Dollar General Corporation, a prominent discount retailer based in Goodlettsville, Tennessee, is set to release its fiscal Q2 2025 earnings report on September 4, 2025. The company, which boasts a market capitalization of $23.7 billion, is expected to report earnings per share (EPS) of $1.56. This figure represents an 8.2% decline from the $1.70 reported in the same quarter last year.
Analysts have mixed expectations for Dollar General’s performance. The company has consistently exceeded Wall Street earnings estimates in two of the last four quarters but has also fallen short on two occasions. For the entirety of fiscal 2025, forecasts suggest an EPS of $5.77, reflecting a 2.5% decrease from $5.92 in fiscal 2024. Nevertheless, a rebound is anticipated in fiscal 2026, with projected EPS growth of 10.8% to $6.39.
Recent Performance and Market Position
Over the past year, shares of Dollar General have declined by 9.1%, underperforming compared to the S&P 500 Index, which has increased by 18.3%, and the Consumer Staples Select Sector SPDR Fund, which has risen by 3.7%. Despite this downturn, the company saw a notable recovery on June 3, when its shares climbed 15.9% following a strong fiscal Q1 2025 performance. During that quarter, EPS surged by 7.9% to $1.78, with net sales reaching $10.4 billion, aligning with consensus estimates.
The company has revised its full-year guidance, projecting same-store sales growth between 1.5% and 2.5%. Furthermore, it raised the lower end of its EPS forecast to $5.20. Factors contributing to this positive outlook include attracting a broader range of customers, including middle- and higher-income shoppers, expanding essential product offerings, and reducing reliance on imported goods from China, which now make up 70% of private-label products.
Analyst Ratings and Market Sentiment
The consensus among analysts regarding Dollar General’s stock is moderately optimistic, with an overall rating of “Moderate Buy.” Out of 28 analysts covering the stock, 10 recommend a “Strong Buy,” 1 suggests a “Moderate Buy,” and 17 advise a “Hold.” Currently, the stock is trading below the average analyst price target of $116.64.
On the date of publication, writer Sohini Mondal did not hold any positions, either directly or indirectly, in the securities mentioned in this article. All information provided is for informational purposes only. For further details, please refer to the Barchart Disclosure Policy.
As Dollar General prepares to unveil its Q2 earnings, stakeholders will be keen to see how the retailer navigates the ongoing challenges in the retail landscape while aiming for a stronger performance in the coming quarters.
