Dollar General (DG) is on a 'steady path of improvement' after facing hurdles and "below standard" execution, UBS Securities said Friday in a report.
The company, which released fiscal Q4 results and full year guidance on Thursday, highlighted improvements in execution with 70% to 75% of stores "being in good shape," and officials said they are aiming to increase the figure further, the report said.
Customer trends are turning favorable, and the company is well-positioned against potential tariffs, UBS said.
As Dollar General aligns financials with long-term targets, the stock is "is set up well to outperform," the report said.
UBS has a buy rating on Dollar General with a price target of $95.
Shares of Dollar General rose 1.4% in recent Monday trading.
Price: 80.16, Change: +1.14, Percent Change: +1.44
Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.