Is Dollar Tree Stock a Buy?
It would be easy to doubt that Dollar Tree (NASDAQ: DLTR) has a highly compelling, post-COVID-19 future. Not only is the discount retailing space already crowded by the likes of Dollar General (NYSE: DG) and Big Lots (NYSE: BIG), the venerable Walmart (NYSE: WMT) is always a challenging competitor. There's also the prospect of a rebound from the nationwide economic lull, which can push consumers out of a value-oriented mindset into a more premium-minded spending mode. Throw in the relatively modest e-commerce shopping options its Family Dollar and Dollar Tree brands are able to offer, and most investors may decide to look elsewhere for opportunities.
That would be a mistake, however, especially right now. Although the stock's current price is more or less where it was three years ago, Dollar Tree has never had much of a problem driving steady sales growth. A pandemic -- or lack thereof -- doesn't seem to be a major factor, for good or ill.
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Source Fool.com
