Who Owns Dollar General?

Who owns Dollar General? A prominent discount retailer, Dollar General is not owned by a single individual. Instead, its ownership is dispersed among various institutional and individual investors, as well as investment groups and private equity investors, each holding significant stakes in the company.

Vanguard Group, Inc., is Dollar General‘s largest shareholder, with 21 million shares representing 9.89% ownership. BlackRock, Inc., follows closely behind, holding 19 million shares, representing 8.84% ownership. Capital International Investors, with 16 million shares and 7.47% ownership, also has a significant stake in the company.

Other notable shareholders include Capital World Investors, State Street Corporation, Price (T. Rowe) Associates, Inc. (commonly referred to as Rowe Price and recognized as one of Dollar General’s top institutional shareholders), Geode Capital Management, LLC, Morgan Stanley, Longview Partners (Guernsey) LTD, and FMR, LLC’s inclusion among Dollar General’s top shareholders further highlight the company’s diverse ownership structure.

Through this dispersed ownership, Dollar General benefits from the expertise and resources of institutional and individual investors. This collective ownership is crucial in shaping the company’s direction and success in the dynamic retail industry. Dollar General’s strong financial performance, as demonstrated by its net income, is a key indicator for investors evaluating the company’s overall health and profitability.

Introduction to Dollar General Corporation

Dollar General Corporation stands as one of America’s most recognized discount retailers, with its headquarters in Goodlettsville, Tennessee. As a publicly traded company listed on the New York Stock Exchange under the ticker symbol “DG,” Dollar General has grown from humble beginnings into a retail powerhouse. The company’s journey began in 1939, but it was the opening of the first Dollar General store in 1955 that truly set the stage for its rapid expansion. After Dollar General opened its first store, the company continued to expand by opening additional locations across the country. Today, Dollar General is considered one of the leading discount stores in the U.S., known for its focus on low-cost shopping options.

Today, Dollar General operates more than 19,643 stores across the contiguous United States and Mexico, making it a familiar presence in countless small towns. The company’s everyday low prices model has been instrumental in attracting value-conscious shoppers, especially in rural communities where affordable retail options are limited. As the company grew, it expanded its store count and increased annual sales—consistently posting annual sales in the billions and reaching approximately $27 billion in 2019—demonstrating Dollar General’s ability to meet the needs of low-income families while maintaining steady growth.

Dollar General’s commitment to providing accessible merchandise at competitive prices has made it a staple in the retail landscape. Its focus on small towns not only supports local economies but also creates job opportunities, reinforcing the company’s role as a vital part of the communities it serves.

Top Dollar General Institutional Shareholders

Institutional shareholders play a crucial role in the ownership structure of companies, often exerting significant influence on corporate decision-making. In the case of Dollar General, several prominent institutional investors, individual investors, and at least one major investment group are involved in the company’s ownership structure, underscoring their confidence in its prospects. These institutional shareholders include the following.

The Vanguard Group, Inc.

The Vanguard Group, Inc., is a prominent institutional shareholder of Dollar General, holding a significant stake in the company. As of September 2023 (latest Yahoo Finance data), The Vanguard Group owns 21,711,407 shares of Dollar General, representing approximately 9.89% of the company’s outstanding shares. With a reported value of $2.9 billion ($2,945,152,227), The Vanguard Group’s investment in Dollar General demonstrates its confidence in its growth potential and long-term prospects.

The Vanguard Group is renowned for its extensive portfolio of funds and ETFs, managing over $7.7 trillion in assets globally. Their investment in Dollar General is distributed across various funds and ETFs, reflecting its diversified investment strategy. Notable ETFs include the Vanguard Total Stock Market ETF (VTI), with an allocation of 0.06% and a market value of $935.61 million, holding 6.88 million shares.

The Vanguard 500 Index Fund (VOO) also holds a stake in Dollar General, with an allocation of 0.07% and a market value of $728.52 million, holding 5.36 million shares. Additionally, the Vanguard Mid-Cap Index Fund (VO) has an allocation of 0.43% and a market value of $668.86 million, holding 4.92 million shares.

The Vanguard Group plays a crucial role in shaping the company’s future by accumulating a significant number of Dollar General shares. As one of the largest institutional shareholders, it possesses considerable influence within Dollar General’s corporate governance structures. This position allows The Vanguard Group to actively engage with the company, seeking board representation and participating in essential investor decisions.

BlackRock, Inc.

BlackRock, Inc., is a prominent institutional shareholder of Dollar General, holding 19,397,589 shares. This represents approximately 8.84% company ownership with a reported value of $2,631,282,829.

As an asset management company, BlackRock controls over $9.5 trillion in assets, making it a formidable player in the investment landscape. The firm focuses primarily on mutual funds and ETFs, including its famous iShares ETF products. With such vast resources, BlackRock has the capacity to invest in both established companies and emerging technologies, diversifying its exposure away from conventional markets.

Dollar General’s significant presence in the retail industry and its ability to navigate changing consumer trends are likely vital factors attracting BlackRock’s attention. BlackRock aims to support businesses across different sectors that meet its investment requirements through its value-oriented investments, such as dividends or share repurchases.

As one of Dollar General’s largest shareholders, BlackRock is essential in safeguarding investor interests. It actively engages within corporate governance structures, seeking board representatives who can contribute to crucial investor decisions that may shape the company’s future. It will be intriguing to observe how BlackRock’s stake percentage may evolve in response to market trends.

Capital International Investors

Capital International Investors is a significant institutional shareholder of Dollar General, owning 16,403,419 shares, representing 7.47% of the company’s outstanding shares as of September 29, 2023. With a value of $2,225,123,687, Capital International Investors holds a substantial position in the company.

Like Vanguard Group, Inc., and BlackRock, Inc., Capital International Investors is a renowned asset management company providing investment solutions to clients. They have established themselves as a trusted institutional investor with a diversified portfolio and a commitment to achieving clients’ financial objectives.

Capital International Investors takes a value-oriented approach to investments, seeking opportunities that align with their investment requirements. They aim to generate returns through strategies such as dividends or share repurchases. Additionally, they have demonstrated an openness to investing in emerging technologies and industries, indicating a willingness to diversify their investment exposure.

Capital World Investors

Capital World Investors is one of the institutional shareholders of Dollar General, owning 12,934,665 shares ($1.7 billion). This represents approximately 5.89% of the company’s outstanding shares. 

Capital World Investors, a subsidiary of Capital Research and Management Company, is a prominent global investment management firm with a long-standing legacy in the financial industry. With over $500 billion in assets under management, Capital World Investors strives to deliver exceptional investment solutions to a diverse client base.

As a significant shareholder of Dollar General, Capital World Investors plays a crucial role in shaping the company’s future. Their investment signifies a strong belief in the company’s potential and long-term growth prospects.

While Capital World Investors maintains a diversified portfolio across various sectors, their investment in Dollar General highlights the importance they attribute to the retail industry. Dollar General’s extensive network of stores and focus on serving value-conscious customers aligns with Capital World Investors’ investment philosophy of seeking out companies with sustainable competitive advantages.

State Street Corporation

State Street Corporation is a central institutional shareholder of Dollar General, with its passively and actively managed investment funds holding a significant stake in the company. The bank holding company owns 9,509,810 shares of Dollar General, representing approximately 4.33% of the outstanding shares. The total value of State Street Corporation’s investment in Dollar General amounts to $1,290,005,668.

As a global leader in asset management and related services, State Street Corporation offers a wide range of investment management, trading, custody, and consulting services across various asset classes. With its extensive financial expertise and research-driven insights, State Street Corporation is well-positioned to make informed investment decisions in companies like Dollar General.

Moreover, State Street Corporation’s diverse portfolio of Exchange Traded Funds (ETFs) provides them with increased buying power and expanding influence within the finance industry. This enables them to secure long-term investments in companies that align with their clients’ objectives and needs, while effectively managing market risks and the volatility of macroeconomic factors.

Price (T. Rowe) Associates, Inc.

Price (T. Rowe) Associates, Inc., is a leading global asset management firm that has been in operation for over 80 years. With a diverse range of investment vehicles, the company manages over $1.3 trillion in assets, making it one of the largest institutional investors in the world.

Price (T. Rowe) Associates, Inc., has demonstrated a strong interest in Dollar General, as evidenced by its 6,928,350 shares, representing 3.16% of its outstanding shares. This investment has a market value of $939,830,635.

As a long-term investor, Price (T. Rowe) Associates, Inc., focuses on fundamental research and analysis to identify companies with solid growth potential and sound financial fundamentals. They have a reputation for taking a patient, disciplined approach to investing and are committed to generating consistent, long-term returns for their clients.

Geode Capital Management, LLC

Geode Capital Management, LLC, is a prominent institutional shareholder of Dollar General. As of September 2023, they held a reported 4,305,665 shares, or approximately 1.96% of the company’s outstanding shares. Their holdings amount to $584,063,430.

Like other institutional shareholders of Dollar General, Geode Capital Management, LLC emphasizes diversification and value-oriented investments. Their portfolio encompasses various sectors, enabling them to effectively capture opportunities and manage risks.

Morgan Stanley

Morgan Stanley is a prominent institutional shareholder of Dollar General, holding 3,793,379 shares, representing approximately 1.73% of the company’s outstanding shares. As of September 2023, Morgan Stanley’s holdings in Dollar General are estimated at $514,571,838.

Founded in 1935, Morgan Stanley is a global financial services firm that provides a wide range of investment banking, securities, wealth management, and investment management services to corporations, governments, institutions, and individuals worldwide. With offices in over 40 countries, Morgan Stanley has built a strong reputation for its expertise and commitment to delivering innovative financial solutions to its clients.

As an institutional shareholder, Morgan Stanley plays a significant role in Dollar General’s ownership structure. With its sizable shareholding, Morgan Stanley is interested in the company’s performance and long-term growth. The investment bank’s expertise and insights can also influence investment decisions and provide valuable guidance to other investors in the market.

History of Dollar General Corporation’s Ownership

Dollar General, one of the largest retail companies in the United States specializing in discount products, has had its fair share of ownership changes throughout its history.

The company was founded in 1939 by James Luther Turner and his son, Cal Turner Sr., in Scottsville, Kentucky. They initially named the store J.L. Turner & Son Wholesale, also known as Turner and Son, focusing on selling goods to small-town retailers at wholesale prices. James Luther Turner’s early work on the family farm and his experience with a Nashville wholesale grocer shaped the company’s values and business acumen. During the Great Depression, Turner began buying and liquidating bankrupt general stores, which helped establish the company’s early presence in retail liquidation.

The initial investment made by J.L. Turner and his son—$5,000 each—was crucial in launching their wholesale business. Turner’s experience in a sales job contributed significantly to his business knowledge and future success. Before achieving success, Turner had two unsuccessful attempts at retailing, and these unsuccessful attempts taught him valuable lessons; ultimately, retailing resulted in the growth that led to the company’s later achievements. The Turner family maintained ongoing involvement in the business, shaping its direction and legacy.

However, noticing the increasing popularity of five-and-dime stores, they decided to open their own retail store in 1955, marking the opening of their first store and eventually shifting their business model to target the low-income consumer market. This shift introduced the dollar store concept, which offered essential items at low, consistent price points and became a significant factor in attracting budget-conscious shoppers.

For several years, the company continued to expand and operate as a privately held family business. The company’s growth accelerated as it opened more stores and competed with other stores in the discount segment, such as Dollar Tree, Walmart, Target, Costco, and Burlington Industries. However, in 1968, Cal Turner Sr. chose to take Dollar General public, listing the company on the New York Stock Exchange (NYSE) under the ticker symbol “DG.” Cal Turner Jr. later played a pivotal leadership role as president, driving the company’s expansion and success. This move allowed the company to raise capital and pursue further growth opportunities.

After adopting the dollar store model, Dollar General experienced rapid growth, quickly expanding its footprint and opening new stores across various regions.

In 2007, private equity firm Kohlberg Kravis Roberts & Co. (KKR) acquired Dollar General in a leveraged buyout transaction for approximately $6.9 billion. During this period, the company faced significant financial challenges due to a heavy debt burden, declining sales, and increasing competition in the retail sector. Under KKR’s ownership, Dollar General implemented various cost-cutting measures to improve its finances. Notably, a key executive joining Dollar General during this time contributed to the company’s turnaround and future leadership.

Just three years later, in 2009, Dollar General returned to the public market with an initial public offering (IPO) priced at $21 per share. This move allowed KKR to exit its investment partially and monetize its stake in the company.

Since then, Dollar General has continued to thrive under public ownership, experiencing considerable domestic and international growth. As of 2023, the company operates over 18,000 stores across 48 states in the United States, generating billions of dollars in annual revenue.

While Dollar General’s ownership has transitioned from a family-run business to private equity ownership and back to public ownership, it maintains its commitment to providing affordable products to its customer base. The company’s ability to adapt to changing market conditions and its emphasis on meeting the needs of low-income consumers have contributed to its success over the years, with the third generation Turner continuing the company’s legacy.

Cal Turner’s Legacy

Cal Turner’s legacy is deeply woven into the fabric of Dollar General’s success story. As the son of founder James Luther Turner, Cal Turner joined the family business at a young age, gaining valuable business knowledge by working alongside his father and learning the intricacies of retailing from the ground up. His early exposure to the world of general stores and retail operations gave him a unique perspective and a strong foundation for leadership.

Cal Turner played a significant role in guiding Dollar General through periods of rapid growth and transformation. His vision and strategic thinking were instrumental in expanding the company’s footprint and evolving its business model to better serve customers seeking affordable products. Under his leadership, Dollar General made the pivotal decision to go public in 1968, listing on the New York Stock Exchange under the ticker symbol “DG.” This move allowed the company to raise capital and accelerate its expansion, solidifying its position as a leading discount retailer.

Throughout his tenure, Cal Turner remained committed to the company’s mission of providing low-cost, essential goods to communities across America. His influence continues to inspire Dollar General’s values and dedication to serving customers, ensuring that the company remains true to its roots while adapting to the changing retail landscape.

Products and Services

Dollar General is renowned for its wide selection of products and services, designed to meet the everyday needs of its customers, especially in small towns and rural communities. As a discount retailer, Dollar General stores offer low prices on a diverse range of items, including food, pet supplies, beauty aids, cleaning supplies, baby products, and seasonal items. The company’s commitment to affordability ensures that families can access essential goods without straining their budgets.

In addition to national brands, Dollar General features its own private label lines, such as Clover Valley, which provide quality products at even more competitive prices. This approach allows the company to offer value and variety, catering to a broad customer base.

Dollar General Market stores, a specialized format within the company, further expand the product assortment by including fresh produce, meat, and dairy products. These stores are particularly valuable in areas where access to full-service grocery options may be limited, making it easier for customers to find everything they need in one convenient location.

By continually adapting its product offerings and maintaining a focus on low prices, Dollar General remains a trusted source for affordable products in communities across the country.

Store Operations

Dollar General’s store operations are carefully designed to deliver convenience and affordability to customers, particularly in small towns and rural areas. The company’s retail stores are strategically located where access to essential goods, such as fresh meat and produce, may be limited. This approach allows Dollar General to fill a crucial gap in the market, offering a wide range of everyday necessities at prices that fit tight budgets.

A key component of Dollar General Corporation’s operations is its Dollar General Market stores, a wholly owned subsidiary that expands the traditional product selection to include fresh produce, meat, and dairy products. These stores provide customers with even greater variety, making it easier for families to complete their shopping in one convenient location.

The company’s everyday low prices model is at the heart of its business strategy, ensuring that customers can rely on affordable pricing for all their needs. Behind the scenes, Dollar General’s distribution centers play a significant role in supporting store operations by streamlining the supply chain and keeping costs down.

Oversight of store operations is managed by the senior vice president and chief operating officer, who are responsible for maintaining high standards of friendly customer service and operational efficiency. Their leadership ensures that each Dollar General store upholds the company’s commitment to value, convenience, and community support, making Dollar General a trusted name in retail for millions of Americans.

Community Involvement

Dollar General’s commitment to community involvement is a cornerstone of its corporate philosophy. Through the Dollar General Literacy Foundation, the company supports nonprofit organizations and schools dedicated to advancing literacy and education. Since its founding, the foundation has awarded millions of dollars in grants, helping to fund literacy programs and initiatives that empower individuals and strengthen communities.

Beyond literacy, Dollar General partners with a variety of organizations to address broader community needs, including food banks and disaster relief efforts. These partnerships enable the company to respond quickly and effectively to challenges faced by the communities it serves.

By investing in local initiatives and supporting nonprofit organizations, Dollar General demonstrates its dedication to making a positive impact. The company’s ongoing community involvement not only benefits its customers and employees but also helps build stronger, more resilient communities for the future.

Digital Initiatives

Dollar General has embraced digital innovation to enhance the shopping experience for its customers. The company’s mobile app offers a range of convenient features, including access to digital coupons, store locations, and personalized shopping lists. This digital tool allows customers to save money and plan their visits to Dollar General stores more efficiently.

In addition to the app, Dollar General provides digital coupons on its website, which can be easily redeemed at checkout. These digital initiatives are designed to make shopping at Dollar General stores more seamless and accessible, whether customers are browsing online or visiting a physical location.

By leveraging technology, Dollar General continues to evolve as a modern discount retailer, meeting the changing needs of its customers and maintaining its competitive edge in the retail industry.

Eco-Friendly Initiatives

Dollar General is committed to reducing its environmental impact through a variety of eco-friendly initiatives. The company has implemented energy-efficient lighting and refrigeration systems in many of its stores, helping to lower energy consumption and reduce greenhouse gas emissions. Recycling programs for plastic and cardboard materials are also in place, minimizing waste and promoting sustainability throughout the company’s operations.

In addition, Dollar General is actively working to reduce packaging waste and encourage the use of eco-friendly products. These efforts reflect the company’s dedication to environmental responsibility and its role in supporting a more sustainable future.

By adopting environmentally conscious practices, Dollar General not only benefits the planet but also demonstrates its commitment to being a responsible corporate citizen, ensuring that its growth and success are aligned with the well-being of the communities and environments it serves.

Conclusion: Dollar General as a Publicly Traded Company

Dollar General has a diverse ownership structure, with several major institutional investors holding significant stakes in the company. The top shareholders as of September 2023 are Vanguard Group, Inc., BlackRock, Inc., Capital International Investors, Capital World Investors, State Street Corporation, Price (T. Rowe) Associates, Inc., Geode Capital Management, LLC, and Morgan Stanley.

These institutional investors collectively own a substantial portion of the company’s shares, indicating their confidence in Dollar General’s growth potential and long-term prospects. Strong investor relations play a crucial role in maintaining transparency and engagement with shareholders, further supporting Dollar General’s position as a trusted and successful publicly traded company. With such strong institutional backing, Dollar General is well-positioned for continued success in the retail industry.