NASDAQ
DLTR
Last Price
US $124.05
KEY FIGURES
MKT CAP
$23.8B
EPS
TTM
$6.54
PEG
TTM
0.12x
P/E
TTM
19.32x
P/S
TTM
1.23x
YIELD
0.00%
GROWTH
Revenue Y/Y
Profit margin
Current Ratio
Capital Returns
35.90%
Return on equity
ROIC: 10.93%
Valuation History
19.3X
Price to Earnings
EV/EBITDA: 12.7X
Cash flow
Profit margin
-5.32%
(FY vs FY)
EBITDA Y/Y
-1.69%
(FY vs FY)
Cash flow Y/Y
-5.12%
(FY vs FY)
Cash Flow (DCF)
Fair Value
Market $124.05
-62.77%
Default assumptions
EBITDA Multiple
Fair Value
Market $124.05
-52.08%
Default assumptions
Base valuations use default assumptions. Customize in the Valuator.
Valuation
Financial
Performance
Financial stability - Cash flow debt coverage.
Dollar Tree, Inc. cash flow to debt ratio of 35.86% indicates that the company generates enough cash to cover its debts. This level indicates strong financial health.
Financial risk - Healthy cash flow growth.
Dollar Tree, Inc.'s free cash flow has decreased -10.53% from $1.56G last year to $1.40G, signaling decreasing performance
Financial risk - Healthy debt to equity ratio.
Dollar Tree, Inc.'s debt to equity ratio is 2.17, which means that the company's assets are unhealthy financed, signaling financial risk. READ MORE: A ratio over 0.60 means the company finances its assets with debt, signaling financial risk. If ratio is negative, the company spent its own equity and risks bankruptcy
Financial risk - Healthy debt to equity ratio development.
Dollar Tree, Inc.'s debt has increased relative to shareholder equity from 1.97 last year to 2.17 today, signaling weakened financials
Financial stability - Net debt/EBITDA.
Dollar Tree, Inc. has a net debt to EBITDA ratio of 2.68x, which is below the 3.00x threshold, indicating healthy leverage and financial stability
Financial stability - ICR.
Dollar Tree, Inc.'s interest coverage ratio of 21.33 indicates that earnings with good margin can cover interest payments on company debt
Financial stability - Profit margin growth.
Dollar Tree, Inc.'s profit margin has increased (-137.79%) in the last year from -17.24% to 6.51%, signaling increasing performance
Financial stability - Short term assets vs short term liabilities.
Dollar Tree, Inc.'s short-term assets of $3.45G exceed its short-term liabilities of $3.23G
Increasing performance - ROA.
Dollar Tree, Inc.'s return on assets of 9.31% is higher than the 5.00% threshold, indicating efficient asset utilization
Increasing performance - Absolute return on equity.
Dollar Tree, Inc.'s return on equity of 35.90%, is higher than 15.00%, indicating good performance
Increasing performance - Earnings quality.
Dollar Tree, Inc.'s operating cash flow exceeds its net income, indicating high-quality earnings backed by actual cash generation
Increasing performance - Earnings stability.
Dollar Tree, Inc. had positive net income in 3.00 out of 5 years, indicating stable and consistent earnings
Increasing performance - Free cash flow.
Dollar Tree, Inc. has positive free cash flow, indicating the company generates cash after capital expenditures
Increasing performance - FCF yield.
Dollar Tree, Inc. has a free cash flow yield of 5.87%, which is above the 2.00% threshold, indicating strong cash generation relative to market value
Increasing performance - Healthy earnings growth.
Dollar Tree, Inc.'s yearly earnings has increased -142.33% since last year from $-3.03G to $1.28G, signaling increasing performance
Increasing performance - Healthy revenue growth.
Dollar Tree, Inc.'s yearly revenue has increased 10.43% since last year from $17.58G to $19.41G, signaling increasing performance
Increasing performance - ROIC.
ROIC 10.93% (Source: FMP key-metrics). At or above the 10% threshold. Score: 2 of 2. The company is generating returns above the upper end of the typical US weighted-average cost of capital range under this definition of invested capital.
Increasing performance - 3-year revenue CAGR.
Dollar Tree, Inc.'s 3-year revenue CAGR of 8.00% is positive, indicating growing revenue over the past 3 years
Increasing performance - Revenue consistency.
Dollar Tree, Inc. had revenue growth in 4.00 out of 5 years, indicating consistent revenue performance
Increasing performance - ROE consistency.
Dollar Tree, Inc. had positive ROE in 3.00 out of 5 years, indicating consistent and reliable returns on equity
Overvalued - DCF valuation.
Dollar Tree, Inc. is overvalued relative to its fair value price of 46.19 based on Discounted Cash Flow model
Undervalued - Earnings yield.
Dollar Tree, Inc. has an earnings yield of 5.28%, which is above the 4.00% threshold, indicating the stock offers reasonable value relative to its earnings
Overvalued - EBITDA valuation.
Dollar Tree, Inc. is overvalued relative to its fair value price of 59.44 based on EBITDA multiple model
Undervalued - EV/EBITDA.
Dollar Tree, Inc. has an EV/EBITDA ratio of 12.70x, which is below the 20.00x threshold, indicating reasonable valuation relative to its operating earnings
Undervalued - PEG ratio value.
Dollar Tree, Inc. has a PEG-ratio under 1 which is considered undervalued
Overvalued - P/B ratio.
Dollar Tree, Inc. has a price-to-book ratio of 6.95x, which exceeds the 5.00x threshold, indicating the stock may be overvalued relative to its book value
Undervalued - P/S ratio.
Dollar Tree, Inc. has a price-to-sales ratio of 1.21x, which is below the 8.00x threshold, indicating reasonable valuation relative to its revenue