Dollar General shares rally 7% premarket as earnings top estimates

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Dollar General shares rally 7% premarket as earnings top estimates
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Dollar General rallies on upbeat outlook

Dollar General Corp. shares DG, +1.64% soared more than 7% in premarket trade Thursday, after the discount retailer blew past estimates for its fiscal second quarter. Goodelettsville, Tenn-based Dollar General said it had net income of $426.6 million, or $1.65 a share, in the quarter to Aug. 2, up from $407.2 million, or $1.52 a share, in the year-earlier period. Adjusted per-share earnings came to $1.74, well ahead of the $1.57 FactSet consensus.

Sales rose 8.4% to $7.0 billion, also ahead of the $6.9 billion FactSet consensus. Same-store sales rose 4%, ahead of the 2.5% FactSet consensus. The company said it now expects fiscal 2019 sales growth of about 8%, up from a prior forecast for 7% growth. It expects same-store sales to grow in the low-to-mid 3% range, above its prior forecast of 2.5%. Adjusted per-share earnings are expected to range from $6.45 to $6.60, compared with a FactSet consensus of $6.47.

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But but but recession

The peasants are growing in number. Billionaires won't need to worry about pitch-forks, for now. BTW, I don't think DG sells pitch-forks. Still, winter is coming. One day, they'll come en masse to the manor house.

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