Dollar General stock: buy or sell

DG stock price: $216.84 -0.66% At close on Apr 21st, 2021

Updated on:
Apr 22nd, 2021

2

Dollar General stock brief

  • Dollar General closed on Wednesday at $216.84 after scarcely changing a -0.66%.
  • UBS Group published a strong buy rating for Dollar General last Monday, with a forecast of $240.00
  • Dollar General Corporation, a discount retailer, provides various merchandise products in the southern, southwestern, Midwestern, and eastern United States.

Should I buy Dollar General stock?

Even if you are a experienced or a novel trader, best trading results come from using an investing strategy that never leaves to random or subjective opinions when is the best moment to buy or sell stocks. Trading strategies are meant for helping you in the decision process of what stocks to pick and when is the best moment to buy them. At Stocks2.com, we like to use very simple but trusted and powerful trend following trading strategies. Simple things usually work the best

Is $DG stock a buy?

In the current situation of Dollar General there is just one buy setup eligible:

ATH buy setup

One of the most recommended trading strategies is to buy on All-time Highs (ATH) breakouts. The good point of buying at all-time highs is that shares price doesn't have upper resistances, and usually it scales rapidly. However, you must always be aware of a possible bulls trap that may trigger your buy order and then falls sharply. That's why a stop loss is so important. Dollar General can break to all-time highs any time soon, as it only needs to rise a 3.49%. Setup your buy order at $224.40 if you want to trade with this strategy. The stop loss would be placed at $201.96

Buy setupBuy pointStop lossRisk
ATH buy setup$224.40$201.9610.00%

Should I sell Dollar General stock?

Knowing when to sell a stock is even more difficult than knowing when to buy it. Trading strategies allow us to avoid rash decisions based on our personal emotions or the buzz that surrounds the market. When selling, as well as buying, detailed setups are very easy to follow and are only valid for selling shares you already own, not for shorting $DG stock

As a golden rule, you must never mantain an investment that yields greater losses than those expected upon purchase. When to sell shares must always be determined by the stop-loss (automatic or manual)

Is it time to sell Dollar General stock?

Currently, Dollar General stock doesn't match any of our preferred sell setups, so if you hold Dollar General stock and your operation is in profit probably is not time to sell now

Dollar General ratings

In the last month, 10 brokerage ratings were published for Dollar General. General sentiment is bullish, with 9 out of 10 posting positive forecasts

Dollar General analysts' ratings - Last month
Brokerage firmRating
Mar 23rd, 2021
Morgan Stanley Buy
Mar 24th, 2021
JPMorgan Chase & Co. Buy
Mar 25th, 2021
Jefferies Financial Group Strong buy
KeyCorp Buy
Raymond James Neutral
Royal Bank of Canada Buy
Mar 29th, 2021
Evercore ISI NeutralBuy
Morgan Stanley Buy
Apr 12th, 2021
UBS Group Strong buy
Apr 19th, 2021
UBS Group Strong buy

Dollar General stock analysis

On April 5, the price broke out over the previous top at $205.33 on the downtrend started in November 2020. Since then, the price action resulted in a 5.61% profit.

SMAs overview

DG stock SMAs chart

Supports and resistances

The current resistance levels are:

  • R1: $219.12 (1.05% above)
  • R2: $220.83 (1.84% above)
  • R3: $223.97 (3.29% above)
  • The current support levels are:

  • S1: $205.85 (-5.07% below)
  • S2: $205.52 (-5.22% below)
  • S3: $205.36 (-5.29% below)
  • Bollinger bands

    The price is moving very close to the upper Bollinger band, poiting some level of overbought in recent sessions. This is not a bearish indicator, as price can trade in these levels for many days and weeks

    DG stock Bollinger Bands chart

    Relative strength index

    Crossed up the overbought line Wednesday, with a value of 70.16. The fact that the value is in the overvalued zone does not imply a sell point, as stock price can be in the overvalued zone for many weeks and continue to rally

    DG stock RSI chart

    Dollar General stock price history

    Dollar General started trading priced at an adjusted price1 of $20.56 on Nov 2009. Since then, DG stock surged by 954.67%, with an average of 86.79% per year. An investment of $1,000USD on Nov 2009 would have a value of $10,546.69 today.

    1: Adjusted price after possible price splits or reverse-splits

    DG stock price history chart

    Price target for Dollar General stock

    Nobody can predict how much a stock will be priced in the future. However, many stock price forecasts are published every day by banks, financial institutions and independent analysts.

    The following table shows the price predictions posted by analysts in the last month. Again, these estimates are not direct recommendations for individual traders and must not be trusted blindly.

    There are 9 price predictions published for Dollar General that average $230.67. Dollar General closed at $216.84 on Wednesday, that is a 6.00% than the target price.

    Dollar General stock price predictions
    Brokerage firmPrice target
    Mar 23rd, 2021
    Morgan Stanley $245.00$225.00
    Mar 24th, 2021
    JPMorgan Chase & Co. $224.00$250.00
    Mar 25th, 2021
    Jefferies Financial Group $260.00$250.00
    KeyCorp $235.00$220.00
    Raymond James $250.00$220.00
    Royal Bank of Canada $239.00$206.00
    Mar 29th, 2021
    Evercore ISI Not available
    Morgan Stanley $245.00$225.00
    Apr 12th, 2021
    UBS Group $235.00$240.00
    Apr 19th, 2021
    UBS Group $235.00$240.00

    Earnings and financials

    Shareholders event was hosted by Dollar General ($DG) in mid-March after presenting the earnings report. Dollar General posted earnings of $2.62 per share on revenue of $8.4 billion. The consensus earnings estimate was $2.72 per share on revenue of $8.3 billion.

    Same quarter last year, reported EPS was $2.10, so recently reported EPS means an increase of 24.76%. Turnover skyrocketed a 17.56% on an annualized basis in the , from $71.6B to $84.1B last quarter.

    Dollar General ($DG) is hosting the Q1 earnings call late next May. Wall Street expects of $2.10, compared to previous quarter that was $2.62.

    Dollar General performance

    DG performance compared
    Company1m3m6m
    Dollar General ($DG) 12.20% 5.60% -0.20%

    Important note:
    The comments given in this article are personal and should not be followed as recommendations for you to buy or sell shares. The author of this report does not have an understanding of the individual circumstances of the reader, his or her own financial statements or his or her own best interests at any given time. All users should speak with their financial advisor before buying or selling any securities Comments are posted for informational motives only

    Dollar General summary

    Wednesday, April 21st, 2021
    Open$218.58
    Close$216.84
    Day range$216.69 - $219.85
    Previous close$218.29
    Session gain-0.66%
    Average true range$4.07
    50d mov avg$197.79
    100d mov avg$203.10
    200d mov avg$203.01
    Earnings dateMay 27th, 2021

    Frequently asked questions

    What is Dollar General stock symbol?

    Dollar General Corporation is a public company trading in the US stock market with the DG symbol

    Is Dollar General stock a buy or sell?

    Dollar General received 10 ratings in the last 30 days: 9 bullish, 0 bearish and 1 neutral.

    Will DG go up?

    Dollar General had different price forecasts issued by market analysts in the last 4 weeks setting the target price to $230.67. That is a 6.38% than the last price ($216.84).