the holiday quarter.[2][5]
  • Market reaction and risks: Shares jumped roughly 5–6% on the news and several brokerages lifted targets, but technical indicators flagged the stock as overbought after a sharp rally, creating near-term pullback risk even as fundamentals improved.[1][3]

Stock Performance Snapshot

Buy

Analyst Rating

Analysts suggest buying Dollar General's stock, expecting its price to rise in the future.

Above Average

Financial Health

Dollar General is performing well with strong revenue and cash flow, indicating solid business operations.

Average

Dividend

Dollar General's average dividend yield of 1.77% offers some returns, but less than many other options. If you invested $1000 you would be paid $17.60 a year in dividends (based on the last 12 months).

Source: Analyst sentiment is provided by Refinitiv Ltd, a global leader in financial market data with over 40k business clients. Refinitiv Ltd is an independent third party to Nemo. This is not advice.

Baskets Featuring DG

Government Shutdown Impact: Defensive Stocks Explained

Government Shutdown Impact: Defensive Stocks Explained

A U.S. government shutdown has been triggered by a congressional budget impasse, creating economic uncertainty. This theme focuses on companies in defensive sectors that may prove resilient to the resulting market volatility and disruptions in federal spending.

Published: October 2, 2025

Explore Basket
Value Retail Stocks (Budget-Conscious Consumer Play)

Value Retail Stocks (Budget-Conscious Consumer Play)

With consumer sentiment falling, particularly among budget-conscious households, spending habits are shifting towards value-focused retailers. This theme identifies companies poised to attract customers who are looking to stretch their dollars on essential goods.

Published: September 14, 2025

Explore Basket
Consumer Sentiment Drop (Four-Month Low) Aids Retailers

Consumer Sentiment Drop (Four-Month Low) Aids Retailers

A sharp drop in consumer sentiment to a four-month low indicates that households, especially lower and middle-income ones, are feeling financial pressure. This creates an investment opportunity in discount and off-price retailers, which stand to gain as consumers shift their spending to value-oriented stores.

Published: September 13, 2025

Explore Basket
Discount Retailers: What's Next as Job Market Cools

Discount Retailers: What's Next as Job Market Cools

Recent data shows that initial jobless claims have risen to their highest level since June, signaling a potential cooling of the U.S. labor market. This trend could shift consumer spending towards essentials and value, benefiting discount retailers and consumer staples companies.

Published: September 5, 2025

Explore Basket
Discount Retail Trends 2025: Market Analysis & Risks

Discount Retail Trends 2025: Market Analysis & Risks

Walmart has raised its sales and earnings forecast, demonstrating strong performance despite rising tariff costs. This success highlights an investment opportunity in discount retailers and the logistics companies that support their growing e-commerce operations.

Published: August 22, 2025

Explore Basket
Consumer Caution: Investing In Value And Staples

Consumer Caution: Investing In Value And Staples

A recent drop in consumer sentiment, fueled by persistent inflation, suggests a potential slowdown in consumer spending. This environment could benefit companies that offer essential goods and value, such as consumer staples and discount retailers.

Published: August 20, 2025

Explore Basket
Consumer Caution: Value Prevails

Consumer Caution: Value Prevails

A sharp drop in consumer sentiment, driven by persistent inflation fears, signals a potential shift in household spending. This theme focuses on companies poised to benefit as consumers prioritize essential goods and seek value.

Published: August 18, 2025

Explore Basket
Job Market Strength Fuels Consumer Spending

Job Market Strength Fuels Consumer Spending

Recent data shows jobless claims have fallen for six consecutive weeks, signaling a resilient labor market. This trend suggests continued economic stability and creates potential opportunities in companies that benefit from strong consumer spending.

Published: July 27, 2025

Explore Basket
The Great Retail Price Divide

The Great Retail Price Divide

This collection of stocks represents retailers capitalizing on Amazon's price increases by offering better deals on everyday essentials. These companies were carefully selected by our analysts for their potential to attract budget-conscious shoppers looking for more affordable alternatives.

Published: July 21, 2025

Explore Basket
Second Chance Employers

Second Chance Employers

Looking for investments with heart and smarts? These companies are changing lives through fair chance hiring practices, employing individuals rebuilding their lives after incarceration. Handpicked by our analysts, these forward-thinking businesses aren't just driving social changeβ€”they're building loyal workforces that boost their bottom line.

Published: June 17, 2025

Explore Basket
Everyday Essentials

Everyday Essentials

These companies power our daily lives by offering must-have products at wallet-friendly prices. Carefully selected by our analysts, this collection features retail giants with business models built to thrive even when consumers are watching every penny.

Published: June 17, 2025

Explore Basket

Why You’ll Want to Watch This Stock

πŸ“ˆ

Steady cash flows

Small, convenience-focused stores and repeat purchasing can support stable cash flow, though margins may fluctuate with costs and competition.

🌍

Large store footprint

A dense network across rural and suburban US markets offers reach and convenience, but expansion faces saturation and execution risks.

⚑

Cost and supply focus

Private-label products and supply-chain efficiency drive margin potential, yet input costs and logistics disruptions can pressure profitability.

Compare Dollar General with other stocks

Formula One GroupDollar General

Formula One Group vs Dollar General

Formula One Group vs Dollar General

Li AutoDollar General

Li Auto vs Dollar General

Li Auto vs Dollar General

Williams-SonomaDollar General

Williams-Sonoma vs Dollar General

Williams-Sonoma vs Dollar General

Why invest with Nemo?

Nemo Logo Fade
πŸ†“

Zero Commission

Trade stocks, ETFs, and more with zero commission. Keep more of your returns.

πŸ”’

Trusted & Regulated

Part of Exinity Group 2015, serving over a million customers globally.

πŸ’°

6% Interest on Cash

Earn 6% AER on uninvested cash with daily interest payments.

Discover More Opportunities

AMZN

Amazon.com Inc.

Amazon is an online retail and marketplace platform that offers a wide variety of products, services, and digital content.

COST

Costco Wholesale

Wholesale retailer, selling merchandise in bulk to its members at low prices

CPNG

Coupang, LLC

Global ecommerce company that provides products and services to customers in South Korea

Frequently asked questions