Dollar TreeDLTR +4.79%76 FCF Yield % is 6.54 as of Jun. 27, 2026, which is 36% above its 10-year median of 4.80. GuruFocus rates DLTR with a GF Score™ of 76/100 and a GF Value™ of $145.99 (Modestly Undervalued). The stock has 2 warning signs investors should review. Among 313 Retail - Defensive companies, Dollar Tree ranks better than 63.26% on this metric.
FCF Yield % is calculated as Free Cash Flow divided by Market Capitalization. It is a financial solvency ratio that compares the free cash flow a company is expected to earn against its market value.
Similar to Earnings Yield %, FCF Yield % is financial solvency ratio. A lower ratio suggests a less attractive investment, indicating that investors might not receive substantial returns in proportion to their investment. Conversely, a high free cash flow yield signals that a company generates sufficient cash to comfortably meet its debts, obligations, and dividend payments, making it a promising investment choice.
Dollar Tree FCF Yield % Related Terms
Dollar Tree FCF Yield % Historical Data
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The historical data trend for Dollar Tree's FCF Yield % can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
For the Discount Stores subindustry, Dollar Tree's FCF Yield %, along with its competitors' market caps and FCF Yield % data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Dollar Tree FCF Yield % vs Retail - Defensive Industry
For the Retail - Defensive industry and Consumer Defensive sector, Dollar Tree's FCF Yield % distribution charts can be found below:
* The bar in red indicates where Dollar Tree's FCF Yield % falls into.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Dollar Tree (DLTR) has a FCF Yield % of 6.54 as of Jun. 27, 2026. FCF Yield is calculated as Free Cash Flow divided by Market Capitalization. View historical data on Dollar Tree and its competitors. This is 36% above median its historical median of 4.80. According to the industry distribution chart, Dollar Tree ranks #115 out of 313 companies in the Retail - Defensive industry, placing it in the top 36.7%.
Is Dollar Tree's FCF Yield % too high?
Dollar Tree's current FCF Yield % of 6.54 is 36% above median its 10-year median of 4.80. The Retail - Defensive industry median FCF Yield % is 3.62. Dollar Tree's value of 6.54 is 80.7% above this industry median. Based on the distribution chart, Dollar Tree ranks #115 out of 313 companies in the Retail - Defensive industry, which is above the industry midpoint. Overall, Dollar Tree has a GF Score™ of 76/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Dollar Tree's FCF Yield % compare to DG and BJ?
According to the Retail - Defensive industry distribution chart, Dollar Tree ranks #115 out of 313 companies for FCF Yield %. This puts Dollar Tree in the upper half of its industry. The industry median FCF Yield % is 3.62. Dollar Tree's value of 6.54 is 80.7% above this benchmark. While the company's 10-year median is 4.80 vs. the industry median of 3.62, Dollar Tree has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good FCF Yield % for a Retail - Defensive company?
The median FCF Yield % among Retail - Defensive companies is 3.62, based on 313 companies in the industry. Companies in the top quartile (top 25%) have a FCF Yield % significantly above this median, while those in the bottom quartile fall well below. However, FCF Yield % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Dollar Tree's current FCF Yield % of 6.54 is 80.7% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high FCF Yield % mean?
A high FCF Yield % can signal that a stock is expensive relative to its fundamentals. FCF Yield is calculated as Free Cash Flow divided by Market Capitalization. View historical data on Dollar Tree and its competitors. For the Retail - Defensive industry, the median FCF Yield % is 3.62 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Dollar Tree's current FCF Yield % is 6.54, which is 36% above median its own 10-year median of 4.80. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Dollar Tree stock overvalued right now?
Based on GuruFocus' analysis, Dollar Tree (DLTR) is currently considered Modestly Undervalued. The stock's GF Value™ is $145.99, compared to a current price of $123.87 — trading 15.2% below its estimated fair value. The current FCF Yield % is 6.54, which is 36% above median its 10-year median of 4.80 and 80.7% above the Retail - Defensive industry median of 3.62. Dollar Tree's overall GF Score™ is 76/100 with 2 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is FCF Yield % calculated?
FCF Yield % is calculated from a company's financial statements. For Dollar Tree (DLTR), the current FCF Yield % is 6.54 as of Jun. 27, 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Dollar Tree (DLTR) Overvalued in 2026?
Based on GuruFocus' analysis, Dollar Tree stock appears to be undervalued.
The current stock price of $123.87 is trading 15.2% below its estimated GF Value™ of $145.99.
GuruFocus considers Dollar Tree to be Modestly Undervalued.
Key valuation signals for DLTR:
FCF Yield %: 6.54 (36% above median its 10-year median of 4.80)
GF Value™: $145.99 vs. price of $123.87 (15.2% below fair value)
Industry Position: 80.7% above the Retail - Defensive median (#115 of 313)
No single metric tells the full story. See the DLTR stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Founded in 1986, Dollar Tree operates almost 9,000 small-box discount stores across the United States and Canada, offering roughly 85% of its merchandise under $2. The chain targets value-conscious suburban and urban shoppers with a mix of consumables (49% of sales), variety (45%), and seasonal goods (6%). In fiscal 2025, Dollar Tree generated over $19 billion in sales, through its multi-price strategy, higher-margin discretionary assortments, and private-label products that account for nearly one-third of sales.
76GF Score
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