Investors in Casey's General Stores, Inc. (CASY) need to pay close attention to the stock based on moves in the options market lately. That is because the Feb. 20, 2026 $370 Put had some of the highest implied volatility of all equity options today.What is Implied Volatility?Implied volatility shows how much movement the market is expecting in the future. Options with high levels of implied volatility suggest that investors in the underlying stocks are expecting a big move in one direction or the other. It ...

Casey's General Stores, Inc. (NASDAQ:CASY) is included among 13 Best Long Term Low Risk Stocks to Buy Now. Casey's General Stores, Inc. (CASY) Draws Price Target Hikes From KeyBanc and RBC Capital On January 26, KeyBanc Capital Markets raised its price recommendation on Casey's General Stores, Inc. (NASDAQ:CASY) to $680 from $650. The firm kept an Overweight rating, pointing to an improving outlook for the business. A few days earlier, on January 23, RBC Capital Markets also lifted its price target on C ...

Core Insights - Casey's General Stores has seen significant activity from institutional investors, with notable increases in holdings and new positions being established in the second and third quarters of the year [1][7] - The company reported strong quarterly earnings, exceeding consensus estimates, with a year-over-year revenue increase of 14.2% [4] - A quarterly dividend has been announced, reflecting a modest payout ratio and providing a yield of 0.4% [5] Institutional Investor Activity - Nvwm LLC acquired a new position worth approximately $32,000 in Casey's General Stores during the second quarter [1] - Rossby Financial LCC increased its holdings by 580.0%, now owning 68 shares valued at $35,000 after purchasing an additional 58 shares [1] - Bogart Wealth LLC raised its holdings by 388.5% in the third quarter, now owning 127 shares worth $72,000 after acquiring 101 additional shares [1] - Institutional investors collectively own 85.63% of the company's stock [1] Insider Transactions - Director Moats Maria Castanon purchased 300 shares at an average cost of $554.66 per share, increasing their position by 59.64% [2] - Following the transaction, the director owns 803 shares valued at approximately $445,391.98 [2] - Corporate insiders own 0.54% of the stock [2] Stock Performance - The stock opened at $606.50, with a 1-year low of $372.08 and a high of $647.99 [3] - The market capitalization stands at $22.48 billion, with a price-to-earnings ratio of 37.30 and a PEG ratio of 2.16 [3] - The stock's 50-day moving average is $579.60, and the 200-day moving average is $548.48 [3] Earnings Report - The company reported earnings per share (EPS) of $5.53, surpassing the consensus estimate of $4.92 by $0.61 [4] - Revenue for the quarter was $4.51 billion, matching the consensus estimate [4] - The net margin was 3.58%, and return on equity was 16.89% [4] Dividend Announcement - A quarterly dividend of $0.57 per share will be paid on February 13th, with a record date of February 1st [5] - This represents an annualized dividend of $2.28 and a payout ratio of 14.02% [5] Analyst Ratings - Zacks Research upgraded the stock from "hold" to "strong-buy" [6] - KeyCorp set a price target of $680.00, while Bank of America initiated coverage with a "buy" rating [6] - The consensus rating is "Moderate Buy" with a price target of $624.09 [6]

Group 1: Ciena Corporation (CIEN) - Ciena Corporation is a network hardware and software services provider with a Zacks Rank of 1 [1] - The Zacks Consensus Estimate for Ciena's current year earnings has increased by 22.3% over the last 60 days [1] - Ciena has a PEG ratio of 1.03, significantly lower than the industry average of 5.51, and possesses a Growth Score of A [1] Group 2: Skillsoft Corp. (SKIL) - Skillsoft Corp. is an instructor-led training services company with a Zacks Rank of 1 [2] - The Zacks Consensus Estimate for Skillsoft's current year earnings has increased by 19.8% over the last 60 days [2] - Skillsoft has a PEG ratio of 0.23, compared to the industry average of 0.81, and possesses a Growth Score of B [2] Group 3: Casey's General Stores, Inc. (CASY) - Casey's General Stores, Inc. operates a chain of convenience stores and holds a Zacks Rank of 1 [3] - The Zacks Consensus Estimate for Casey's current year earnings has increased by 6.2% over the last 60 days [3] - Casey's has a PEG ratio of 2.20, which is lower than the industry average of 2.62, and possesses a Growth Score of A [3]

Core Viewpoint - Casey's General Stores Inc. stock is currently priced at $618.61, reflecting a 1.09% decrease in the current market session, but has seen an increase of 8.76% over the past month and 50.42% over the past year, raising questions about potential overvaluation despite the recent performance [1]. Group 1: Stock Performance - The current stock price of Casey's General Stores Inc. is $618.61, with a recent drop of 1.09% [1]. - Over the past month, the stock has increased by 8.76% [1]. - In the past year, the stock has appreciated by 50.42% [1]. Group 2: P/E Ratio Analysis - Casey's General Stores has a P/E ratio of 38.49, which is significantly higher than the industry average P/E ratio of 16.06 for the Consumer Staples Distribution & Retail sector [6]. - A higher P/E ratio may suggest that Casey's General Stores is expected to perform better than its industry peers, but it also raises concerns about potential overvaluation [6][7]. - The P/E ratio is a critical metric for assessing market performance, but it should be considered alongside other financial ratios and qualitative factors for a comprehensive analysis [9].

Core Insights - The U.S. stock market starts the new year with confidence, supported by easing inflation, a steady economy, and expectations of lower interest rates over time, alongside the influence of artificial intelligence [1] Economic Environment - Recent data shows mixed but encouraging signs, with factory activity performing better than expected while housing shows signs of cooling; earnings season is ramping up, focusing on company-level performance [2] - Trade headlines and tariff threats have introduced short-term pressures, but markets typically overlook near-term volatility to focus on future prospects [2] Investment Strategy - Relative price strength is crucial; stocks that are already outperforming the broader market tend to continue leading, making them attractive for investors [3] - Companies such as Micron Technology (MU), Hilltop Holdings (HTH), Casey's General Stores (CASY), Agnico Eagle Mines (AEM), and Dollar General (DG) are recommended for consideration due to their strong performance [3] Stock Selection Criteria - Investors should evaluate stocks based on earnings growth and valuation multiples, while also considering their performance relative to industry peers or benchmarks [4] - Underperforming stocks should be avoided, while those showing strong relative price performance are more likely to yield significant returns [5] Performance Metrics - Stocks that have outperformed the S&P 500 over the past 1, 4, and 12 weeks, along with positive earnings estimate revisions for the current quarter, indicate potential for growth [6][9] - The screening parameters include relative price changes over different time frames and positive earnings estimate revisions, focusing on stocks with a Zacks Rank of 1 (Strong Buy) [8][10] Company Highlights - **Micron Technology (MU)**: Expected earnings growth of 297.5% for fiscal 2026, with shares gaining 243% in a year and a market cap over $400 billion [11][12] - **Hilltop Holdings (HTH)**: Projected EPS growth of 11.3% year-over-year for 2026, with shares up 24% in a year [12][13] - **Casey's General Stores (CASY)**: Anticipated EPS growth of 18.8% for fiscal 2026, with shares increasing by 64% in a year [14][15] - **Agnico Eagle Mines (AEM)**: Market cap nearly $100 billion, with shares more than doubling in a year and a projected earnings growth of 9.1% for 2026 [16][17] - **Dollar General (DG)**: Market cap nearly $33 billion, with shares gaining 117% in a year and a projected earnings growth of 5.4% for 2026 [17][18]

Core Viewpoint - Investors are focusing on the convenience retail sector due to changing demand and competitive pressures, with BofA Securities initiating coverage on Murphy USA Inc. and Casey's General Stores, Inc. [1] Group 1: Casey's General Stores - Analyst Lisa K. Lewandowski initiated coverage with a Buy rating and a price target of $700, based on a 2027 EV-to-EBITDA multiple of 15.9 times, which is above the one-year average and most peers [2] - The premium valuation is justified by Casey's higher-margin foodservice mix and expected consistent EBITDA growth in the range of 8% to 10% over the medium term [3] - Fuel sales accounted for approximately 61% of fiscal 2025 revenue, but 70% of inside transactions exclude fuel purchases, indicating a shift towards food destinations [4] - Casey's is the third-largest convenience store operator in the U.S. and ranks among the largest pizza chains and liquor license holders [4] - The rural footprint is seen as a competitive advantage in underserved food markets, with expectations for foodservice margins to expand as CEFCO locations convert to Casey's formats starting in 2026 [5] Group 2: Murphy USA - Coverage of Murphy USA was reinstated with an Underperform rating and a price target of $405, using a 2027 EV-to-EBITDA multiple of 8.6 times, which is below the long-term average [6] - Heavy exposure to fuel and nicotine sales is a constraint, with low gas prices and muted fuel volatility limiting earnings leverage [7] - Declining cigarette volumes and a relatively small foodservice business further weigh on performance, especially amid pressure on lower-income consumers [7] - Positive aspects include lean operations, a value-focused pricing strategy, and Walmart-adjacent locations, which provide some long-term support [8]

Core Viewpoint - Investors are focusing on the convenience retail sector due to changing demand and competitive pressures, with BofA Securities initiating coverage on Murphy USA Inc. and Casey's General Stores, Inc. [1] Group 1: Casey's General Stores - Analyst Lisa K. Lewandowski initiated coverage with a Buy rating and a price target of $700, based on a 2027 EV-to-EBITDA multiple of 15.9 times, which is above the one-year average and most peers [2] - The premium valuation is justified by Casey's higher-margin foodservice mix and expected consistent EBITDA growth in the range of 8% to 10% over the medium term [3] - Fuel sales accounted for approximately 61% of fiscal 2025 revenue, but 70% of inside transactions exclude fuel purchases, indicating a shift towards food destinations [4] - Casey's is the third-largest convenience store operator in the U.S. and ranks among the largest pizza chains and liquor license holders [4] - The rural footprint is seen as a competitive advantage in underserved food markets, with expectations for foodservice margins to expand as CEFCO locations convert to Casey's formats starting in 2026 [5] Group 2: Murphy USA - Coverage of Murphy USA was reinstated with an Underperform rating and a price target of $405, using a 2027 EV-to-EBITDA multiple of 8.6 times, which is below the long-term average [6] - Heavy exposure to fuel and nicotine sales is a constraint, with low gas prices and muted fuel volatility limiting earnings leverage [7] - Declining cigarette volumes and a relatively small foodservice business further weigh on performance, especially amid pressure on lower-income consumers [7] - Positive aspects include lean operations, a value-focused pricing strategy, and Walmart-adjacent locations, which provide some long-term support [8]

Core Insights - Casey's General Stores (CASY) shows potential as a strong investment due to significant revisions in earnings estimates, indicating an improving earnings outlook [1][9] Earnings Estimate Revisions - The current quarter's earnings estimate is $2.93 per share, reflecting a year-over-year increase of +25.8% [5] - Over the past 30 days, the Zacks Consensus Estimate for Casey's has risen by 8.32%, with two estimates moving higher and no negative revisions [5] - For the full year, the expected earnings are $17.28 per share, representing a year-over-year change of +18.0%, with a 5.56% increase in consensus estimates due to positive revisions [6][7] Analyst Sentiment - There is strong agreement among analysts in raising earnings estimates for Casey's, contributing to a favorable outlook for the stock [3] - The Zacks Rank for Casey's is 2 (Buy), indicating a positive sentiment based on the trend of earnings estimate revisions [8] Stock Performance - The stock has gained 7.6% over the past four weeks, driven by solid estimate revisions and positive earnings growth prospects [9]

Core Insights - Casey's General Stores reported strong year-over-year growth in its second-quarter fiscal 2026 results, with earnings per share of $5.53, surpassing estimates, but total revenues of $4,506.1 million fell short of expectations [2][3]. Financial Performance - The company achieved a 14% increase in earnings per share from $4.85 in the prior-year quarter [3]. - Total revenues increased by 14.2% from $3,946.8 million in the year-ago period, despite missing the Zacks Consensus Estimate of $4,553 million [3]. - Inside sales rose 13% year over year to $1.66 billion, with same-store sales increasing by 3.3% [4]. Margins and Expenses - Gross profit increased to $1.12 billion, up 17% year over year, with gross margin expanding by 60 basis points to 24.9% [5]. - EBITDA rose 17.5% year over year to $410.1 million, with an EBITDA margin of 9.1%, reflecting a 30 basis point increase [6]. - Operating expenses increased by 16.7% to $711.6 million, primarily due to the operation of 236 additional stores [7]. Segment Performance - Prepared Food & Dispensed Beverage sales grew 12% year over year to $467.8 million, with same-store sales increasing by 4.8% [8]. - Grocery & General Merchandise sales rose 13.4% to $1.19 billion, with same-store sales advancing by 2.7% [9]. - Fuel sales increased by 11.3% year over year to $2.69 billion, with fuel gallons sold jumping 16.8% to 906.7 million [10]. Financial Snapshot - As of October 31, 2025, Casey's operated 2,921 stores, with cash and cash equivalents of $492 million and long-term debt of $2.35 billion [11]. - The company declared a quarterly dividend of 57 cents per share, continuing its track record of dividend payments [12]. Outlook - For fiscal 2026, management expects EBITDA growth of 15-17% and total operating expenses to increase by 8-10% [13]. - Inside same-store sales are anticipated to grow by 3-4%, with an expected inside margin of 41-42% [14]. - The consensus estimate has shifted upward by 8.32% in the past month, indicating positive investor sentiment [15].