Core Points - Ollie's Bargain Outlet Holdings, Inc. will release its financial results for Q3 of fiscal year 2024 on December 10, 2024, before market opens [1] - A conference call to discuss the results will be hosted by the management team at 8:30 a.m. Eastern Time on the same day [1] - Interested parties can access the live conference call through pre-registration and can also listen to a live webcast or replay via the Investor Relations section of the company's website [2] Company Overview - Ollie's is the largest retailer of closeout merchandise and excess inventory in America, offering significant value on brand name products across various departments [3] - The company operates 557 stores across 31 states and continues to grow [3]

Core Viewpoint - Ollie's Bargain Outlet Holdings, Inc. (OLLI) is expanding its footprint by acquiring leases for eight former Big Lots locations, which is part of Big Lots' restructuring efforts involving the closure of 170 stores [1][2]. Expansion and Growth Strategy - With the new acquisitions, Ollie's Bargain will hold a total of 15 former Big Lots store leases, providing valuable opportunities due to advantageous lease terms and prime locations [2]. - The ongoing closure of Big Lots stores allows Ollie's Bargain to streamline its operations and focus on enhancing productivity while minimizing pre-opening costs [3]. - For fiscal 2024, Ollie's plans to open 50 new stores and has two planned closures, with a long-term goal of expanding to 1,300 stores across the United States [4]. Business Model and Performance - Ollie's Bargain operates on a "buying cheap, selling cheap" model, which has resonated well with value-conscious customers, leading to positive customer feedback and a diverse clientele [5]. - The company has achieved nine consecutive quarters of growth in comparable store sales, with a 5.8% increase in the second quarter of fiscal 2024 [7]. - OLLI shares have gained 24.6% in the past six months, outperforming the industry and the S&P 500 [8]. Financial Metrics and Valuation - OLLI's forward 12-month price-to-earnings ratio is 25X, which is higher than the industry's ratio of 18.6X, indicating a premium valuation compared to expected earnings growth [10]. - The company has prioritized cost efficiency and has maintained solid profit margins despite market fluctuations [6]. Customer Engagement and Loyalty - Ollie's Army, the customer loyalty program, has strengthened customer connections and reinforced the company's competitive edge in the retail market [6].

Ollie's Bargain Outlet Holdings, Inc. (OLLI) is one of the go-to destinations for budget-conscious shoppers. With its compelling "buying cheap and selling cheap" business model, the company has become a household name for those seeking incredible deals on brand-name products. This strategic positioning has fueled a remarkable 31.7% surge in its stock price over the past six months, outpacing the industry's rise of 10%. Ollie's Bargain Winning Formula Ollie's Bargain core business model is uniquely positione ...

Core Viewpoint - Growth stocks are appealing due to their potential for above-average financial growth, but identifying the right ones can be challenging due to associated risks and volatility [1] Group 1: Company Overview - Ollie's Bargain Outlet (OLLI) is highlighted as a strong growth stock, possessing a favorable Growth Score and a top Zacks Rank [2] - The company has a historical EPS growth rate of 1.6%, but projected EPS growth for this year is expected to be 12.8%, surpassing the industry average of 11.6% [4] Group 2: Financial Metrics - Ollie's Bargain Outlet exhibits a year-over-year cash flow growth of 64.8%, significantly higher than the industry average of -6.1% [5] - The company's annualized cash flow growth rate over the past 3-5 years is 9.8%, compared to the industry average of 7.8% [6] Group 3: Earnings Estimates - Current-year earnings estimates for Ollie's Bargain Outlet have been revised upward, with the Zacks Consensus Estimate increasing by 0.1% over the past month [8] - The combination of a Growth Score of A and a Zacks Rank 2 positions Ollie's Bargain Outlet favorably for potential outperformance [9]

Ollie's Bargain Outlet (OLLI) is looking like an interesting pick from a technical perspective, as the company reached a key level of support. Recently, OLLI broke out above the 50-day moving average, suggesting a short-term bullish trend. The 50-day simple moving average is one of three major moving averages used by traders and analysts to determine support or resistance levels for a wide range of securities. But the 50-day is considered to be more important because it's the first marker of an up or down t ...

Core Viewpoint - The company has downgraded its rating for Ollie's Bargain Outlet (OLLI) from buy to hold due to increased valuation, despite a positive fundamental outlook and expected growth [2][9]. Financial Performance - OLLI reported 2Q24 earnings with same-store sales growth (SSSG) of 5.8%, leading to total revenue of $578.4 million, reflecting a 12.4% year-over-year growth [3][4]. - Gross margin decreased by 30 basis points year-over-year to 37.9%, attributed to a shift in product mix [3]. - Operating expenses grew by 8.2% year-over-year to $145.7 million, but EBIT margin expanded by 30 basis points to 10.5%, resulting in a net margin improvement of 20 basis points and operating EPS of $0.78, marking approximately 16% year-over-year growth [3][4]. Growth Drivers - The growth in SSSG was supported by positive trends in transaction numbers, basket size, and average unit revenue, with transaction growth being the largest contributor [4]. - OLLI's new customer acquisition strategy, including an improved email program and a new co-branded credit card, is expected to sustain SSSG momentum [5]. Market Position and Competition - Management noted continued momentum in 3Q24, tracking ahead of internal expectations, despite potential headwinds from Big Lots' liquidation affecting OLLI's trade areas [6]. - The company anticipates meeting its FY24 SSSG target of 2.7% to 3.2%, supported by strong 1H24 performance and underlying demand strength [6]. Valuation and Future Outlook - OLLI is considered a top performer in the discount/value retail space, justifying its premium valuation relative to peers, although the recent increase in valuation has made the upside less attractive [7]. - Consensus estimates for FY25 EPS are $3.73, driven by low-teens revenue CAGR and net margin expansion, suggesting a share price target of approximately $100, indicating about 5% upside [8].

Ollie's Bargain Outlet (OLLI) is looking like an interesting pick from a technical perspective, as the company reached a key level of support. Recently, OLLI crossed above the 20-day moving average, suggesting a short-term bullish trend. The 20-day simple moving average is a well-liked trading tool because it provides a look back at a stock's price over a 20-day period. Additionally, shortterm traders find this SMA very beneficial, as it smooths out short-term price trends and shows more trend reversal sign ...

Growth investors focus on stocks that are seeing above-average financial growth, as this feature helps these securities garner the market's attention and deliver solid returns. However, it isn't easy to find a great growth stock. By their very nature, these stocks carry above-average risk and volatility. Moreover, if a company's growth story is over or nearing its end, betting on it could lead to significant loss. However, the Zacks Growth Style Score (part of the Zacks Style Scores system), which looks bey ...

Ollie's Bargain Outlet Holdings, Inc. (OLLI) reported second-quarter fiscal 2024 results, wherein the top line beat the Zacks Consensus Estimate, while the bottom line met the same. Both the metrics increased year over year. This Harrisburg, PA-based company also witnessed an uptick in comparable store sales, marking the ninth straight quarter of growth. The company's focus on value-driven merchandise assortments positioned it well to capitalize on opportunities in the marketplace and effectively meet consu ...

J. Michael Jones Ollie's Bargain Outlet Holdings (NASDAQ:OLLI) reported its second-quarter earnings highlighted by solid growth, with the trends strong enough for management to hike full-year guidance. Despite some recent volatility, it's been a good year for the "extreme value" discount retailer, emerging as a comeback story following a couple of years of disappointing results. We last covered the stock back in 2022, citing several steps the company was taking to improve financial efficiency. The latest tr ...