Dollar Tree Stores Inc. (DLTR): Today's Featured Services Winner

Dollar Tree Stores Inc ( DLTR) pushed the Services sector higher today making it today's featured services winner. The sector as a whole closed the day down 2%. By the end of trading, Dollar Tree Stores Inc rose $1.09 (1.4%) to $79.96 on average volume. Throughout the day, 1.5 million shares of Dollar Tree Stores Inc exchanged hands as compared to its average daily volume of 1.7 million shares. The stock ranged in a price between $78.61-$80.93 after having opened the day at $78.67 as compared to the previous trading day's close of $78.87. Other companies within the Services sector that increased today were: Trailer Bridge Inc ( TRBR), up 21.2%, SearchMedia Holdings ( IDI), up 15.2%, China Education Alliance Inc ( CEU), up 11.2%, and ChinaNet Online Holdings Inc ( CNET), up 10.3%.

Dollar Tree, Inc. operates discount variety stores in the United States and Canada. Its stores offer merchandise primarily at the fixed price of $1.00. The company operates its stores under the names of Dollar Tree, Deal$, Dollar Tree Deal$, Dollar Giant, and Dollar Bills. Dollar Tree Stores Inc has a market cap of $9.9 billion and is part of the retail industry. The company has a P/E ratio of 22.2, below the average retail industry P/E ratio of 22.5 and above the S&P 500 P/E ratio of 17.7. Shares are up 42% year to date as of the close of trading on Friday.

TheStreet Ratings rates Dollar Tree Stores as a buy. The company's strengths can be seen in multiple areas, such as its revenue growth, largely solid financial position with reasonable debt levels by most measures, notable return on equity, impressive record of earnings per share growth and compelling growth in net income. We feel these strengths outweigh the fact that the company is trading at a premium valuation based on our review of its current price compared to such things as earnings and book value.

On the negative front, DS Torm ( TRMD), down 16.3%, Noah Education Holdings ( NED), down 13.1%, Princeton Review Inc ( REVU), down 10.6%, and Pacific Sunwear ( PSUN), down 10.1%, were all losers within the services sector with MGM Resorts International ( MGM) being today's services sector loser.

For investors not wanting singular stock exposure, ETFs may be of interest. Investors who are bullish on the services sector could consider iShares Dow Jones US Cons Services ( IYC) while those bearish on the services sector could consider ProShares Ultra Short Consumer Sers ( SCC).

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