Tom Reese/Paul Rubillo, Dividend.com
Dollar Tree (DLTR) shares are down so far today, after a Goldman analyst cut the shares to a sell.
The analyst sees limited upside for the discount retailer following its strong year in 2008. If there is any downside versus the current 2009 consensus this likely result in multiple contraction and downside for the stock to the low $30s. The analyst did put a $36 price target on the shares.
The Bottom Line
Shares of DLTR have nearly double this year, and the stock is presently trading near all-time highs. The stock does have technical support in the $32-34 price area, if there is a 20% correction from current levels. The company does not currently pay a dividend so we do not have a rating on the stock, but we will watch it as a gauge for other discount retailers.
Dollar Tree (DLTR) does not currently pay a dividend.
Be sure to visit our complete recommended list of the Best Dividend Stocks, as well as a detailed explanation of our ratings system here.
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