Core Thesis - Dollar Tree, Inc. is undergoing a significant transformation post-divestiture of Family Dollar, with management projecting 12-15% compounded EPS growth from FY26-28 and high-teens EPS growth in 2026 due to reduced headwinds [2][5] Financial Performance - As of December 1st, Dollar Tree's share price was $109.89, with trailing and forward P/E ratios of 21.30 and 17.01 respectively [1] - The company reported a 3.8% growth in comparable store sales quarter-to-date and has repurchased over 2.8 million shares for $271 million [3] Strategic Initiatives - The company is shifting from a single-price to a multi-price model, maintaining that approximately 85% of items are still priced at $2 or less, which enhances product assortment and margins [3] - Management is investing in store modernization and technology, including AI-driven shelf optimization, to improve efficiency and profitability [4] Growth Plans - Dollar Tree plans to open 400 new stores annually and establish two new distribution centers to support its growth strategy [5] - Capital allocation will focus on share repurchases and potentially introducing a dividend, indicating confidence in sustained free cash flow generation [5] Market Position - The company is leveraging strong vendor relationships and an expanding store footprint to secure competitive pricing on top-tier products [4] - Dollar Tree's transformation aims to position it as a modern, data-driven retail leader, enhancing long-term profitability and market share [5][6]