Dollar General Corp (DG) Stock Analysis
Verdict: BUY
Strong 9.9% FCF yield and EPS beats drive recovery, but 4.33x Net Debt/EBITDA and stressed core shoppers cap valuation upside.
Investment score: 65/100
Analysis as of
Is Dollar General Corp stock worth reviewing? AI model thesis
The model score of 65/100 falls in the BUY range. The central thesis and factor breakdown explain the assessment.
7-factor investment score
- Valuation: 72/100 (weight 20%)
- Financial Health: 58/100 (weight 15%)
- Technical Momentum: 62/100 (weight 15%)
- Earnings Quality: 82/100 (weight 15%)
- Insider Sentiment: 45/100 (weight 10%)
- Analyst Consensus: 58/100 (weight 10%)
- Risk-Adjusted Return: 68/100 (weight 15%)
Dollar General Corp opportunities and risks
What speaks for DG
- Robust Free Cash Flow Generation ($2.39B FCF in Fiscal 2026)
What speaks against DG
- Persistent Low-Income Shopper Pressure
Peers and competitors
| Ticker | P/E | P/S | EV/EBITDA | Gross margin | Net margin | FCF yield |
|---|---|---|---|---|---|---|
| DG | 16.1x | 0.6x | 12.8x | 31.2% | 3.9% | 9.9% |
| WMT | 38.5x | 1.2x | 21.3x | 25.2% | 3.0% | 1.6% |
| COST | 44.8x | 1.3x | 26.6x | 12.9% | 3.0% | 2.2% |
| TGT | 16.4x | 0.7x | 10.1x | 29.3% | 4.1% | 6.3% |
| DLTR | 13.9x | 1.1x | 9.9x | 38.7% | 8.0% | 8.5% |
| BJ | 20.2x | 0.5x | 12.5x | 18.2% | 2.6% | 3.1% |
| Peer median | 20.2x | 1.1x | 12.5x | 25.2% | 3.0% | 3.1% |
Frequently asked questions about Dollar General Corp (DG)
Is DG stock a good investment?
The cached TradeMates AI model rates Dollar General Corp as BUY with an investment score of 65/100. The model score of 65/100 falls in the BUY range. The central thesis and factor breakdown explain the assessment. This is algorithmic model output, not personal investment advice.
Is DG stock a buy?
The TradeMates model verdict for DG is BUY with an investment score of 65/100. Treat this as a model signal to review, not a personal buy recommendation.