Dollar General stock analysis. Ticker: $DG Published first at https://www.3minutebreakdowns.com Dollar General used to be one of the best stocks in the market but over the last two years shares have collapsed by 68%. The question is whether the stock is now a value play or a value trap? At the la...

Dollar General stock analysis. Ticker: $DG Published first at https://www.3minutebreakdowns.com Dollar General used to be one of the best stocks in the market but over the last two years shares have collapsed by 68%. The question is whether the stock is now a value play or a value trap? At the latest price, Dollar General now has a market cap of 17.6 billion dollars. With a significant chunk of debt, the enterprise value is 23.4 billion. Revenue over the past 12 months comes to 40 billion with 1.4 billion of net income and 1.7 billion of free cash flow. So the stock is valued at at under 13 times earnings and 14 times free cash flow. That valuation certainly looks cheap. Not long ago, Dollar General had a PE ratio of 25 and a market cap over 50 billion. However, Dollar General’s results keep getting worse. In the most recent quarter, same store sales increased by only half a percent. Gross margins fell 1.1%, operating profit decreased 21% and net income fell 20%. #investing #stocks #stockstowatch