Below is Validea’s fundamental guru report DOLLAR GENERAL CORP (DG). Of the 22 guru strategies we track, DG scores the highest using our P/B Growth Investor model, based on Partha Mohanram’s published strategy. This growth model looks for low book-to-market stocks that exhibit characteristics associated with sustained future growth.
DOLLAR GENERAL CORP (DG) is a large-cap value stock in the retail (department and discount) sector. The rating using this strategy is 77%, based on the company’s underlying fundamentals and the stock’s valuation. A score of 80% or higher typically indicates that the strategy has some interest in the stock, and a score above 90% typically indicates strong interest.
The following table summarizes whether the stock meets each of this strategy’s tests. Not all criteria in the table below are given equal weight or are independent, but the table provides a brief overview of the strengths and weaknesses of the security in the context of the strategy’s criteria.
BOOK/MARKET RATIO: | PASSAGE |
RETURN ON ASSETS: | PASSAGE |
CASH FLOW FROM ACTIVITIES TO ASSETS: | PASSAGE |
CASH FLOW FROM OPERATING ACTIVITIES TO ASSETS VS. RETURN ON ASSETS: | PASSAGE |
RETURN ON ASSETS VARIANCE: | PASSAGE |
SALES VARIANCE: | PASSAGE |
ADVERTISING FOR ASSETS: | PASSAGE |
CAPITAL EXPENDITURE ON ASSETS: | FAILURE |
RESEARCH AND DEVELOPMENT OF ASSETS: | FAILURE |
Detailed analysis of DOLLAR GENERAL CORP
DG Guru Analysis
DG Fundamental Analysis
Learn more about Partha Mohanram
Partha Mohanram portfolio
About Partha Mohanram: Sometimes the best investment strategies don’t come from the investment world. Sometimes research that changes the investing world can come from academia. Partha Mohanram is a good example of this. While academic research has shown that value investing works over time, growth investing has shown the opposite. Mohanram turned that research on its head by developing a growth model that delivered significant market performance. His research paper, “Separating Winners and Losers of Low Book-to-Market Stocks Using Financial Statement Analysis,” looked at the criteria that can be used to separate growth stocks that continue their upward trajectory from growth stocks that do not. Mohanram is currently the John H. Watson Chair in Value Investing at the University of Toronto and was previously an associate professor at Columbia Business School.
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About Validea: Validea is an investment research service that tracks the published strategies of investment legends. Validea offers both stock analysis and model portfolios based on gurus who have outperformed the market over the long term, including Warren Buffett, Benjamin Graham, Peter Lynch and Martin Zweig. For more information about Validea, click here
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.