Here’s Why Dollar Tree (DLTR) Declined in Q2

Madison Investments, an investment advisor, released its “Madison Investors Fund” second quarter 2023 investor letter. A copy of the same can be downloaded here. In the second quarter, the fund advanced 8.5% compared to an 8.7% return for S&P 500 Index benchmark.  In addition, you can check the top 5 holdings of the fund to know its best picks in 2023.

Madison Investors Fund highlighted stocks like Dollar Tree, Inc. (NASDAQ:DLTR) in the second quarter 2023 investor letter. Headquartered in Chesapeake, Virginia, Dollar Tree, Inc. (NASDAQ:DLTR) is a discount retailer. On July 13, 2023, Dollar Tree, Inc. (NASDAQ:DLTR) stock closed at $148.00 per share. One-month return of Dollar Tree, Inc. (NASDAQ:DLTR) was 8.65%, and its shares lost 11.88% of their value over the last 52 weeks. Dollar Tree, Inc. (NASDAQ:DLTR) has a market capitalization of $32.617 billion.

Madison Investors Fund made the following comment about Dollar Tree, Inc. (NASDAQ:DLTR) in its second quarter 2023 investor letter:

“The bottom five individual contributors for the quarter were U.S. Bancorp, Progressive, Analog Devices, Dollar Tree, Inc. (NASDAQ:DLTR), and Danaher. Off-price retailer Dollar Tree’s margins disappointed this past quarter. Like much of the retail industry, they are contending with higher costs related to shrink as well as the mix of sales shifting away from higher margin areas towards lower margin categories like grocery. Despite the near-term disappointment, we remain optimistic that the company can improve its profit performance. New Chairman and CEO Richard Dreiling has completely overhauled the management team with an impressive roster of retail executives, and they are spearheading a great number of initiatives that should bear fruit over the coming years.”

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Dollar Tree, Inc. (NASDAQ:DLTR) is not on our list of 30 Most Popular Stocks Among Hedge Funds. As per our database, 38 hedge fund portfolios held Dollar Tree, Inc. (NASDAQ:DLTR) at the end of first quarter which was 38 in the previous quarter.

We discussed Dollar Tree, Inc. (NASDAQ:DLTR) in another article and shared the list of big companies that don’t drug test employees. In addition, please check out our hedge fund investor letters Q2 2023 page for more investor letters from hedge funds and other leading investors.

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Disclosure: None. This article is originally published at Insider Monkey.