Dollar Tree (NASDAQ: DLTR), an American discount retailer, delivered a strong performance in the third quarter of 2022, with sales and earnings jumping 8% and 25%, respectively. The upbeat results should not be a shocker to users who have been keeping a keen eye on the company’s website traffic, through TipRanks’ Website Traffic Tool.
Per the tool, the web visits to dollartree.com were up 62.96% year-over-year during the quarter. The spike in website visits indicated that Dollar Tree could benefit from robust demand for its products, and Q3 results revealed the same.
The company’s Q3 traffic jumped from 26.5 million to 43.1 million year-over-year, with the highest number of website visits in August. Dollar Tree seems to be benefitting from its new pricing policy and efforts to introduce products according to consumers’ needs.
Regarding Q4 trends, the management expects to report net sales in the range of $7.54 billion to $7.68 billion, compared with $7.08 billion reported in the same quarter last year. Given the inflationary environment, the company seeks to focus more on consumables.
Interestingly, the TipRanks website traffic tool shows a positive trend for the month of October. Also, year-to-date, total unique visitors are up 81.93% from the same period last year.
Is Dollar Tree a Buy or Sell Stock?
On TipRanks, DLTR has a Moderate Buy consensus rating based on 10 Buys, five Holds, and one Sell. The DLTR average price target of $164.40 implies upside potential of 9.5%. Shares have gained 6.4% over the past year.
Despite the macro uncertainty and cost pressure, Dollar Tree is optimistic about its top-line performance in 2022. Also, DLTR stock scores an 8 out of 10 on TipRanks’ Smart Score rating system, suggesting that the stock is likely to outperform market averages.
Vigilance on website trends indicated by TipRanks’ Website Traffic Tool could guide investors in making a prudent investment decision.