This resource will update why the Dollar General (DG) stock moves up or down. On days in which the stock is little changed, I will not update this resource.
October 6th, 2016 – 69.05 – Up 3.11% – Today, WalMart issued a press release that they were going to focus on their online presence more so than their brick and mortar locations. WalMart bought Jet for $3.3 billion recently and is now going to break away from what they are known for. This is great for dollar stores and brick and mortar retailers. In my opinion, WalMart should focus offline instead of online. In a few years we will learn just how much it cost them and they will find their customers aren’t buying online.
October 4th, 2016 – 68.05 – Down 2.37% – Every time we think there is a bottom this stock sinks even lower. Dollar Tree (DLTR) was downgraded to a sell by Cleveland Research. We all know that DLTR and DG go hand in hand so there was a sell off in Dollar General today as well. The word is that WalMart is going to take many of the low end shoppers from both Dollar General and Dollar Tree. I firmly don’t think that is going to happen and if you don’t believe it, this stock is very cheap.
September 21st, 2016 – $72.18 – Up 0.64% – After the Fed decided to note raise interest rates the Dollar General stock finally got a pop. It wasn’t a large gain but we are looking for a bottom around the $72 level. Let’s hope it can work its way back to the 200 day moving average.
August 25th, 2016 – $75.61 – Down 17.62% – A huge sell off after earnings. Same store sales came in much lower than expected at 0.7%. The expected number was 2.7%. They also missed earnings by a penny. This sell off is a huge overreaction in my opinion. There is no way the company should lose 1/5th of its value because they missed by a penny. Same stores sales were up, just not up as much as expected. Dollar Tree also reported and sold off today. This could be a great buying opportunity. The stock plummeted right through is 200 day moving average so it will be interesting to see where it finds support.