BB&T Capital Market analyst Anthony Chukumba has raised his rating on shares of Dollar General to 'buy' from 'hold.' The move came after the stock (Ticker: DG) slid nearly 10 percent in the past month to the low $60s. Chukumba sees it climbing to $78.
Discount retail giant Dollar General is looking to build a distribution center in New York or New England that would employ more than 400 people. The Goodlettsville-based company is asking New York officials for a zoning variance and tax breaks to build in Wilton, north of Albany.
Word of Dollar General’s plans comes just days after the company said it had started building a 1 million-square-foot distribution center in Wisconsin that will employ about 550 people.
Discount retail giant Dollar General — the company with more than 12,000 stores around the country — has begun building its 14th distribution center, a mammoth facility in Janesville, Wisconsin, just north of the Illinois state line. The new facility will service about 1,000 stores in the Upper Midwest.
At full capacity, the approximately one million square-foot Dollar General facility is expected to employ more than 550 people to serve stores in Wisconsin and surrounding states. Assuming no significant construction or other delays, Dollar General plans to begin hiring in late summer 2016 with operations expected to begin in December 2016.
Scott Mushkin at Wolfe Research his trimmed his rating on shares of Dollar General to 'market perform' from 'outperform.' The move comes after a month in which the leaders of the Goodlettsville-based retailer announced big job cuts at headquarters and in which the stock was pulled down by a sales warning from Walmart. Shares of Dollar General (Ticker: DG) are changing hands this afternoon at $65.87, down almost 2 percent on the day. Year to date, they're down 7 percent.
Denise Chai at Bank of America Merrill Lynch says the recent drop in Dollar General shares — thanks in part to Walmart's sales warning — has been enough for her to upgrade the retailer's shares to 'neutral' from 'underperform.' Chai also has raised her price target for Dollar General to $73 from $60. The stock (Ticker: DG) opened trading morning at $67.03.
Shares of Dollar General (Ticker: DG) are down almost 3 percent Wednesday afternoon, the day after the company announced headquarters job cuts and hours after retail giant Walmart issued a sales warning. On top of that, Walmart has committed to lifting its workers' wages, which is expected to put margins at Dollar General and peers under pressure as they'll likely be forced to follow.
It appears Dollar General CEO Todd Vasos looked at the stock purchases made early this month by two of the retailer's directors and thought they were a good idea. Last Thursday, Vasos spent more than $300,000 to add 4,300 shares to his holdings, which are now worth $4.2 million. Dollar General (Ticker: DG) closed Monday at about $69 and have slid from more than $80 in the past month.
Dollar General's board members appear to be a bunch of true believers. A couple of days after AutoZone CEO Bill Rhodes spent about $370,000 to pad his stake in Dollar General following the stock's slip in the wake of the company's Q2 earnings, fellow director Michael Calbert followed suit — and then some. Calbert, a former KKR executive who joined Dollar General's board when the investment firm bought the company (Ticker: DG) in 2007, early this week spent more than $2.7 million to more than triple his stake in Goodlettsville-based Dollar General. Check out his filing here.
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