Discount retailers Dollar General (DG  ), Dollar Tree Inc (DLTR  ) and Five Below Inc (FIVE  ) will look to win over investors when each company reports third-quarter financial results this week.

Here's a look at their earnings estimates and what analysts are saying.

Dollar General

The Goodlettsville, Tennessee-based company is set to report third-quarter financial results before the market opens Thursday, Dec. 5.

According to data from Benzinga Pro, analysts expect:

  • Third-quarter revenue of $10.15 billion, up from $9.69 billion in last year's third quarter,
  • Earnings per share of 94 cents, down from $1.26 in last year's third quarter.
The company has beaten analyst estimates for revenue in six of the last 10 quarters, as well as estimates for earnings per share in five of the last 10 quarters.

Data from Placer.ai shows third quarter visits to Dollar General were up 4.8% year-over-year - positive in all the months tracked for the quarter. The report said discount and dollar store leaders like Dollar General are showing consistent strength in the retail space.

Oppenheimer analyst Rupesh Parikh currently has a Perform rating and no price target.

There are low expectations for Dollar General and a risk of lower guidance from the company, he said. It could also see pressure from the impact of several hurricanes in the south and the continued macroeconomic backdrop.

"On the top line, we expect another soft quarter driven by ongoing discretionary category headwinds and expectations for continued pressures on the company's low-end consumer," Parikh said.

Dollar General stock typically struggles after the company reports quarterly results. Shares fell each of the past eight report days, Parikh said, adding, "We remain sidelined with our entire dollar store coverage."

Dollar Tree

The Chesapeake, Virginia-based company reports third-quarter financial results before the market opens on Wednesday, Dec. 4.

Analysts expect:

  • Third-quarter revenue of $7.44 billion, up from $7.32 billion in last year's third quarter.
  • And third-quarter earnings per share of $1.07, up from last year's 97 cents per share in the third quarter.
The company has beaten analyst estimates for revenue in six of the last 10 quarters, plus estimates for earnings per share in six of the last 10 quarters.

Data from Placer.ai shows third quarter visits to Dollar Tree up 5.3% year-over-year, with each month in the quarter up year-over-year.

In the second quarter, Dollar Tree initiated a formal review of strategic alternatives for its Family Dollar business, which include a sale or spin-off. Investors will be looking for an update on how the review is going.

Five Below

The Philadelphia-based company reports third-quarter financial results after the market closes on Wednesday, Dec. 4.

Analysts expect:

  • Third-quarter revenue of $795.4 million, up from $736.4 million in last year's third quarter.
  • Third-quarter earnings per share of 17 cents, down from 26 cents per share in last year's third quarter.
The company has beaten analyst revenue estimates in five of the last 10 quarters and estimates for earnings per share in five of the last 10 quarters.

Data from Placer.ai shows third quarter visits for Five Below up 13.8% year-over-year, suggesting a potentially strong quarter for the company. The report highlights Five Below opening a record 205 new stores last year, which will add to its potential growth for the 2024 holiday shopping season.

Telsey analyst Joseph Feldman recently downgraded Five Below stock from Outperform to Sector Perform and lowered the price target from $102 to $95.

The analyst cautioned on the stock with a transition for its business model and leadership changes taking time.

"The company dealt with the last round of tariffs by breaking the $5 price point and gradually increasing prices since then, while quality did not always keep pace, thereby eroding value," Feldman said.

What's Next: Placer.ai said weekly visits to both Dollar Tree and Dollar General locations tend to increase after Black Friday and peak around the last full week before Christmas.

This could make early commentary on the current fourth quarter and guidance important when the companies report.

Similarly, Five Below sees its traffic increase leading up to the Christmas holiday with its busiest day often Super Saturday, or the Saturday before Christmas. Last year, Five Below saw traffic up 337.3% on Super Saturday compared to its daily average.

Price Action:

  • Dollar General stock is up 1.62% Tuesday to $79.04 versus a 52-week trading range of $72.12 to $168.07. Shares are down 43% year-to-date in 2024.
  • Dollar Tree stock is down 0.45% to $72.48 on Tuesday versus a 52-week trading range of $60.49 to $151.22. Shares are down 49% year-to-date.
  • Five Below stock is up 4% to $103.20 at last check Tuesday versus a 52-week trading range of $64.87 to $216.18. Shares are down 52% year-to-date.