15 Best Large-Cap Value Stocks to Buy as the Recession Hits

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8. Dollar Tree, Inc. (NASDAQ:DLTR)

Number of Hedge Fund Holders: 64

Forward P/E as of April 15: ~14.06x

Dollar Tree, Inc. (NASDAQ:DLTR) operates retail discount stores. Citi analyst Paul Lejeuz upped the company’s stock from “Neutral” to “Buy,” increasing the price objective from $76.00 to $103.00. This adjustment comes after the analyst expects favourable outcomes for the company amidst rising tariffs. The analyst opines that the current high-tariff environment can work in Dollar Tree, Inc. (NASDAQ:DLTR)’s favor. The company has the opportunity to adjust the price points, says Lejeuz. The analyst further added that its robust position as a value retailer places it apart as a likely winner in the environment in which prices are expected to rise.

Dollar Tree, Inc. (NASDAQ:DLTR)’s capability to navigate the tariff-induced cost increases while, at the same time, maintaining consumer appeal remains at the core of the favourable outlook. Elsewhere, Bernstein adjusted the price target on the company’s stock to $78, noting the potential positive impact of the Family Dollar sale on Dollar Tree, Inc. (NASDAQ:DLTR)’s EPS. Notably, the company has reached an agreement under which Brigade Capital Management, LP and Macellum Capital Management, LLC will partner to acquire its Family Dollar business segment. The company will continue to grow and optimize its Dollar Tree business in a bid to maximize value for Dollar Tree associates, customers, and shareholders with an increased emphasis on compelling initiatives, such as expanded assortment, significant planned new store openings, and transactions fueling the growth strategy.

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