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Stephanie Link: Dollar General Has Tailwinds as a Stand Alone Company or With Family Dollar

Dollar General reports earnings before the market opens on December 4 and Jim Cramer and Stephanie Link have been adding shares to the Action Alerts Plus portfolio into the print.

Dollar General reports earnings before the market opens on December 4 and Jim Cramer and Stephanie Link have been adding shares to the Action Alerts PLUS portfolio into the print. Link tells TheStreet’s Jill Malandrino there are many reasons to like Dollar General, with or without the Family Dollar acquisition, and she would add to the position should there be a pullback in stock price following the earnings conference call. Lower gas prices, higher SKU count, discretionary and private label expansion and new store growth could lead to better gross margins, double digit earnings and same-store sales growth. Margins have been under pressure over the past few years, but Link says they are getting better by offering more product. The real driver will be what happens with Family Dollar over the next couple of weeks.

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