Dollar Tree in Win-Win Spot Amid Merger Battle? -- Market Talk
DOW JONES & COMPANY, INC. 8:10 AM ET 08/22/14
Symbol Last Price Change DLTR 54.28up 0 (0%) FDO 79.41down 0 (0%) DG 63.61 0 (0%) QUOTES AS OF 04:00:00 PM ET 08/21/2014
8:10 EDT - Sterne Agee sees Dollar Tree(DLTR) being in a win-win situation regarding Family Dollar(FDO) . If its planned acquisition ultimately occurs, consensus 2015 EPS estimates will likely rise 5-7%. If Dollar General(DG) ultimately lands FDO, DLTR can then take the $305M termination fee it would receive and buy DG and FDO stores which would be sold to get such a combination past regulators. But the deal machinations come as DLTR is logging the biggest same-store-sales gains in the space, "signaling that market-share growth is accelerating," says Sterne Agee. (kevin.kingsbury@wsj.com; @kevinkingsbury)
(END) Dow Jones Newswires 08-22-140810ET Copyright (c) 2014 Dow Jones & Company, Inc.
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