NYSE · DG

Dollar General Corporation

Consumer Defensive · Discount Stores

$122.98▼ 1.28% ($1.59)at close

After hours$123.00▲ 0.02%7:44 PM ET

52-week

$95.11$158.23

What the market price implies · Reverse DCF

To support a price of $122.98, this model requires revenue to grow by 3.17%/yr over the next 10 years, compounded annually.

Historical revenue grew by 5.71%/yr over the past 4 years. The required annual growth rate is 2.53 percentage points lower.

Selected forecast · Base scenario

3.39%/yr · actual 10-year annualized revenue growth

Year 1 growth: 5.3%

Market-implied · Base operating assumptions + edited margins

3.17%/yr · flat 10-year annualized revenue growth

Reverse DCF solves revenue growth itself using Base operating assumptions and your edited margins. Changing forecast growth alone does not change the implied rate. This is a model-implied requirement, not an analyst forecast.

Valuation

Recommended · Revenue & margin DCF

Price used

$122.98

Estimated value / share

$126.07

Base scenario

This estimate is 2.51% above the price used.

USD · TTM ending 2026-07-31

Year 1 growth 5.3% · Ending margin 5.59% · Discount rate 7.08%

Assumption scenarios, not statistical confidence intervals.

Method, dates & sources

Estimated from future revenue, operating margins, and the investment needed to support them.

Price timestamp: Sep 10, 2026, 7:59 PM UTC
Financial statement period: TTM ending 2026-07-31
Data refreshed: Sep 11, 2026, 1:10 AM UTC · provider

Why this method?

FCFF is positive, but it is still too unstable and too short-lived to anchor even a normalized FCFF DCF. Use revenue and margin assumptions instead of compounding current FCFF.

Is FCFF positive and has it been for 3+ consecutive years? 3 consecutive positive FCFF years are available.

Is FCFF stable (not swinging >30% year to year)? The largest recent FCFF swing is 393.0%.

Do you have 5+ years of positive FCFF history? Only 3 consecutive positive FCFF years are available.

Price vs Fundamentals

Why The Stock Is Moving

Fundamentals are supporting the moveHigh confidence

1Y Price: 15.52%Revenue (TTM): 4.77%FCF (TTM): 46%P/FCF: 8th pct

What changed

The stock rose 15.52% over the last year. Revenue grew 4.77% over the trailing twelve months. Operating margin moved from 4.3% to 5.59%. Free cash flow grew 46% over the trailing twelve months.

What the market seems to be pricing

The stock move broadly lines up with stronger business momentum, and the shares are still only around the 8th percentile of their historical P/FCF range.

What would invalidate this read

Operating margin is at 5.59%. Revenue grew 4.77% — this thesis depends on that trajectory holding. If revenue growth, margins, or free cash flow roll over while the stock keeps climbing, more of the move would be coming from multiple expansion than business progress.

Performance

Return analysis

Company profile

Dollar General Corporation is a prominent discount retail chain that offers a wide array of merchandise across the southern, southwestern, Midwestern, and eastern regions of the United States.

CEOTodd J. Vasos

SectorConsumer Defensive

IndustryDiscount Stores

Employees194,000

IPO dateNov 13, 2009

https://www.dollargeneral.com

Market multiples

Forward P/E—

EV/EBITDA14.24

Enterprise value$46.15B

Stock splits

No stock splits recorded for this ticker.

Profitability & growth

Revenue growth5.24%

Gross margin31.16%▲1.1ppvs FY2024

Operating margin5.59%▲0.9ppvs FY2024

ROE19.69%▲0.7ppvs FY2025

Analyst consensus

RatingBuy

Target price$139.94▲13.79%

Buy

Hold

Sell

Analyst ratings tend to be lagging indicators. Use as one signal among many.

Earnings

Full quarter-by-quarter history of actuals vs estimates. Switch into compare mode to inspect one metric year-over-year.

Next report

Dec 3, 2026

Q4 FY26 · EPS est $1.38 · Revenue est $11.14B

View

Dividends

$2.36/shareQuarterlyDividend Achiever · 10yrEx-div Oct 6, 2026 · in 26dSafe

DG pays a dividend with a 1.92% declared yield, 10 consecutive years of growth, growing at 7.82% annually, covered 4.6× by free cash flow.

Declared Yield

1.92%

Annual Div / Share

$2.36

5yr CAGR

+7.82%

Doubles every ~9.2yr

Payout Ratio

30.53%

Safe

Dividend Growth Rate

3yr CAGR

+0.57%

5yr CAGR

+7.82%

10yr CAGR

+9.3%

Dividend Safety

10/10Safe

Dividend History

Annualized dividend cycles per share

YearAnnual DivYoY

2026$2.36+0.0%

2025$2.36+0.0%

2024$2.36+1.7%

2023$2.32+12.1%

2022$2.07+27.8%

2021$1.62+15.7%

2020$1.40+12.0%

Income Projection

Invest

Growth rate:

Reinvest dividends

Today

$19/yr

$2/mo

In 5 yrs

$28/yr+46%

$2/mo

In 10 yrs

$41/yr+112%

$3/mo

Today	In 5 yrs	In 10 yrs
$19/yr $2/mo	$28/yr+46% $2/mo	$41/yr+112% $3/mo

Yield-on-cost grows from 1.92% → 4.07% over 10yr

Analysis

Dividend Strengths

Dividend Achiever

DG has raised its dividend for 10 consecutive years — qualifying as a Dividend Achiever, demonstrating long-term commitment to shareholder income.

Well-covered by free cash flow

The dividend is covered 4.6× by free cash flow, indicating the company generates sufficient cash to sustain and potentially grow the payout without straining its finances.

Strong dividend growth rate

The 5-year CAGR of 7.82% meaningfully outpaces inflation, compounding real income growth for long-term holders.

Risks to Watch

No strong risk signal stands out from the latest period pair.

NYSE · DG

Dollar General Corporation

Consumer Defensive · Discount Stores

$122.98▼ 1.28% ($1.59)at close

After hours$123.00▲ 0.02%7:44 PM ET

52-week

$95.11$158.23

What the market price implies · Reverse DCF

To support a price of $122.98, this model requires revenue to grow by 3.17%/yr over the next 10 years, compounded annually.

Historical revenue grew by 5.71%/yr over the past 4 years. The required annual growth rate is 2.53 percentage points lower.

Selected forecast · Base scenario

3.39%/yr · actual 10-year annualized revenue growth

Year 1 growth: 5.3%

Market-implied · Base operating assumptions + edited margins

3.17%/yr · flat 10-year annualized revenue growth

Valuation

Recommended · Revenue & margin DCF

Price used

$122.98

Estimated value / share

$126.07

Base scenario

This estimate is 2.51% above the price used.

USD · TTM ending 2026-07-31

Year 1 growth 5.3% · Ending margin 5.59% · Discount rate 7.08%

Assumption scenarios, not statistical confidence intervals.

Method, dates & sources

Estimated from future revenue, operating margins, and the investment needed to support them.

Price timestamp: Sep 10, 2026, 7:59 PM UTC
Financial statement period: TTM ending 2026-07-31
Data refreshed: Sep 11, 2026, 1:10 AM UTC · provider

Why this method?

FCFF is positive, but it is still too unstable and too short-lived to anchor even a normalized FCFF DCF. Use revenue and margin assumptions instead of compounding current FCFF.

Is FCFF positive and has it been for 3+ consecutive years? 3 consecutive positive FCFF years are available.

Is FCFF stable (not swinging >30% year to year)? The largest recent FCFF swing is 393.0%.

Do you have 5+ years of positive FCFF history? Only 3 consecutive positive FCFF years are available.

Price vs Fundamentals

Why The Stock Is Moving

Fundamentals are supporting the moveHigh confidence

1Y Price: 15.52%Revenue (TTM): 4.77%FCF (TTM): 46%P/FCF: 8th pct

What changed

The stock rose 15.52% over the last year. Revenue grew 4.77% over the trailing twelve months. Operating margin moved from 4.3% to 5.59%. Free cash flow grew 46% over the trailing twelve months.

What the market seems to be pricing

The stock move broadly lines up with stronger business momentum, and the shares are still only around the 8th percentile of their historical P/FCF range.

What would invalidate this read

Performance

Return analysis

Company profile

Dollar General Corporation is a prominent discount retail chain that offers a wide array of merchandise across the southern, southwestern, Midwestern, and eastern regions of the United States.

CEOTodd J. Vasos

SectorConsumer Defensive

IndustryDiscount Stores

Employees194,000

IPO dateNov 13, 2009

https://www.dollargeneral.com

Market multiples

Forward P/E—

EV/EBITDA14.24

Enterprise value$46.15B

Stock splits

No stock splits recorded for this ticker.

Profitability & growth

Revenue growth5.24%

Gross margin31.16%▲1.1ppvs FY2024

Operating margin5.59%▲0.9ppvs FY2024

ROE19.69%▲0.7ppvs FY2025

Analyst consensus

RatingBuy

Target price$139.94▲13.79%

Buy

Hold

Sell

Analyst ratings tend to be lagging indicators. Use as one signal among many.

Earnings

Full quarter-by-quarter history of actuals vs estimates. Switch into compare mode to inspect one metric year-over-year.

Next report

Dec 3, 2026

Q4 FY26 · EPS est $1.38 · Revenue est $11.14B

View

Dividends

$2.36/shareQuarterlyDividend Achiever · 10yrEx-div Oct 6, 2026 · in 26dSafe

DG pays a dividend with a 1.92% declared yield, 10 consecutive years of growth, growing at 7.82% annually, covered 4.6× by free cash flow.

Declared Yield

1.92%

Annual Div / Share

$2.36

5yr CAGR

+7.82%

Doubles every ~9.2yr

Payout Ratio

30.53%

Safe

Dividend Growth Rate

3yr CAGR

+0.57%

5yr CAGR

+7.82%

10yr CAGR

+9.3%

Dividend Safety

10/10Safe

Dividend History

Annualized dividend cycles per share

YearAnnual DivYoY

2026$2.36+0.0%

2025$2.36+0.0%

2024$2.36+1.7%

2023$2.32+12.1%

2022$2.07+27.8%

2021$1.62+15.7%

2020$1.40+12.0%

Income Projection

Invest

Growth rate:

Reinvest dividends

Today

$19/yr

$2/mo

In 5 yrs

$28/yr+46%

$2/mo

In 10 yrs

$41/yr+112%

$3/mo

Today	In 5 yrs	In 10 yrs
$19/yr $2/mo	$28/yr+46% $2/mo	$41/yr+112% $3/mo

Yield-on-cost grows from 1.92% → 4.07% over 10yr

Analysis

Dividend Strengths

Dividend Achiever

DG has raised its dividend for 10 consecutive years — qualifying as a Dividend Achiever, demonstrating long-term commitment to shareholder income.

Well-covered by free cash flow

The dividend is covered 4.6× by free cash flow, indicating the company generates sufficient cash to sustain and potentially grow the payout without straining its finances.

Strong dividend growth rate

The 5-year CAGR of 7.82% meaningfully outpaces inflation, compounding real income growth for long-term holders.

Risks to Watch

No strong risk signal stands out from the latest period pair.