Dollar General Stock Piotroski F Score

DG Stock  USD 77.27  1.01  1.32%   
This module uses fundamental data of Dollar General to approximate its Piotroski F score. Dollar General F Score is determined by combining nine binary scores representing 3 distinct fundamental categories of Dollar General. These three categories are profitability, efficiency, and funding. Some research analysts and sophisticated value traders use Piotroski F Score to find opportunities outside of the conventional market and financial statement analysis.They believe that some of the new information about Dollar General financial position does not get reflected in the current market share price suggesting a possibility of arbitrage. Check out Dollar General Altman Z Score, Dollar General Correlation, Dollar General Valuation, as well as analyze Dollar General Alpha and Beta and Dollar General Hype Analysis.
For more detail on how to invest in Dollar Stock please use our How to Invest in Dollar General guide.
  
At this time, Dollar General's Short Term Debt is most likely to increase significantly in the upcoming years. The Dollar General's current Long Term Debt is estimated to increase to about 6.5 B, while Debt To Equity is projected to decrease to 0.71. At this time, Dollar General's Stock Based Compensation To Revenue is most likely to slightly decrease in the upcoming years. The Dollar General's current PB Ratio is estimated to increase to 7.25, while Days Sales Outstanding is projected to decrease to 1.01.
At this time, it appears that Dollar General's Piotroski F Score is Healthy. Although some professional money managers and academia have recently criticized Piotroski F-Score model, we still consider it an effective method of predicting the state of the financial strength of any organization that is not predisposed to accounting gimmicks and manipulations. Using this score on the criteria to originate an efficient long-term portfolio can help investors filter out the purely speculative stocks or equities playing fundamental games by manipulating their earnings..
6.0
Piotroski F Score - Healthy
Current Return On Assets

Positive

Focus
Change in Return on Assets

Increased

Focus
Cash Flow Return on Assets

Positive

Focus
Current Quality of Earnings (accrual)

Improving

Focus
Asset Turnover Growth

Increase

Focus
Current Ratio Change

Increase

Focus
Long Term Debt Over Assets Change

Higher Leverage

Focus
Change In Outstending Shares

Increase

Focus
Change in Gross Margin

No Change

Focus

Dollar General Piotroski F Score Drivers

The critical factor to consider when applying the Piotroski F Score to Dollar General is to make sure Dollar is not a subject of accounting manipulations and runs a healthy internal audit department. So, if Dollar General's auditors report directly to the board (not management), the managers will be reluctant to manipulate simply due to the fear of punishment. On the other hand, the auditors will be free to investigate the ledgers properly because they know that the board has their back. Below are the main accounts that are used in the Piotroski F Score model. By analyzing the historical trends of the mains drivers, investors can determine if Dollar General's financial numbers are properly reported.
Current ValueLast YearChange From Last Year 10 Year Trend
Asset Turnover2.091.2564
Way Up
Very volatile
Gross Profit Margin0.280.3029
Significantly Down
Pretty Stable
Net Debt18.4 B17.6 B
Sufficiently Up
Slightly volatile
Total Current Liabilities7.1 B6.7 B
Sufficiently Up
Slightly volatile
Non Current Liabilities Total18.2 B17.3 B
Sufficiently Up
Slightly volatile
Total Assets32.3 B30.8 B
Sufficiently Up
Slightly volatile
Total Current Assets8.4 BB
Sufficiently Up
Slightly volatile
Total Cash From Operating Activities2.5 B2.4 B
Sufficiently Up
Slightly volatile

Dollar General F Score Driver Matrix

One of the toughest challenges investors face today is learning how to quickly synthesize historical financial statements and information provided by the company, SEC reporting, and various external parties in order to project the various growth rates. Understanding the correlation between Dollar General's different financial indicators related to revenue, expenses, operating profit, and net earnings helps investors identify and prioritize their investing strategies towards Dollar General in a much-optimized way.

About Dollar General Piotroski F Score

F-Score is one of many stock grading techniques developed by Joseph Piotroski, a professor of accounting at the Stanford University Graduate School of Business. It was published in 2002 under the paper titled Value Investing: The Use of Historical Financial Statement Information to Separate Winners from Losers. Piotroski F Score is based on binary analysis strategy in which stocks are given one point for passing 9 very simple fundamental tests, and zero point otherwise. According to Mr. Piotroski's analysis, his F-Score binary model can help to predict the performance of low price-to-book stocks.

Pretax Profit Margin

0.0616

At this time, Dollar General's Pretax Profit Margin is most likely to slightly decrease in the upcoming years.

Dollar General ESG Sustainability

Some studies have found that companies with high sustainability scores are getting higher valuations than competitors with lower social-engagement activities. While most ESG disclosures are voluntary and do not directly affect the long term financial condition, Dollar General's sustainability indicators can be used to identify proper investment strategies using environmental, social, and governance scores that are crucial to Dollar General's managers, analysts, and investors.
Environmental
Governance
Social

About Dollar General Fundamental Analysis

The Macroaxis Fundamental Analysis modules help investors analyze Dollar General's financials across various querterly and yearly statements, indicators and fundamental ratios. We help investors to determine the real value of Dollar General using virtually all public information available. We use both quantitative as well as qualitative analysis to arrive at the intrinsic value of Dollar General based on its fundamental data. In general, a quantitative approach, as applied to this company, focuses on analyzing financial statements comparatively, whereas a qaualitative method uses data that is important to a company's growth but cannot be measured and presented in a numerical way.
Please read more on our fundamental analysis page.

Currently Active Assets on Macroaxis

Is Consumer Staples Distribution & Retail space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Dollar General. If investors know Dollar will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Dollar General listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth
(0.20)
Dividend Share
2.36
Earnings Share
6.43
Revenue Per Share
180.613
Quarterly Revenue Growth
0.042
The market value of Dollar General is measured differently than its book value, which is the value of Dollar that is recorded on the company's balance sheet. Investors also form their own opinion of Dollar General's value that differs from its market value or its book value, called intrinsic value, which is Dollar General's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Dollar General's market value can be influenced by many factors that don't directly affect Dollar General's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Dollar General's value and its price as these two are different measures arrived at by different means. Investors typically determine if Dollar General is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Dollar General's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.