Dollar General Corp. (DG) is having a moment. The discount retailer's technical strength has jumped sharply this week, with its momentum score climbing to 89.60 according to market data. That's the kind of reading that puts a stock in the top tier, and the timing is interesting because it's happening just days before a key shareholder payout deadline.
The Numbers Behind the Momentum
Here's what makes that momentum score noteworthy: it's significantly outpacing Dollar General's other core metrics. The stock's value score sits at 52.63, while quality checks in at 50.86. Momentum measures the speed and magnitude of price changes, and an 89.60 reading suggests market sentiment has shifted decisively bullish.
The technical picture backs this up across the board. Dollar General is currently rated bullish across short, medium, and long-term time horizons. When all three timeframes align like that, it tends to get traders' attention.
Earnings Beat Fuels the Rally
Technical breakouts don't happen in a vacuum, and Dollar General's surge has some solid fundamental catalysts behind it. The company recently delivered a strong third-quarter earnings report, posting adjusted EPS of $1.28 against a FactSet consensus of just $0.95. That's a meaningful beat.
Management responded by raising fiscal 2025 EPS guidance to a range of $6.30 to $6.50. Wall Street took notice. Telsey Advisory Group raised its price target to $130, while Jefferies and UBS went higher at $142 and $143, respectively. The common thread in those upgrades: improved traffic and margin performance.
Dividend Deadline Approaching
If you're interested in capturing some income alongside this capital appreciation, you've got a tight window. Dollar General goes ex-dividend on Monday, January 6. That means you need to own the stock before that date to receive the upcoming payout.
The company currently offers a forward annual dividend yield of 1.78%. It's not a massive yield, but it adds an income component to what's become a renewed momentum story for the stock.
Strong Performance Over Six Months
The recent momentum is part of a broader trend. Shares of Dollar General have climbed 17.64% over the last six months. Zoom out to a full year, and the gain is even more impressive at 80.38%.
On Friday, shares closed 3.05% higher at $136.82. In Monday's premarket trading, the stock was down 0.45%, which is fairly typical profit-taking after a strong run.
The combination of technical strength, solid earnings performance, and an upcoming dividend creates an interesting setup for a stock that competes in the discount retail space alongside giants like Walmart. Whether this momentum sustains itself will depend on whether the improved traffic and margins that analysts are citing prove durable through the current fiscal year.




