Goldman likes this retailer as lower-income consumers seek value

[Pelican Press 0]

This is the hidden content, please

• Sign In
• or
• Sign Up

Goldman likes this retailer as lower-income consumers seek value

Goldman Sachs is staying bullish on Dollar General as spending trends of lower-income consumers and increasingly come into focus. Analysts led by Kate McShane reiterated her buy rating on the discount retailer in a note on Monday. Goldman argues that consumer sentiment toward the company, and cash flow trends inside Dollar General, are improving. “Our thesis is predicated on DG’s strategic position of selling consumables to low-income consumers in predominately rural areas with limited nearby alternatives, which should be a traffic driver as consumers focus on value,” McShane wrote in the note. DG YTD mountain Dollar General shares in 2024. McShane has a $169 price target on shares, implying approximately 44% upside potential for the shares. Consumer perception data shows that sentiment toward Dollar General is becoming more positive across various income groups, with customers more likely to recommend the budget retailer, the analyst noted. Goldman also raised its earnings estimates for fiscal 2025 and 2026 to reflect “slightly improved” profit margins. —CNBC’s Michael Bloom contributed to this report.

This is the hidden content, please

• Sign In
• or
• Sign Up

#Goldman #likes #retailer #lowerincome #consumers #seek

This is the hidden content, please

• Sign In
• or
• Sign Up

This is the hidden content, please

• Sign In
• or
• Sign Up