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Dollar Tree (DLTR) Q2 Earnings Preview: What You Should Know Beyond the Headline Estimates

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In its upcoming report, Dollar Tree (DLTR - Free Report) is predicted by Wall Street analysts to post quarterly earnings of $1.04 per share, reflecting an increase of 14.3% compared to the same period last year. Revenues are forecasted to be $7.51 billion, representing a year-over-year increase of 2.5%.

Over the last 30 days, there has been a downward revision of 2.6% in the consensus EPS estimate for the quarter, leading to its current level. This signifies the covering analysts' collective reconsideration of their initial forecasts over the course of this timeframe.

Ahead of a company's earnings disclosure, it is crucial to give due consideration to changes in earnings estimates. These revisions serve as a noteworthy factor in predicting potential investor reactions to the stock. Numerous empirical studies consistently demonstrate a strong relationship between trends in earnings estimate revision and the short-term price performance of a stock.

While investors typically use consensus earnings and revenue estimates as indicators of quarterly business performance, exploring analysts' projections for specific key metrics can offer valuable insights.

That said, let's delve into the average estimates of some Dollar Tree metrics that Wall Street analysts commonly model and monitor.

Analysts forecast 'Net Sales- Dollar Tree' to reach $4.16 billion. The estimate points to a change of +7.5% from the year-ago quarter.

The combined assessment of analysts suggests that 'Net Sales- Family Dollar' will likely reach $3.33 billion. The estimate suggests a change of -3.3% year over year.

Analysts predict that the 'Total net sales' will reach $7.51 billion. The estimate suggests a change of +2.6% year over year.

The collective assessment of analysts points to an estimated 'Other revenue' of $5.65 million. The estimate indicates a year-over-year change of +8.7%.

The average prediction of analysts places 'Family Dollar - Same-Store Sales' at 0.0%. Compared to the present estimate, the company reported 5.8% in the same quarter last year.

Analysts expect 'Enterprise - Same-Store Sales' to come in at 1.7%. The estimate is in contrast to the year-ago figure of 6.9%.

According to the collective judgment of analysts, 'Dollar Tree - Same-Store Sales' should come in at 3.1%. The estimate compares to the year-ago value of 7.8%.

It is projected by analysts that the 'Dollar Tree - Selling Square Footage' will reach 75.02 Msq ft. The estimate is in contrast to the year-ago figure of 70.9 Msq ft.

Based on the collective assessment of analysts, 'Family Dollar - Ending stores' should arrive at 7,753. Compared to the present estimate, the company reported 8,299 in the same quarter last year.

The consensus among analysts is that 'Family Dollar - Selling Square Footage' will reach 58.85 Msq ft. The estimate is in contrast to the year-ago figure of 62.8 Msq ft.

The consensus estimate for 'Total - Number of stores' stands at 16,380. The estimate is in contrast to the year-ago figure of 16,476.

Analysts' assessment points toward 'Dollar Tree - Ending stores' reaching 8,590. The estimate compares to the year-ago value of 8,177.

View all Key Company Metrics for Dollar Tree here>>>

Over the past month, shares of Dollar Tree have returned -9.5% versus the Zacks S&P 500 composite's +2.6% change. Currently, DLTR carries a Zacks Rank #4 (Sell), suggesting that it may underperform the overall market in the near future. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>>


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