Core Viewpoint - Dollar General is anticipated to report a year-over-year decline in earnings despite an increase in revenues for the quarter ending January 2025, which could significantly influence its stock price depending on the actual results compared to estimates [1][2]. Earnings Expectations - The upcoming earnings report is scheduled for March 13, 2025, with expectations of earnings per share (EPS) at 10.26 billion, a 4.1% increase from the previous year [3][2]. - The consensus EPS estimate has been revised down by 3.2% over the last 30 days, indicating a bearish sentiment among analysts regarding the company's earnings prospects [4][10]. Earnings Surprise Prediction - The Zacks Earnings ESP model indicates that the Most Accurate Estimate for Dollar General is lower than the Zacks Consensus Estimate, resulting in an Earnings ESP of -1.73%, which complicates the prediction of an earnings beat [10][11]. - The company holds a Zacks Rank of 3 (Hold), which further diminishes the likelihood of surpassing the consensus EPS estimate [11]. Historical Performance - In the last reported quarter, Dollar General was expected to post earnings of 0.89, resulting in a surprise of -7.29%. Over the past four quarters, the company has beaten consensus EPS estimates twice [12][13]. Industry Comparison - Dollar Tree, a competitor in the discount retail sector, is expected to report EPS of 8.23 billion, down 4.7% from the previous year [17][18]. - Similar to Dollar General, Dollar Tree's consensus EPS estimate has been revised down by 0.1% in the last 30 days, leading to an Earnings ESP of -1.19% and a Zacks Rank of 3 [18].
Earnings Preview: Dollar General (DG) Q4 Earnings Expected to Decline