Dollar General downgraded to Reduce at Gordon Haskett after Walmart meeting

As previously reported, Gordon Haskett analyst Chuck Grom downgraded Dollar General (DG) to Reduce from Hold with an unchanged price target of $75 after members of the firm’s team attended Walmart’s (WMT) investor meeting in Dallas and came away with “a ton of confidence in the overall execution and strategy.” The firm thought the meeting left positive impressions on the warehouse club model, but made it “incrementally more guarded on the dollar stores,” adding that Dollar General’s higher price gaps are “very concerning” given Walmart’s array of sources to invest more only growing in size.