Dollar General (NYSE: DG) had a fantastic fiscal first-quarter (ended May 1). People flocked to the stores, which remained opened with altered operations such as earlier closing times, resulting in same-store sales (comps) jumping 21.7%. Higher sales drove diluted earnings per share (EPS) 73% higher from $1.48 to $2.56, despite higher costs related to COVID-19 such as employee bonuses.
Certainly, the company benefited from shoppers buying more items from Dollar General's consumables category (e.g. paper towels, packaged foods, and personal care products like soap and shampoo).
This is not a long-lasting effect, however. Therefore, with the stock trading close to its 52-week high, does Dollar General still represent an attractive buying opportunity?
Source Fool.com