Dollar Tree says ‘increasingly likely’ board will consider ‘modest dividend’

During the company’s investor day meeting, executives from Dollar Tree (DLTR) stated: “We think it’s increasingly likely that our board will consider introducing a modest dividend in the next year as a compliment to our share repurchase program. While our current stock price supports allocating excess cash to buybacks, we believe that over time our free cash flow would support a dividend as well. This brings us back to the pathway to our earnings growth. Underpinning each of the elements of of these earnings growth are specific actions and initiatives we believe can drive that growth.”