Dollar GeneralMEX:DGG 73 Return-on-Tangible-Equity is 56.85% as of Apr. 2026, which is 76% below its 10-year median of 232.22. GuruFocus rates MEX:DGG with a GF Score™ of 73/100 and a GF Value™ of MXN2,111.97 (Fairly Valued). The stock has 3 warning signs investors should review. Among 298 Retail - Defensive companies, Dollar General ranks better than 86.91% on this metric.
Return-on-Tangible-Equity is calculated as Net Income divided by its average total shareholder tangible equity. Total shareholder tangible equity equals to Total Stockholders Equity minus Intangible Assets. Dollar General's annualized net income for the quarter that ended in Apr. 2026 was MXN31,117 Mil. Dollar General's average shareholder tangible equity for the quarter that ended in Apr. 2026 was MXN54,735 Mil. Therefore, Dollar General's annualized Return-on-Tangible-Equity for the quarter that ended in Apr. 2026 was 56.85%.
The historical rank and industry rank for Dollar General's Return-on-Tangible-Equity or its related term are showing as below:
MEX:DGG'
s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: 57.67 Med: 232.22 Max: 678.25
Current: 57.67
During the past 13 years, Dollar General's highest Return-on-Tangible-Equity was 678.25%. The lowest was 57.67%. And the median was 232.22%.
MEX:DGG's Return-on-Tangible-Equity is ranked better than 86.91% of 298
companies
in the Retail - Defensive industry
Industry Median: 11.085
vs MEX:DGG: 57.67
Dollar General (MEX:DGG) Return-on-Tangible-Equity Explanation
Return-on-Tangible-Equity measures the rate of return on the ownership interest (shareholder's tangible equity) of the common stock owners. It measures a firm's efficiency at generating profits from every unit of shareholders' tangible equity (shareholders equity minus intangibles). Return-on-Tangible-Equity shows how well a company uses investment funds to generate earnings growth. Return-on-Tangible-Equitys between 15% and 20% are considered desirable.
Be Aware
Net Income is used.
Because a company can increase its Return-on-Tangible-Equity by having more financial leverage, it is important to watch the leverage ratio when investing in high Return-on-Tangible-Equity companies. Like Return-on-Tangible-Asset, Return-on-Tangible-Equity is calculated with only 12 months data. Fluctuations in company's earnings or business cycles can affect the ratio drastically. It is important to look at the ratio from a long term perspective.
Asset light businesses require very few assets to generate very high earnings. Their Return-on-Tangible-Equitys can be extremely high.
Dollar General Return-on-Tangible-Equity Related Terms
Dollar General Return-on-Tangible-Equity Historical Data
* Premium members only.
The historical data trend for Dollar General's Return-on-Tangible-Equity 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.
MEX:DGG vs DLTR, BJ, PSMT: Return-on-Tangible-Equity Comparison
For the Discount Stores subindustry, Dollar General's Return-on-Tangible-Equity, along with its competitors' market caps and Return-on-Tangible-Equity 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 General Return-on-Tangible-Equity vs Retail - Defensive Industry
For the Retail - Defensive industry and Consumer Defensive sector, Dollar General's Return-on-Tangible-Equity distribution charts can be found below:
* The bar in red indicates where Dollar General's Return-on-Tangible-Equity 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.
In the calculation of annual Return-on-Tangible-Equity, the net income of the last fiscal year and the average total shareholder tangible equity over the fiscal year are used. In calculating the quarterly data,
the net income data used here is four times the quarterly (Apr. 2026) net income data.
Return-on-Tangible-Equity is displayed in the 10-year financial page.
What does a Return-on-Tangible-Equity of 56.85% mean?
Dollar General (MEX:DGG) has a Return-on-Tangible-Equity of 56.85% as of Apr. 2026. Return on tangible equity is the ratio of current-period net income to average two-period tangible equity. View historical data on Dollar General and its competitors. This is 76% below median its historical median of 232.22. Over the past decade, Dollar General's Return-on-Tangible-Equity has ranged from 57.67 to 678.25. According to the industry distribution chart, Dollar General ranks #39 out of 298 companies in the Retail - Defensive industry, placing it in the top 13.1%.
Is Dollar General's Return-on-Tangible-Equity too high?
Dollar General's current Return-on-Tangible-Equity of 56.85% is 76% below median its 10-year median of 232.22. Over the past 10 years, this metric has ranged from a low of 57.67 to a high of 678.25. The Retail - Defensive industry median Return-on-Tangible-Equity is 11.09. Dollar General's value of 56.85% is 412.9% above this industry median. Based on the distribution chart, Dollar General ranks #39 out of 298 companies in the Retail - Defensive industry, which is in the top quartile — a strong position relative to peers. Overall, Dollar General has a GF Score™ of 73/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Dollar General's Return-on-Tangible-Equity compare to DLTR and BJ?
According to the Retail - Defensive industry distribution chart, Dollar General ranks #39 out of 298 companies for Return-on-Tangible-Equity. This places Dollar General in the top 13% of its industry — outperforming the majority of peers. The industry median Return-on-Tangible-Equity is 11.09. Dollar General's value of 56.85% is 412.9% above this benchmark. Historically, Dollar General's own Return-on-Tangible-Equity has ranged from 57.67 to 678.25 over the past decade. While the company's 10-year median is 232.22 vs. the industry median of 11.09, Dollar General 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 Return-on-Tangible-Equity for a Retail - Defensive company?
The median Return-on-Tangible-Equity among Retail - Defensive companies is 11.09, based on 298 companies in the industry. Companies in the top quartile (top 25%) have a Return-on-Tangible-Equity significantly above this median, while those in the bottom quartile fall well below. However, Return-on-Tangible-Equity should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Dollar General's current Return-on-Tangible-Equity of 56.85% is 412.9% 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 Return-on-Tangible-Equity mean?
A high Return-on-Tangible-Equity can signal that a stock is expensive relative to its fundamentals. Return on tangible equity is the ratio of current-period net income to average two-period tangible equity. View historical data on Dollar General and its competitors. For the Retail - Defensive industry, the median Return-on-Tangible-Equity is 11.09 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Dollar General's current Return-on-Tangible-Equity is 56.85%, which is 76% below median its own 10-year median of 232.22. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Dollar General stock overvalued right now?
Based on GuruFocus' analysis, Dollar General (MEX:DGG) is currently considered Fairly Valued. The stock's GF Value™ is MXN2,111.97, compared to a current price of MXN2,045.00 — trading 3.2% below its estimated fair value. The current Return-on-Tangible-Equity is 56.85%, which is 76% below median its 10-year median of 232.22 and 412.9% above the Retail - Defensive industry median of 11.09. Dollar General's overall GF Score™ is 73/100 with 3 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Return-on-Tangible-Equity calculated?
Return-on-Tangible-Equity is calculated from a company's financial statements. For Dollar General (MEX:DGG), the current Return-on-Tangible-Equity is 56.85% as of Apr. 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 General (MEX:DGG) Overvalued in 2026?
Based on GuruFocus' analysis, Dollar General stock appears to be undervalued.
The current stock price of MXN2,045.00 is trading 3.2% below its estimated GF Value™ of MXN2,111.97.
GuruFocus considers Dollar General to be Fairly Valued.
Key valuation signals for MEX:DGG:
Return-on-Tangible-Equity: 56.85% (76% below median its 10-year median of 232.22)
GF Value™: MXN2,111.97 vs. price of MXN2,045.00 (3.2% below fair value)
Industry Position: 412.9% above the Retail - Defensive median (#39 of 298)
No single metric tells the full story. See the MEX:DGG stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Since its beginning in 1939, Dollar General has grown to become the largest dollar store operator in the United States, with more than 20,000 small-box discount stores across 48 states. The firm generated over $42 billion in fiscal 2025 sales. The retailer maintains a heavy concentration of stores in rural and low-income markets underserved by big-box retailers. It's 11,000 stock-keeping units, including 2,000 priced at $1 or less, span consumables (82% of sales), seasonal items (10%), home products (5%), and apparel (3%). More than 20% of sales are derived from private label.
73GF Score
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