Dollar General Corporation (NYSE:DG) is included among the 20 Best Performing Dividend Stocks in 2025.
On December 19, Wells Fargo raised its price target on Dollar General Corporation (NYSE:DG) to $125 from $115 and kept an Equal Weight rating. The firm sees a mixed setup for 2026 across the group, but not without opportunity. Wells is constructive on broadlines and food service, notes that fiscal and tariff-related trade activity is already underway, and believes earnings momentum can carry through the first half of EPS revisions. At the same time, it flags a more challenging backdrop for food retail, where company-specific factors will matter more than broad trends.
A few days earlier, on December 15, JPMorgan upgraded Dollar General to Overweight from Neutral and lifted its price target to $166 from $128. After meeting with management, the firm said Dollar General is “back on offense.”
That shift in tone followed a solid earnings update. On December 4, Dollar General Corporation (NYSE:DG) raised its full-year profit outlook after beating third-quarter estimates. Management pointed to steady traffic from value-focused shoppers across income levels, as households look to manage spending in an uncertain economy. Cost controls also played a role. Similar patterns have been noted across the sector, including at larger peers like Walmart.
Pricing discipline remains central to the strategy. Dollar General continues to keep roughly 25% of its assortment priced at or below $1. That approach resonates with its core customer base, typically households earning under $35,000 a year, and has helped position the chain as a reliable destination for everyday needs.
Dollar General Corporation (NYSE:DG) operates as a discount retailer, offering a broad mix of consumables, seasonal merchandise, home products, and apparel.
While we acknowledge the potential of DG as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you’re looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.
READ NEXT: 14 Best Pharma Dividend Stocks to Buy in 2026 and 14 Best Dividend Aristocrats to Invest in Heading into 2026.
Disclosure: None.
