Dollar Tree Stock Rises Ahead of Q4 Earnings: Retail Mood Turns Positive

Shares of Dollar Tree (DLTR) have risen nearly 3% in the past five trading days ahead of the retailer’s fourth quarter earnings, with retail sentiment staying upbeat.

Dollar Tree is expected to post earnings on Wednesday before the market opens.

Wall Street expects the retailer to post earnings per share of $2.20 on revenue of $8.24 billion. The company missed earnings estimates twice in the last four quarters, and revenue estimates thrice.

Last week, Wells Fargo analyst Edward Kelly lowered the firm's price target to $85 from $100 with an Overweight rating, calling the stock complicated as ever, Fly reported.

Although the analyst sees potential for the stock, he warned about the macroeconomic environment and tariffs, amid other challenges and new hurdles, and said the update from management about the fourth quarter on the risks and rewards remains important.

Sentiment on Stocktwits improved to ‘bullish’ on Friday from ‘bearish’ a week ago. Message volumes fell to ‘low’ from ‘normal.’

One bullish watcher predicted a stock rise to $70. 

Dollar Tree has previously warned about the potential impact of tariffs. In December, a CNN report cited a KeyBanc Capital Markets analyst warning that about  40% of Dollar Tree’s sales rely on imported goods.

The company has also seen some recent management changes: Earlier this month, it named former Tyson Foods executive Stewart Glendinning as its next CFO. Prior to joining Dollar Tree, Glendinning served as CEO of Express.

Dollar Tree stock is down 11% year-to-date. The retailer operated 16,590 stores across 48 states and five Canadian provinces as of Nov. 2, 2024.

For updates and corrections, email newsroom[at]stocktwits[dot]com.