Dollar General stock jumps as same-store sales beat (DG)
- Dollar General beat earnings expectations and same-store sales estimates for the first quarter.
- The stock was up more than 5% in pre-market trading Thursday.
- Watch Dollar General trade live.
Dollar General shares rose more than 5% in pre-market trading Thursday after the company posted better-than-expected first-quarter results.
The company reported earnings per share of $1.48, above the $1.39 that analysts surveyed by Bloomberg were expecting. Same-store sales, an important metric for investors, came in at up 3.8% versus the 2.8% that was anticipated. Revenue of $6.6 billion for the quarter was inline with estimates.
"Our team continued to make great progress on our strategic initiatives this quarter, while remaining focused on our four operating priorities," said Todd Vasos, Dollar General's CEO.
"This hard work and focus led to strong top- and bottom-line growth, and I'm very proud of our achievements. Looking forward, we have a wide variety of initiatives and projects that we believe can help extend our growth trajectory over both the near and longer term," he added.
Dollar General is a rare retailer that has succeeded in the age of Amazon. The company will open nearly 1,000 stores across the US, continuing years of expansion.
Dollar General has succeeded through a variety of tactics aimed at keeping prices low. These include a focus on rural areas, limited product selection, selling private-label products, and keeping labor costs down.
Dollar General is up 15% this year.
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