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Fly News Breaks for October 11, 2018
DLTR
Oct 11, 2018 | 07:43 EDT
RBC Capital analyst Scot Ciccarelli lowered his price target on Dollar Tree to $94 from $96 and also lowered his FY19 EPS view to $5.95 from $6.10 after his recent management meetings highlighted the company's plans to incur more costs in labor and staff training. The analyst notes that the Dollar Tree has not yet "solved the Family Dollar puzzle" on how to improve its business without remodels or conversions, adding that his two store checks revealed serious issues with stocking and clutter. Ciccarelli keeps his Outperform rating on Dollar Tree however, stating that he expects the company to be much more aggressive in changing its Family Dollar real estate portfolio, store conversions, and closures so as to reach the "point of inflection faster."
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