Dollar General dividend
MyStockButler's October 2026 analysis: Dollar General pays $0.59 per share quarterly; the base forecast keeps the dividend at $2.36 per share. Its coverage depends on cash left after adequate investment; buybacks were zero in each of the next three years while dividends continued.
How much does Dollar General pay per share over the years shown?
The base dividend stays at $2.36 per share in every forecast year. That follows the current $0.59 quarterly rate and three years of stability. The bear case falls to $1.77 after the first year if cash shortfalls force a 25% cut. The bull case rises to $2.48 and then $2.60 through two 5% increases, which require sustained earnings and cash growth.
| Jan 2026 | Jan 2025 | Feb 2024 | Feb 2023 | Jan 2022 | |
|---|---|---|---|---|---|
| EPS, diluted | 6.85 | 5.11 | 7.55 | 10.68 | 10.17 |
| − Dividends paid, per share | 2.35 | 2.36 | 2.36 | 2.18 | 1.66 |
| − Share buybacks, per share | 0.00 | 0.00 | 0.00 | 12.14 | 10.81 |
| = FCF not paid out, per share | 8.49 | 5.30 | 0.79 |
What this means. The company paid shareholders more than the free cash it made in 2023 and 2022, so it needed other cash or borrowing to cover the difference.
How much would Dollar General's dividend pay you?
$10,000 invested in Dollar General at its 1.8% dividend yield (our report of October 20, 2026) pays $180.00 in the first year, before tax. If its dividend per share keeps changing 9.1% a year, as it did from Jan 2022 to Jan 2026, and the dividends are reinvested, year 10 pays $496.23, with $3,107.28 received in all.
Before tax. Past dividend growth is not a promise. Information only, not investment advice.
Does Dollar General's cash cover its dividend?
The later pattern was different. Buybacks were zero in each of the next three years while dividends continued and debt repayments increased. Net debt was $6.6 billion in February 2023. It fell to $3.4 billion in January 2026. Lower average debt helped reduce fiscal 2025 net interest expense by $43.8 million. On August 27, 2026, management announced plans to restart repurchases. The contemplated amount was up to $700 million, but that was a plan rather than completed spending.
Deducting stock-based compensation produces an analytical “real free cash flow” figure. It is not an extra cash payment in the period, but it recognizes that employees received ownership claims. The dividend must ultimately be supported by cash left after adequate investment.
| Jan 2026 | Jan 2025 | Feb 2024 | Feb 2023 | Jan 2022 | |
|---|---|---|---|---|---|
| Free cash flow | 2,393,338 | 1,686,176 | 691,576 | 423,973 | 1,795,351 |
| − Dividends paid | 519,510 | 518,983 | 517,979 | 493,726 | 392,188 |
| − Share buybacks | 0 | 0 | 0 | 2,748,014 | 2,549,669 |
| = Free cash flow not paid out | 1,873,828 | 1,167,193 | 173,597 | ||
| = Paid out more than the free cash flow | 2,817,767 | 1,146,506 | |||
| Paid out, % of free cash flow | 21.7% | 30.8% | 74.9% | 764.6% | 163.9% |
What this means. The “paid out, % of real free cash flow” figure is higher because it subtracts stock-based pay from free cash flow before measuring how much was paid to shareholders.
What could change Dollar General's dividend?
The view would move toward the bear case if FY2027–FY2029 traffic and same-store sales weaken, or if consumables mix, markdowns or shrink reverse the recent margin gains. Disappointing remodel returns and weaker cash conversion from FY2028 onward would further reduce buybacks and compress the multiple.
| October 2027 | October 2028 | October 2029 | |
|---|---|---|---|
| Earnings | 1,790 (1,550 / 1,850) | 1,860 (1,450 / 2,050) | 1,980 (1,500 / 2,300) |
| Shares (millions) | 216 (218 / 216) | 213 (217 / 211) | 210 (217 / 207) |
| Dividends per share | 2.36 (2.36 / 2.36) | 2.36 (1.77 / 2.48) | 2.36 (1.77 / 2.60) |
| Price to earnings | 16.00 (14.00 / 18.00) | 16.00 (13.00 / 19.00) | 16.00 (12.00 / 20.00) |
What is Dollar General's dividend yield today?
EBITDA adds back interest, taxes, depreciation and amortization, but ordinary operating rent still reduces it. Dollar General reported $1.99 billion of operating lease cost in fiscal 2025. Adding lease liabilities to enterprise value without adjusting the earnings measure can therefore distort comparisons. Free cash flow yield is also not a promised dividend: inventory reductions and payment timing can temporarily increase cash, while “real free cash flow” has no universal definition.