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Dollar Tree Inc
NASDAQ:DLTR

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Dollar Tree Inc
NASDAQ:DLTR
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Price: 105.93 USD 6% Market Closed
Market Cap: $20.9B

EV/EBITDA

9.8
Current
16%
Cheaper
vs 3-y median of 11.6

Enterprise Value to EBITDA (EV/EBITDA) ratio compares a company`s total enterprise value to its earnings before interest, taxes, depreciation, and amortization. It shows how much investors are paying for each dollar of the company`s earnings, including both equity and debt.

EV/EBITDA
9.8
=
Enterprise Value
$23.8B
/
EBITDA
$2.3B

Enterprise Value to EBITDA (EV/EBITDA) ratio compares a company`s total enterprise value to its earnings before interest, taxes, depreciation, and amortization. It shows how much investors are paying for each dollar of the company`s earnings, including both equity and debt.

EV/EBITDA
9.8
=
Enterprise Value
$23.8B
/
EBITDA
$2.3B

Valuation Scenarios

Dollar Tree Inc is trading below its 3-year average

If EV/EBITDA returns to its 3-Year Average (11.6), the stock would be worth $125.84 (19% upside from current price).

Statistics
Positive Scenarios
4/4
Maximum Downside
No Downside Scenarios
Maximum Upside
+47%
Average Upside
25%
Scenario EV/EBITDA Value Implied Price Upside/Downside
Current Multiple 9.8 $105.93
0%
3-Year Average 11.6 $125.84
+19%
5-Year Average 11.6 $126.23
+19%
Industry Average 11.2 $121.19
+14%
Country Average 14.4 $155.6
+47%

Forward EV/EBITDA
Today’s price vs future ebitda

Today's Enterprise Value EBITDA Forward EV/EBITDA
$23.8B
/
Feb 2026
$2.3B
=
9.8
Current
$23.8B
/
Jan 2027
$2.6B
=
9.2
Forward
$23.8B
/
Jan 2028
$2.8B
=
8.5
Forward
$23.8B
/
Jan 2029
$2.8B
=
8.4
Forward

Forward EV/EBITDA shows whether today’s EV/EBITDA still looks high or low once future ebitda are taken into account.

Peer Comparison

All Multiples
EV/EBITDA
P/E
All Countries
Close

Market Distribution

Lower than 71% of companies in the United States of America
Percentile
29th
Based on 9 875 companies
29th percentile
9.8
Low
0 — 10
Typical Range
10 — 21.5
High
21.5 —
Distribution Statistics
the United States of America
Min 0
30th Percentile 10
Median 14.4
70th Percentile 21.5
Max 1 767 274.1

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.

DLTR Intrinsic Value
123.39 USD
Undervaluation 14%
Intrinsic Value
Price $105.93
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