Kate McShane, an analyst from Goldman Sachs, maintained the Buy rating on Dollar Tree. The associated price target is $130.00.
Meet Your ETF AI Analyst
- Discover how TipRanks' ETF AI Analyst can help you make smarter investment decisions
- Explore ETFs TipRanks' users love and see what insights the ETF AI Analyst reveals about the ones you follow.
Kate McShane’s rating is based on Dollar Tree’s reaffirmation of its third-quarter and fiscal year 2025 guidance, alongside the announcement of a new earnings per share (EPS) growth target through 2028. This target is supported by the absence of recent discrete cost items, such as tariff mitigation and the sale of Family Dollar, which have previously impacted financial performance. The company’s stock showed a positive reaction, rising approximately 6% in pre-market trading.
Additionally, Dollar Tree’s new EPS outlook projects a compound annual growth rate of 12 to 15 percent for fiscal years 2026 to 2028. This growth is driven by an underlying annual EPS increase of 8 to 10 percent, further enhanced by the absence of past cost challenges. The management also anticipates a high-teens percentage growth in EPS for fiscal year 2026, attributed to the timing of certain cost benefits. These factors collectively contribute to McShane’s Buy rating for Dollar Tree.
In another report released yesterday, Telsey Advisory also maintained a Buy rating on the stock with a $130.00 price target.
DLTR’s price has also changed moderately for the past six months – from $71.800 to $95.970, which is a 33.66% increase.