First National Bank of Omaha Increases Stake in Dollar General Co.

First National Bank of Omaha has raised its investment in Dollar General Co. (NYSE:DG) by 23.9% during the third quarter of the year. According to the latest Form 13F submitted to the Securities and Exchange Commission, the bank now holds 66,736 shares of Dollar General's stock, having acquired an additional 12,863 shares over the quarter. As of the end of this period, the value of First National Bank of Omaha's holdings in Dollar General was approximately $5.64 million.

Investments from Other Firms

Alongside First National Bank of Omaha, several other investment firms have either increased or decreased their positions in Dollar General. For instance, Pzena Investment Management LLC significantly expanded its shareholding by 453.4% in the third quarter. After purchasing an additional 8,388,735 shares, it now possesses 10,238,886 shares valued at roughly $865.9 million. Similarly, Baupost Group LLC acquired a new stake worth $194.8 million during the same period.

Point72 Asset Management L.P. also raised its holdings by 148.6% in the second quarter, obtaining an additional 765,206 shares, bringing its total to 1,280,020 shares valued at around $169.3 million. State Street Corp increased its investment in Dollar General by 8.3% in the third quarter, now owning 9,958,704 shares worth approximately $842.2 million after adding 759,869 shares. Furthermore, The Manufacturers Life Insurance Company raised their position by 319.6% in the second quarter, acquiring 704,639 additional shares and amassing a total of 925,083 shares valued at about $122.3 million.

Currently, institutional investors collectively own around 91.77% of Dollar General's shares.

Dollar General Stock Performance

On Friday, shares of Dollar General (NYSE:DG) opened at $81.59. The company has a debt-to-equity ratio of 0.86, a current ratio of 1.22, and a quick ratio of 0.24. The stock's 50-day moving average stands at $79.52, with a 200-day average of $103.60. Dollar General has a market capitalization of $17.94 billion, a price-to-earnings ratio of 13.44, and a PEG ratio of 2.33. The company has experienced significant stock price fluctuations, with a 52-week low of $72.12 and a high of $168.07.

Recent Earnings Report

Dollar General recently announced its quarterly earnings results on December 5. The company reported earnings of $0.89 per share, which fell short of the analysts' expected earnings of $0.97. The company’s net margin stood at 3.57%, and it achieved a return on equity of 20.62%. For the quarter, Dollar General's revenue reached $10.18 billion, slightly exceeding the consensus estimate of $10.14 billion. Year over year, revenue grew by 5.0%, while earnings per share dropped from $1.26 in the same quarter the previous year. Analysts project Dollar General will post earnings of $5.78 per share for the current fiscal period.

Dividend Announcement

In addition to its earnings, Dollar General has declared a quarterly dividend of $0.59 per share, payable on January 21 to shareholders of record as of January 7. This translates to an annualized dividend of $2.36, resulting in a yield of 2.89%. The company's current dividend payout ratio is set at 38.88%.

Wall Street Analyst Ratings

Several analysts have recently provided their insights on Dollar General stock. Gordon Haskett upgraded the shares from a "hold" rating to a "strong-buy" rating in November. Conversely, Barclays reduced their price target from $154.00 to $102.00 while maintaining an "overweight" rating. Wells Fargo & Company cut their price objective from $90.00 to $80.00, stating an "equal weight" rating on the stock. Additionally, Citigroup downgraded Dollar General from a "neutral" rating to a "sell" rating, lowering their target price from $91.00 to $73.00. Morgan Stanley also revised their rating from "overweight" to "equal weight," decreasing their target price from $170.00 to $100.00. The consensus rating among analysts indicates one sell rating, fourteen hold ratings, eight buy ratings, and one strong buy rating, with an average price target of $98.27.

Insider Transactions

In terms of insider activity, EVP Steven R. Deckard sold 2,010 shares of Dollar General stock at an average price of $86.66, totaling $174,186.60. Post-sale, he retains 2,887 shares, valued at approximately $250,187.42, marking a decrease of 41.05% in his position. Meanwhile, Director Warren F. Bryant purchased 1,000 shares at an average cost of $80.83 each, totaling $80,830.00. Following this acquisition, his holdings increased to 42,030 shares, valued around $3.4 million. Insiders currently own about 0.49% of Dollar General's stock.

Company Overview

Dollar General Corporation operates as a discount retailer, offering various merchandise products primarily in the southern, southwestern, midwestern, and eastern United States. The company provides a wide range of consumable items, including paper and cleaning products, packaged foods, perishables, and more.

Stock, Investment, Earnings