03:09 PM EDT, 08/25/2025 (MT Newswires) -- Dollar General's ( DG ) key fiscal second-quarter financial results are likely to be at least in line with Wall Street's expectations, which may prompt the discount retailer to raise its full-year guidance, Oppenheimer said Monday.
The consensus estimates for earnings of $1.58 a share and same-store sales growth of 2.6% are achievable, with strength across categories likely to "again fuel" top-line growth for the quarter, Oppenheimer analysts, including Rupesh Parikh, said in a note to clients. Dollar General ( DG ) is scheduled to report results Thursday.
"We believe management is well positioned to at least match (second-quarter) Street expectations on the comp and EPS lines," the analysts wrote. "We expect traction with company initiatives and benefits from trade-in to drive a comp increase of at least 2.5%."
In June, Dollar General ( DG ) logged better-than-expected first-quarter results and said tariffs could pressure consumer spending. The company at the time upgraded its full-year outlook, which called for same-store sales to increase by around 1.5% to 2.5% and EPS between $5.20 and $5.80.
"For (2025), we believe management could tweak higher comp and EPS expectations," Oppenheimer said Monday. "We continue to see a bright intermediate-term outlook for (Dollar General ( DG )) and believe shares still remain under-owned."
The company's shares were up 0.2% in Monday late-afternoon trade. The stock has surged nearly 49% so far this year.
Dollar General ( DG ) continues to have "a large number of opportunities" to drive and sustain comparable sales growth momentum in a range of 2% to 3%, Oppenheimer said. "Management efforts, along with trade-in, support our increased confidence in the company's top-line delivery."
Oppenheimer has an outperform rating and a $130 price target on the Dollar General ( DG ) stock.
The brokerage said that although it continues to see "significant interest" in the stock, near-term sentiment is viewed as mixed, especially versus rival Dollar Tree ( DLTR ) . "Investor enthusiasm toward the (Dollar Tree ( DLTR )) story has picked up lately following its recent pricing efforts," the analysts said.
Last week, another rival, TJX (TJX), raised its full-year earnings outlook as it reiterated confidence in its ability to offset tariffs-related headwinds amid strong demand that drove annual gains in fiscal second-quarter results.
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