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Dollar General price target raised by $46 at HSBC, here’s why

HSBC raised the firm’s price target on Dollar General to $148 from $102 and keeps a Hold rating on the shares following mixed quarterly results. The firm notes that EPS beat consensus by 3%, but was short of HSBC’s estimates on lower gross margin and higher SG&A expenses. All the good news appears baked in now, but the firm failed to capture market enthusiasm following the leadership announcement, it says in a research note to investors on Friday.

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