Comprehensive Stock Comparison
Compare Dollar Tree, Inc. (DLTR) vs Target Corporation (TGT) Stock
Analyze side-by-side fundamentals, valuation, growth, and profitability to decide which stock is the better buy.
Selected Stocks
Add up to 10 tickers. Use presets or search to get started.
Quick Verdict
| Category | Winner | Why |
|---|---|---|
| Growth | DLTR | 4.8% revenue growth vs TGT's -0.8% |
| Value | TGT | Lower P/E (15.6x vs 22.0x) |
| Quality / Margins | TGT | 3.8% net margin vs DLTR's -15.6% |
| Stability / Safety | DLTR | Beta 0.65 vs TGT's 0.98 |
| Dividends | TGT | 3.9% yield; 21-year raise streak; DLTR pays no meaningful dividend |
| Momentum (1Y) | DLTR | +73.6% vs TGT's -4.8% |
| Efficiency (ROA) | TGT | 6.7% ROA vs DLTR's -21.6%, ROIC 13.4% vs 8.8% |
Who Each Stock Is For
Income & stability
Growth exposure
Long-term compounding (10Y)
Sleep-well-at-night portfolio
Defensive / Recession hedge
Business Model
What each company does and how it makes money
Dollar Tree operates a chain of discount variety retail stores that sell most items at fixed low price points — primarily $1.25 at its namesake stores and various low prices at Family Dollar locations. The company generates revenue through two main segments: Dollar Tree stores (fixed-price merchandise) and Family Dollar stores (general merchandise discount retail), with both segments contributing roughly equally to overall sales. Its competitive advantage lies in its extreme value positioning and massive scale — operating over 15,000 stores across North America — which creates significant purchasing power and distribution efficiencies.
Target is a large-format general merchandise retailer offering a curated assortment of essentials, apparel, home goods, and groceries at value prices. It generates revenue primarily through in-store sales (~95%) and digital channels (~5%), with additional income from credit card partnerships and in-store services like pharmacies and food courts. The company's competitive advantage lies in its "cheap chic" brand positioning—offering stylish private-label goods at affordable prices—and its efficient omnichannel fulfillment network that integrates stores as local distribution hubs.
Revenue Breakdown by Segment
How each company's revenue is distributed across its business units
Financial Metrics Comparison
Side-by-side fundamentals across 2 stocks. BestLagging
Financial Scorecard
TGT leads in 3 of 6 categories (Valuation Metrics, Profitability & Efficiency). DLTR leads in 1 (Total Returns). 2 tied.
Financial Metrics (TTM)
TGT is the larger business by revenue, generating $105.4B annually — 5.6x DLTR's $19.0B. TGT is the more profitable business, keeping 3.8% of every revenue dollar as net income compared to DLTR's -15.6%. On growth, TGT holds the edge at -1.1% YoY revenue growth, suggesting stronger near-term business momentum.
| Metric | DLTRDollar Tree, Inc. | TGTTarget Corporation |
|---|---|---|
| RevenueTrailing 12 months | $19.0B | $105.4B |
| EBITDAEarnings before interest/tax | $1.8B | $8.2B |
| Net IncomeAfter-tax profit | -$3.0B | $4.0B |
| Free Cash FlowCash after capex | $1.6B | $5.5B |
| Gross MarginGross profit ÷ Revenue | +35.9% | +25.5% |
| Operating MarginEBIT ÷ Revenue | +7.9% | +4.8% |
| Net MarginNet income ÷ Revenue | -15.6% | +3.8% |
| FCF MarginFCF ÷ Revenue | +8.7% | +5.2% |
| Rev. Growth (YoY)Latest quarter vs prior year | -37.2% | -1.1% |
| EPS Growth (YoY)Latest quarter vs prior year | +11.1% | +13.5% |
Valuation Metrics
On an enterprise value basis, TGT's 8.2x EV/EBITDA is more attractive than DLTR's 16.1x.
| Metric | DLTRDollar Tree, Inc. | TGTTarget Corporation |
|---|---|---|
| Market CapShares × price | $25.4B | $51.8B |
| Enterprise ValueMkt cap + debt − cash | $32.0B | $70.8B |
| Trailing P/EPrice ÷ TTM EPS | -9.00x | 12.84x |
| Forward P/EPrice ÷ next-FY EPS est. | 21.98x | 15.61x |
| PEG RatioP/E ÷ EPS growth rate | — | 1.87x |
| EV / EBITDAEnterprise value multiple | 16.07x | 8.22x |
| Price / SalesMarket cap ÷ Revenue | 1.44x | 0.49x |
| Price / BookPrice ÷ Book value/share | 6.87x | 3.58x |
| Price / FCFMarket cap ÷ FCF | 16.25x | 11.58x |
Profitability & Efficiency
TGT delivers a 26.1% return on equity — every $100 of shareholder capital generates $26 in annual profit, vs $-85 for DLTR. TGT carries lower financial leverage with a 1.36x debt-to-equity ratio, signaling a more conservative balance sheet compared to DLTR's 1.97x. On the Piotroski fundamental quality scale (0–9), TGT scores 7/9 vs DLTR's 4/9, reflecting strong financial health.
| Metric | DLTRDollar Tree, Inc. | TGTTarget Corporation |
|---|---|---|
| ROE (TTM)Return on equity | -85.2% | +26.1% |
| ROA (TTM)Return on assets | -21.6% | +6.7% |
| ROICReturn on invested capital | +8.8% | +13.4% |
| ROCEReturn on capital employed | +10.7% | +15.4% |
| Piotroski ScoreFundamental quality 0–9 | 4 | 7 |
| Debt / EquityFinancial leverage | 1.97x | 1.36x |
| Net DebtTotal debt minus cash | $6.6B | $19.0B |
| Cash & Equiv.Liquid assets | $1.3B | $869M |
| Total DebtShort + long-term debt | $7.8B | $19.9B |
| Interest CoverageEBIT ÷ Interest expense | 13.18x | 13.06x |
Total Returns (with DRIP)
A $10,000 investment in DLTR five years ago would be worth $12,746 today (with dividends reinvested), compared to $7,238 for TGT. Over the past 12 months, DLTR leads with a +73.6% total return vs TGT's -4.8%. The 3-year compound annual growth rate (CAGR) favors DLTR at -4.5% vs TGT's -9.0% — a key indicator of consistent wealth creation.
| Metric | DLTRDollar Tree, Inc. | TGTTarget Corporation |
|---|---|---|
| YTD ReturnYear-to-date | -1.0% | +14.3% |
| 1-Year ReturnPast 12 months | +73.6% | -4.8% |
| 3-Year ReturnCumulative with dividends | -12.9% | -24.5% |
| 5-Year ReturnCumulative with dividends | +27.5% | -27.6% |
| 10-Year ReturnCumulative with dividends | +57.6% | +87.9% |
| CAGR (3Y)Annualised 3-year return | -4.5% | -9.0% |
Risk & Volatility
DLTR is the less volatile stock with a 0.65 beta — it tends to amplify market swings less than TGT's 0.98 beta. A beta below 1.0 means the stock typically moves less than the S&P 500.
| Metric | DLTRDollar Tree, Inc. | TGTTarget Corporation |
|---|---|---|
| Beta (5Y)Sensitivity to S&P 500 | 0.65x | 0.98x |
| 52-Week HighHighest price in past year | $142.40 | $127.06 |
| 52-Week LowLowest price in past year | $61.80 | $83.44 |
| % of 52W HighCurrent price vs 52-week peak | +88.8% | +89.6% |
| RSI (14)Momentum oscillator 0–100 | 49.4 | 56.6 |
| Avg Volume (50D)Average daily shares traded | 2.5M | 5.5M |
Analyst Outlook
Wall Street rates DLTR as "Buy" and TGT as "Hold". Consensus price targets imply 0.6% upside for DLTR (target: $127) vs -9.6% for TGT (target: $103). TGT is the only dividend payer here at 3.89% yield — a key consideration for income-focused portfolios.
| Metric | DLTRDollar Tree, Inc. | TGTTarget Corporation |
|---|---|---|
| Analyst RatingConsensus buy/hold/sell | Buy | Hold |
| Price TargetConsensus 12-month target | $127.22 | $102.87 |
| # AnalystsCovering analysts | 47 | 58 |
| Dividend YieldAnnual dividend ÷ price | — | +3.9% |
| Dividend StreakConsecutive years of raises | 3 | 21 |
| Dividend / ShareAnnual DPS | — | $4.43 |
| Buyback YieldShare repurchases ÷ mkt cap | +1.6% | +1.9% |
Historical Charts
Charts are rendered on first load. Hover for details.
Chart 1Total Return — 5 Years (Rebased to 100)
| Stock | Feb 20 | Feb 26 | Change |
|---|---|---|---|
| Dollar Tree, Inc. (DLTR) | 100 | 141.18 | +41.2% |
| Target Corporation (TGT) | 100 | 106.34 | +6.3% |
Dollar Tree, Inc. (DLTR) returned +27% over 5 years vs Target Corporation (TGT)'s -28%. A $10,000 investment in DLTR 5 years ago would be worth $12,746 today (including dividends reinvested).
Chart 2Revenue Growth — 10 Years
| Stock | 2015 | 2024 | Change |
|---|---|---|---|
| Dollar Tree, Inc. (DLTR) | $15.5B | $17.6B | +13.4% |
| Target Corporation (TGT) | $73.8B | $106.6B | +44.4% |
Dollar Tree, Inc.'s revenue grew from $15.5B (2015) to $17.6B (2024) — a 1.4% CAGR. Target Corporation's revenue grew from $73.8B (2015) to $106.6B (2024) — a 4.2% CAGR.
Chart 3Net Margin Trend — 10 Years
| Stock | 2015 | 2024 | Change |
|---|---|---|---|
| Dollar Tree, Inc. (DLTR) | 1.8% | -17.2% | -1046.0% |
| Target Corporation (TGT) | 4.6% | 3.8% | -15.8% |
Dollar Tree, Inc.'s net margin went from 2% (2015) to -17% (2024). Target Corporation's net margin went from 5% (2015) to 4% (2024).
Chart 4P/E Ratio History — 8 Years
| Stock | 2017 | 2024 | Change |
|---|---|---|---|
| Dollar Tree, Inc. (DLTR) | 14.9 | 19.6 | +31.5% |
| Target Corporation (TGT) | 12.3 | 15.3 | +24.4% |
Dollar Tree, Inc. has traded in a 15x–27x P/E range over 5 years; current trailing P/E is ~-9x. Target Corporation has traded in a 12x–25x P/E range over 8 years; current trailing P/E is ~13x.
Chart 5EPS Growth — 10 Years
| Stock | 2015 | 2024 | Change |
|---|---|---|---|
| Dollar Tree, Inc. (DLTR) | 1.26 | -14.05 | -1215.1% |
| Target Corporation (TGT) | 5.31 | 8.86 | +66.9% |
Dollar Tree, Inc.'s EPS grew from $1.26 (2015) to $-14.05 (2024) — a NaN% CAGR. Target Corporation's EPS grew from $5.31 (2015) to $8.86 (2024) — a 6% CAGR.
Chart 6Free Cash Flow — 5 Years
Dollar Tree, Inc. generated $2B FCF in 2024 (+282% vs 2021). Target Corporation generated $4B FCF in 2024 (-12% vs 2021).
DLTR vs TGT: Frequently Asked Questions
9 questions · data-driven answers · updated daily
01Is DLTR or TGT a better buy right now?
Target Corporation (TGT) offers the better valuation at 12.8x trailing P/E (15.6x forward), making it the more compelling value choice. Analysts rate Dollar Tree, Inc. (DLTR) a "Buy" — based on 47 analyst ratings — the highest consensus in this comparison. The "better buy" depends entirely on your goals: growth investors should weight revenue trajectory, value investors should weight P/E and PEG, and income investors should weight dividend yield and streak.
02Which has the better valuation — DLTR or TGT?
On forward P/E, Target Corporation is actually cheaper at 15.6x.
03Which is the better long-term investment — DLTR or TGT?
Over the past 5 years, Dollar Tree, Inc. (DLTR) delivered a total return of +27.5%, compared to -27.6% for Target Corporation (TGT). A $10,000 investment in DLTR five years ago would be worth approximately $13K today (assuming dividends reinvested). Over 10 years, the gap is even starker: TGT returned +87.9% versus DLTR's +57.6%. Past returns do not guarantee future results, and the stock with the higher historical return may already have its best growth priced in.
04Which is safer — DLTR or TGT?
By beta (market sensitivity over 5 years), Dollar Tree, Inc. (DLTR) is the lower-risk stock at 0.65β versus Target Corporation's 0.98β — meaning TGT is approximately 51% more volatile than DLTR relative to the S&P 500. On balance sheet safety, Target Corporation (TGT) carries a lower debt/equity ratio of 136% versus 197% for Dollar Tree, Inc. — giving it more financial flexibility in a downturn.
05Which has better profit margins — DLTR or TGT?
Target Corporation (TGT) is the more profitable company, earning 3.8% net margin versus -17.2% for Dollar Tree, Inc. — meaning it keeps 3.8% of every revenue dollar as bottom-line profit. Operating margin tells a similar story: DLTR leads at 8.3% versus 5.3% for TGT. At the gross margin level — before operating expenses — DLTR leads at 35.8%, reflecting greater pricing power or product mix advantage. Stronger margins indicate durable pricing power, lower cost of revenue, or higher mix of software/services. They are one of the clearest signs of business quality.
06Is DLTR or TGT more undervalued right now?
On forward earnings alone, Target Corporation (TGT) trades at 15.6x forward P/E versus 22.0x for Dollar Tree, Inc. — 6.4x cheaper on a one-year earnings basis. Analyst consensus price targets imply the most upside for DLTR: 0.6% to $127.22.
07Which pays a better dividend — DLTR or TGT?
In this comparison, TGT (3.9% yield) pays a dividend. DLTR does not pay a meaningful dividend and should not be held primarily for income.
08Is DLTR or TGT better for a retirement portfolio?
For long-horizon retirement investors, Target Corporation (TGT) is the stronger choice — it scores higher on the combination of lower volatility, dividend reliability, and long-term compounding (low volatility (β 0.98), 3.9% yield). Both have compounded well over 10 years (TGT: +87.9%, DLTR: +57.6%), confirming both are viable long-term holds — but the lower-volatility option typically results in less emotional selling during corrections. Retirement portfolios generally favour predictability over maximum returns. Consult a financial advisor before making allocation decisions.
09What are the main differences between DLTR and TGT?
Both stocks operate in the Consumer Defensive sector, making this a peer-level intra-sector comparison — the same macro tailwinds and headwinds will affect both. In terms of investment character: DLTR is a mid-cap quality compounder stock; TGT is a mid-cap deep-value stock. TGT pays a dividend while DLTR does not, making them suitable for different income and tax situations. These fundamental differences mean investors should not choose between them on a single metric — the "better stock" depends entirely on which of these characteristics aligns with your investment strategy.
Find Stocks Like These
Explore pre-built screens for each stock's profile, or build a custom screen to find stocks that beat both.