Report
Zain Akbari
EUR 100.00 For Business Accounts Only

Dollar Tree's consolidated competitive edge is hampered by its challenged Family Dollar unit.

With narrow-moat Dollar Tree's Family Dollar unit still struggling, we anticipate cutting our $98 fair value estimate by a high-single-digit percentage in the wake of soft second-quarter earnings. While the namesake stores are performing well, posting 4% first-half same-store sales growth, the continued rehabilitation of Family Dollar will lead us to temper our near-term forecasts. Still, we expect the firm's competitive strength based on its brand intangible assets and a cost advantage will eme...
Underlying
Dollar Tree Inc.

Dollar Tree is an operator of discount variety stores. The company's stores operate under the names of Dollar Tree, Family Dollar and Dollar Tree Canada. The company's segments are: Dollar Tree, which is the operator of discount variety stores providing merchandise at the fixed price point of $1.00; and Family Dollar, which operates general merchandise discount retail stores. The merchandise mix in the company's Dollar Tree stores consists of consumable merchandise, variety merchandise, and seasonal goods. The merchandise mix in the company's Family Dollar stores consists of consumable merchandise, home products, apparel and accessories merchandise, and seasonal and electronics merchandise.

Provider
Morningstar
Morningstar

Morningstar, Inc. is a leading provider of independent investment research in North America, Europe, Australia, and Asia. The company offer an extensive line of products and services for individual investors, financial advisors, asset managers, and retirement plan providers and sponsors.

Morningstar provides data on approximately 530,000 investment offerings, including stocks, mutual funds, and similar vehicles, along with real-time global market data on more than 18 million equities, indexes, futures, options, commodities, and precious metals, in addition to foreign exchange and Treasury markets. Morningstar also offers investment management services through its investment advisory subsidiaries and had approximately $185 billion in assets under advisement and management as of June 30, 2016.

We have operations in 27 countries.

Analysts
Zain Akbari

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