S&P500 Worst Performers September 2024 📉
Quelle: https://x.com/bespokeinvest/status/1832113048045158634
$DLTR (+3.11%) | Dollar Tree Q2 Earnings Highlights:
🔹 Revenue: $7.37B (Est. $7.5B) 🔴; UP +0.7% YoY
🔹 Adj Diluted EPS: $0.67 (Est. $1.06) 🔴
🔹 Adjusted Net Income: $143.4M
FY2025 Guidance:
🔹 Revenue: $30.6B - $30.9B (Est. $31.19B) 🔴
🔹 Adj Diluted EPS: $5.20 - $5.60 (Est. $6.55) 🔴
Key Metrics:
🔹 Same-Store Net Sales Growth: Enterprise +0.7%, Dollar Tree +1.3%, Family Dollar -0.1%
🔹 Operating Income: $203.1M; DOWN -29.4% YoY
🔹 Adjusted Operating Income: $218.1M; DOWN -24.2% YoY
🔹 Gross Profit: $2.21B; UP +3.7% YoY
🔹 Gross Margin: 30.0%; UP 80 basis points
🔹 Selling, General, and Administrative Expenses: 27.3% of revenue (Q2 FY2023: 25.3%)
🔹 Cash Flow from Operations: $307M
🔹 Shares Repurchased: 0.75 million shares for $90.8M
Business Highlights:
🔸 Opened 127 new Dollar Tree stores and 28 new Family Dollar stores.
🔸 Converted approximately 1,600 Dollar Tree stores to an in-line multi-price format.
🔸 Generated $307 million in net cash from operating activities.
🔸 Repurchased 0.75 million shares for $90.8 million.
CEO Rick Dreiling's Commentary:
🔸 "We are encouraged by the continuous progress we are making in the transformation underway at Dollar Tree and Family Dollar, despite immense pressures from a challenging macro environment. Customers are responding favorably to initiatives like our expanded multi-price offering and we are already seeing a meaningful sales lift at the 1,600 Dollar Tree stores that have been converted to our newest in-line multi-price format."
CFO Jeff Davis' Insight:
🔸 "Our adjusted EPS of $0.67 was $0.38 below the midpoint of our previous outlook range. While the vast majority of this variance was attributable to an adjustment of our general liability accrual, a portion was attributable to a comp shortfall which reflected the increasing effect of macro pressures on the purchasing behavior of Dollar Tree’s middle- and higher-income customers."
Strategic Updates:
🔸 Ongoing review of strategic alternatives for the Family Dollar business segment, including potential sale, spin-off, or other disposition.
🔸 Implemented a comprehensive store portfolio optimization review, resulting in the closure of approximately 655 underperforming Family Dollar stores, with plans to close an additional 45 stores by the end of FY2024.
🔸 Tornado damage at the Marietta, Oklahoma distribution center led to $117M in losses, fully offset by insurance recoveries.
Revised FY2024 Outlook:
🔸 The updated full-year guidance reflects Q2 results, a more conservative sales outlook, incremental conversion costs for recently acquired 99 Cents Only Stores leases, and higher depreciation and amortization expenses.
What we can expect next week:
Monday, June 3:
Tuesday, June 4:
Wednesday, June 5:
Thursday, June 6:
Friday, June 7:
The week summarized:
Monday
Tuesday
Wednesday
Thursday
Friday
New 52-week lows hit today by these stocks: $PFE (-0.13%), $UPS (-0.03%), $TGT (+1.08%), $LUV (+1.68%), $LCID (-2.65%), $GIS (+1.03%), $DLTR (+3.11%), $DG (+1.18%) Is it time to buy the dip or brace for more? Always remember: When others fear, leaders find opportunity.
The price target is $140.57 and the stock is covered by 26 analysts.
Buy
15
Hold
10
Sell
1
Dollar Tree, Inc. is an operator of discount variety stores. Its business segments include Dollar Tree and Family Dollar. Dollar Tree segment is the operator of discount variety stores offering merchandise predominantly at the fixed price. Its stores are operating under the brand names Dollar Tree and Dollar Tree Canada. It operates 15 distribution centers in the United States and two in Canada. Dollar Tree stores consists of consumable merchandise, variety merchandise, and seasonal goods. Family Dollar segment operates general merchandise retail discount stores providing customers with a selection of merchandise in convenient neighborhood stores. Family Dollar segment consists of its store operations under the Family Dollar brand and 10 distribution centers. Family Dollar stores consists of consumable merchandise, home products, apparel and accessories merchandise, and seasonal and electronics merchandise. It also owns trademarks, including Family Dollar and Family Dollar Stores.