Dollar Tree Earnings Incoming

On Wednesday, Dollar Tree (DLTR) will release its earnings report for the quarter, and we have the scoop on what to expect from the release.

Dollar Tree is a discount retailer listed on the Nasdaq Composite index. Over the last quarter, Dollar Tree was right on target with the analyst predictions. The revenue for that quarter was $7.63 billion, and that is a 4.2% increase from the same time last year.  

The expectation now is that Dollar Tree will report a revenue increase of about 2.1% with about $7.18 billion in revenue. That is significantly down from the earnings leap the company enjoyed last year during this same quarter, when revenue jumped more than 8%.

The EPS (earnings per share) are expected to be $1.04, which should place the company in good standing with investors. Retailers are up across the country, with both Target and Walmart reporting excellent earnings over the last quarter and overall retail sales climbing.

Consumer spending in July was up 1%, which was better than expected and came mostly from the retail sector. The estimate placed spending with an increase of just 0.3%. Coupled with a good unemployment claims report that showed a decrease of 7,000 from the week before, the US economy is slowly improving.

Dollar Tree Performance and Expectations

With that positive economic news coming in, consumers are more likely to spend money and less likely to hold onto and save their cash. That could mean good things for Dollar Tree, and we could see the company perform extremely well heading into the holiday season.

For 2024, Dollar Tree’s stock has plummeted. The price has dropped from $136 per share to $84, and even now the stock price is slightly down from the day before. Still, Dollar Tree could turn things around.

Over the last few months, the company’s stock price has continued to decline, but we do expect a bump tomorrow as the earnings report is released.