Dollar General Continues To Be A Safe Bet Despite Short-Term Headwinds

Edgestocks Research
241 Followers

Summary

  • Dollar General’s better-than-anticipated Q2 performance failed to lift the stock as the company cautioned about headwinds like supply chain disruptions and cost inflation.
  • The discount retailer faces tough comparisons with the previous year, which gained from pandemic-led demand. That said, the company’s future prospects look good.
  • Dollar General has been a very consistent player in the retail space and I believe that investors with a long-term investment horizon should buy the stock.

Dollar General To Open Over 700 New Stores In 2015

Justin Sullivan/Getty Images News

Discount retailer Dollar General (NYSE:DG) witnessed stellar growth in fiscal 2020 due to stockpiling by consumers amid the pandemic-induced lockdowns and restrictions. However, tough comparisons with fiscal 2020 and focus on reopening plays are impacting the

This article was written by

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I am an MBA Finance with more than a decade of experience as a research analyst. I am passionate about analyzing stocks across various sectors and explore long-term investment opportunities.

Analyst’s Disclosure:I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

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