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Is Dollar General Stock Outperforming the S&P 500?![]() Goodlettsville, Tennessee-based Dollar General Corporation (DG) operates as a discount retailer providing various merchandise products, including consumable products, laundry products, food & beverage, and more. With a market cap of approximately $23 billion, Dollar General operates thousands of retail stores across the U.S. Companies worth $10 billion or more are generally described as "large-cap stocks." DG fits right into that category, with its market cap exceeding this threshold, reflecting its substantial size, influence, and dominance in the discount stores industry. Dollar General touched its 52-week high of $117.95 on Aug. 8 and is currently trading 11.5% below that peak. Meanwhile, DG stock has declined 6.7% over the past three months, notably underperforming the S&P 500 Index’s ($SPX) 8.9% surge during the same time frame. ![]() Over the longer term, Dollar General’s performance looks much more impressive. DG stock prices have soared 37.7% in 2025 and 25.5% over the past 52 weeks, notably outpacing SPX’s 12% surge in 2025 and 17.7% gains over the past year. To confirm the bullish upturn and recent downturn, DG stock has traded consistently above its 200-day moving average since mid-April and dropped below its 50-day moving average in the last month. ![]() Dollar General’s stock prices observed a marginal uptick in the trading session following the release of its better-than-expected Q2 results on Aug. 28. The improved execution, along with progress in advancing its key initiative, has resonated with its existing as well as new customers, leading to a 2.8% growth in same-store sales. Meanwhile, the company’s overall net sales for the quarter jumped 5.1% year-over-year to $10.7 billion, exceeding the Street expectations by 47 bps. Moreover, driven by margin expansion, Dollar General’s EPS grew by a robust 9.4% year-over-year to $1.86, surpassing the consensus estimates by 19.2%. Meanwhile, DG stock has outperformed its peer, Dollar Tree, Inc.’s (DLTR) 30% surge in 2025, but underperformed DLTR’s 43.5% gains over the past 52 weeks. Among the 29 analysts covering the DG stock, the consensus rating is a “Moderate Buy.” Its mean price target of $120.89 suggests a 15.8% upside potential from current price levels. On the date of publication, Aditya Sarawgi did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here. |
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