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Dollar Tree Inc
XBER:DT3

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Dollar Tree Inc
XBER:DT3
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Price: 99.31 EUR 4.9% Market Closed
Market Cap: €21.7B

EV/IC

1.8
Current
20%
More Expensive
vs 3-y average of 1.5

Enterprise Value to Invested Capital (EV/IC) ratio compares a company`s total enterprise value to the capital invested in its business. It shows how efficiently the company`s market value reflects the funds used to generate returns.

EV/IC
1.8
=
Enterprise Value
€23.8B
/
Invested Capital
$11.2B

Enterprise Value to Invested Capital (EV/IC) ratio compares a company`s total enterprise value to the capital invested in its business. It shows how efficiently the company`s market value reflects the funds used to generate returns.

EV/IC
1.8
=
Enterprise Value
€23.8B
/
Invested Capital
$11.2B

Valuation Scenarios

Dollar Tree Inc is trading above its 3-year average

If EV/IC returns to its 3-Year Average (1.5), the stock would be worth €82.49 (17% downside from current price).

Statistics
Positive Scenarios
0/4
Maximum Downside
-18%
Maximum Upside
No Upside Scenarios
Average Downside
13%
Scenario EV/IC Value Implied Price Upside/Downside
Current Multiple 1.8 €99.31
0%
3-Year Average 1.5 €82.49
-17%
5-Year Average 1.6 €88.91
-10%
Industry Average 1.7 €91.04
-8%
Country Average 1.5 €81.43
-18%

Forward EV/IC
Today’s price vs future invested capital

Not enough data available to calculate forward EV/IC

Peer Comparison

All Multiples
EV/IC
P/E
All Countries
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Market Distribution

In line with most companies in the United States of America
Percentile
61st
Based on 11 657 companies
61st percentile
2.1
Low
0 — 0.9
Typical Range
0.9 — 2.9
High
2.9 —
Distribution Statistics
the United States of America
Min 0
30th Percentile 0.9
Median 1.5
70th Percentile 2.9
Max 566 432.7

Dollar Tree Inc
Glance View

Dollar Tree Inc., a stalwart in the discount retail industry, weaves a narrative of affordability and strategic prowess. Originally founded in 1986, the company has etched its unique niche by strictly adhering to a single-price-point promise – offering an array of items for just one dollar. This particular business model, while simple in appearance, is emblematic of their efficient operational strategies. Dollar Tree sources its products globally, leveraging bulk purchasing and cost-effective supply chains to maintain desired margins. The store shelves brim with an eclectic mix of categories including groceries, health and beauty aids, household supplies, and seasonal merchandise, all curated to appeal to bargain hunters and budget-conscious consumers across a broad spectrum. As it unfolds from its roots, Dollar Tree's growth is not just anchored in low pricing. In 2015, the company made a bold leap forward by acquiring Family Dollar, another discount retailer, enabling a complementary expansion of its market footprint. This acquisition allowed Dollar Tree to operate under two distinct banners, thereby capturing a broader demographic. The synergy between Dollar Tree’s fixed-price model and Family Dollar’s multi-price points has provided it with a competitive edge. Revenue streams are meticulously bolstered through an extensive network of nearly 16,000 stores across North America, supported by a distribution system adept at managing costs and maintaining inventory turnover. This model provides a steady stream of revenue, fueled by the high volumes of customers attracted by the promise of value for money in uncertain economic climates.

DT3 Intrinsic Value
88.44 EUR
Overvaluation 11%
Intrinsic Value
Price €99.31
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