Dollar Tree's (DLTR) recent price increases across its product offerings are a positive development and will enable the company to sustain competitive momentum for the remainder of fiscal 2025 and into fiscal 2026, Oppenheimer analysts said in a note Wednesday.
Dollar Tree has raised prices across cleaning products, catering supplies, plastic food containers, and seasonal products, with product prices typically rising by $1.25 to $1.50, the brokerage said.
Oppenheimer said the current economic climate, where dollar stores are becoming increasingly popular amongst "value seeking consumers" could make the price rises more acceptable.
Oppenheimer analysts also said they believe Dollar Tree's recent actions could create an opportunity for Dollar General (DG) to raise prices.
The brokerage has a perform rating on the stock.
Price: 116.87, Change: +1.21, Percent Change: +1.05
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