In a new SEC filing on December 17, it was revealed that West, EVP at Dollar General (NYSE:DG), executed a significant exercise of company stock options.
What Happened: West, EVP at Dollar General, exercised stock options for 2,382 shares of DG stock. This information was disclosed in a Form 4 filing with the U.S. Securities and Exchange Commission on Wednesday. The exercise price of the options was $125.81 per share.
Dollar General shares are trading down 0.25% at $136.62 at the time of this writing on Thursday morning. Since the current price is $136.62, this makes West's 2,382 shares worth $25,761.
<h3>Get to Know Dollar General Better</h3>
Since its beginning in 1939, Dollar General has grown to become the largest dollar store operator in the United States, with more than 20,000 small-box discount stores across 48 states. The firm generated $40 billion in fiscal 2024 sales. The retailer maintains a heavy concentration of stores in rural and low-income markets underserved by big-box retailers. It's 11,000 stock-keeping units, including 2,000 priced at $1 or less, span consumables (82% of sales), seasonal items (10%), home products (5%), and apparel (3%). More than 20% of sales are derived from private label.
<h3>Key Indicators: Dollar General's Financial Health</h3>
Revenue Growth: Dollar General's remarkable performance in 3 months is evident. As of 31 October, 2025, the company achieved an impressive revenue growth rate of 4.58%. This signifies a substantial increase in the company's top-line earnings. In comparison to its industry peers, the company stands out with a growth rate higher than the average among peers in the Consumer Staples sector.
Navigating Financial Profits:
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Gross Margin: With a high gross margin of 29.9%, the company demonstrates effective cost control and strong profitability relative to its peers.
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Earnings per Share (EPS): Dollar General's EPS is below the industry average. The company faced challenges with a current EPS of 1.28. This suggests a potential decline in earnings.
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Debt Management: Dollar General's debt-to-equity ratio stands notably higher than the industry average, reaching 2.02. This indicates a heavier reliance on borrowed funds, raising concerns about financial leverage.
Valuation Metrics:
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Price to Earnings (P/E) Ratio: The P/E ratio of 23.66 is lower than the industry average, implying a discounted valuation for Dollar General's stock.
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Price to Sales (P/S) Ratio: The current P/S ratio of 0.72 is below industry norms, suggesting potential undervaluation and presenting an investment opportunity for those considering sales performance.
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EV/EBITDA Analysis (Enterprise Value to its Earnings Before Interest, Taxes, Depreciation &amp; Amortization): With a lower-than-industry-average EV/EBITDA ratio of 15.55, Dollar General presents a potential value opportunity, as investors are paying less for each unit of EBITDA.
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Market Capitalization Analysis: Reflecting a smaller scale, the company's market capitalization is positioned below industry averages. This could be attributed to factors such as growth expectations or operational capacity.
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<h3>Why Pay Attention to Insider Transactions</h3>
While insider transactions should not be the sole basis for making investment decisions, they can play a significant role in an investor's decision-making process.
Considering the legal perspective, an &#34;insider&#34; is defined as any officer, director, or beneficial owner holding more than ten percent of a company's equity securities, according to Section 12 of the Securities Exchange Act of 1934. This includes executives in the c-suite and major hedge funds. These insiders are mandated to disclose their transactions through a Form 4 filing, to be submitted within two business days of the transaction.
Pointing towards optimism, a company insider's new purchase signals their positive anticipation for the stock to rise.
Nevertheless, insider sells may not necessarily indicate a bearish view and can be influenced by various factors.
<h3>Cracking Transaction Codes</h3>
When analyzing transactions, investors tend to focus on those in the open market, detailed in Table I of the Form 4 filing. A P in Box 3 denotes a purchase,while S signifies a sale. Transaction code C signals the conversion of an option, and transaction code A denotes a grant, award, or other acquisition of securities from the company.
Check Out The Full List Of Dollar General's Insider Trades.
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This article was generated by Benzinga's automated content engine and reviewed by an editor.

Rod West, EVP at Dollar General, exercised stock options for 2,382 shares at $125.81 each, as per a recent SEC filing. The shares are valued at $25,761 based on the current trading price of $136.62. Dollar General, a leading dollar store operator, reported a 4.58% revenue growth and a high gross margin of 29.9%. However, its EPS is below industry average, and it has a high debt-to-equity ratio of 2.02. The company's P/E and P/S ratios suggest potential undervaluation.

Options Exercise Update At Dollar General: Rod West Engages, Resulting In $25K