The market expects BJ's Wholesale Club (BJ) to deliver a year-over-year decline in earnings on higher revenues when it reports results for the quarter ended October 2024. This widely-known consensus outlook is important in assessing the company's earnings picture, but a powerful factor that might influence its near-term stock price is how the actual results compare to these estimates.The earnings report, which is expected to be released on November 21, 2024, might help the stock move higher if these key num ...

BJ's Wholesale Club Holdings, Inc. (BJ) , one of the leading operators of membership warehouse clubs, has been reinforcing its position in the industry with its strong customer value proposition and business model. Its relentless efforts to boost the membership base, simplify assortments, enhance digital capabilities and accelerate club openings have been contributing to sales. The company has been sparing no effort to bolster omnichannel operations and ramp up delivery services. Membership Growth Aids BJ B ...

Core Insights - Two stocks in the consumer staples sector are signaling potential warnings for momentum-focused investors as of October 7, 2024 [1] Company Summaries Cal-Maine Foods Inc (CALM) - Cal-Maine Foods reported better-than-expected quarterly earnings on October 1, 2024, indicating a strong start to fiscal 2025 [3] - The company experienced favorable demand for shell eggs and significantly higher market prices compared to the same quarter last year, attributed to a decline in national egg supply due to avian influenza outbreaks [3] - The stock gained approximately 24% over the past month, reaching a weekly high of $84.67, with an RSI value of 85.31 [3] - On the last trading day, shares closed at $84.57 after a 6.2% increase [3] BJ's Wholesale Club Holdings Inc (BJ) - Melius Research initiated coverage on BJ's Wholesale Club on September 23, 2024, with a Buy rating and a price target of $90 [4] - The stock increased around 11% over the past month, achieving a 52-week high of $92.37, with an RSI value of 70.08 [4] - Shares closed at $86.50 after a 1% rise on the last trading day [4]

I aim to invest in companies with perfect qualitative attributes, buy them at an attractive price based on fundamentals, and hold them forever. I hope to publish articles covering such companies approximately 3 times per week, with extensive quarterly follow-ups and constant updates.I manage a concentrated portfolio targeted at avoiding losers and maximizing exposure to big winners. This means that often I'll rate great companies at a 'Hold' because their growth opportunity is below my threshold, or their d ...

Core Viewpoint - BJ's Wholesale has significantly outperformed the S&P 500 over the last five years, with a stock price increase of 223% compared to the S&P 500's 95% gain, suggesting potential investment interest despite its smaller market presence [2]. Company Overview - BJ's Wholesale operates 244 warehouse clubs, having added only six locations in the past year, indicating a slow expansion compared to competitors [3]. - The company's total revenue for the first half of fiscal 2024 was over $10.1 billion, reflecting a 4.5% increase year-over-year [3]. - Net income for the first two quarters of fiscal 2024 was $256 million, a modest 3% growth from the previous year, which may deter growth investors [4]. Financial Improvements - The COVID-19 pandemic positively impacted BJ's financials, with revenue growth rising from less than 1% in fiscal 2019 to 17% in the following year, aided by a strategy of smaller product sizes and acceptance of manufacturer's coupons [6]. - Total debt has decreased by 34% to $616 million, while stockholders' equity has risen to nearly $1.7 billion, improving the company's financial stability [7]. - Membership revenue grew by 9% in the first half of fiscal 2024, with analysts forecasting a revenue growth acceleration from 3% this fiscal year to 7% by fiscal 2025 [7]. Valuation and Market Position - BJ's current price-to-earnings (P/E) ratio is 21, significantly lower than Walmart's 40 and Costco's 55, indicating a potential for valuation expansion [8]. - The stock's performance over the past five years and its lower valuation compared to competitors may attract investors who missed earlier opportunities with Costco [8]. Future Outlook - Despite past performance, the likelihood of returning to double-digit revenue growth appears low without another significant catalyst [9]. - The slow pace of expansion and single-digit revenue growth may limit interest from growth investors [9]. - The low valuation and potential for faster revenue growth could enhance BJ's stock appeal if its P/E ratio aligns more closely with those of Walmart or Costco [9].

UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 _______________________________ _______________________________ Title of each class Trading symbol(s) Name of each exchange on which registered Common Stock, par value $0.01 BJ New York Stock Exchange FORM 10-Q _______________________________ ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended August 3, 2024 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE ...

BJ's Wholesale Club Today | --- | --- | |----------------------|-------| | | | | | | | BJ | | | BJ's Wholesale Club | | | $84.08 | | | +1.31 (+1.58%) | | | 52-Week Range $63.08 | | | ▼ | | | $92.37 | | | P/E Ratio 21.84 | | | Price Target $86.07 | | Add to Watchlist BJ's Wholesale Club Holdings Inc. NYSE: BJ is an East Coast membership-only warehouse club. Members can shop in bulk for groceries, electronics, household products, tires, and gasoline. They also provide services like home improvement, travel de ...

Top Wall Street analysts changed their outlook on these top names. For a complete view of all analyst rating changes, including upgrades and downgrades, please see our analyst ratings page. BJ's Wholesale Club (BJ) Forecast Dividends Analyst Ratings Insider Trades News Earnings Guidance Considering buying BJ stock? Here's what analysts think: BJ's Wholesale Club Holdings Inc has a consensus price target of $79.88 based on the ratings of 25 analysts. The high is $97 issued by UBS on May 24, 2024. The low is ...

BJ's Wholesale Club Holdings, Inc. (BJ) came up with its second-quarter fiscal 2024 results, delivering strong performance as revenues and earnings surpassed the Zacks Consensus Estimate, with year-over-year improvements in both metrics. Additionally, the company's comparable club sales showed decent growth. Despite better-than-expected results, shares of the Marlborough, MA-based company dropped approximately 6.8% during the Aug 22 trading session. The company's cautious outlook primarily drove the market ...

Core Viewpoint - The company maintains a hold rating for BJ's Wholesale Club Holdings due to its high valuation despite strong fundamentals and positive demand outlook [2][8]. Financial Performance - In 2Q24, BJ reported total revenue of $5.2 billion, reflecting approximately 5% year-over-year growth, driven by same-store sales (SSS) growth of 2.4% primarily from increased traffic [3]. - The total gross margin improved to 18.4%, resulting in a gross profit of approximately $960 million, while operating costs increased by 7.7% year-over-year, leading to SG&A expenses of $748 million [3]. - BJ achieved an EBIT margin of 3.9%, equating to around $203 million, which exceeded consensus estimates by approximately $3 million [3]. Demand and Market Position - BJ is well-positioned to benefit from the current consumer spending environment, evidenced by strong SSS growth for three consecutive quarters, with traffic contributing 400 basis points to the growth [4]. - All product segments showed improvements, with perishables, groceries, and sundries experiencing around 3% SSS growth, while apparel saw high-single-digit revenue growth [4]. - The company added the highest number of members since COVID, reaching approximately 7.5 million members, indicating strong demand and consumer engagement [5]. Membership Fee Potential - There is potential for BJ to increase membership fees, as the company has not raised prices in the past five years, and a fee increase could significantly impact year-over-year growth [6]. - A precedent set by Costco's recent fee increase suggests that BJ may follow suit, which could generate over $30 million in additional membership fee income [6]. Valuation Concerns - Despite a robust fundamental outlook, BJ's valuation has risen to approximately 20x, which is considered too high relative to expected earnings growth and peer valuations [7]. - Similar peers in the industry trade at an average multiple of around 16x, indicating that BJ's current valuation is not attractive enough to warrant an upgrade to a buy rating [7]. Conclusion - The overall assessment for BJ remains a hold rating due to its relatively high valuation, despite strong 2Q24 results and a positive demand outlook [8].