Ollie’s Bargain Outlet: Wall Street Is Bullish ahead of Fiscal Q2

No changes in target price

Before the company’s upcoming fiscal second-quarter results, the majority of the analysts covering Ollie’s Bargain Outlet (OLLI) stock have maintained a “buy” rating. Of the 14 analysts covering OLLI stock on August 27, 57.0% recommended a “buy,” and the remaining 43.0% recommended a “hold.”

Over the past 30 days, there has been no revision in its target price. The 12-month average target price for OLLI stock is $78.00, which reflects a 3.9% downside to its August 27 price.

Ollie’s Bargain Outlet: Wall Street Is Bullish ahead of Fiscal Q2

For the fiscal second quarter, analysts expect OLLI’s net sales to grow 11.8%, and its adjusted earnings per share are expected to jump 33.3%. The company has beaten its consensus estimates for both sales and EPS in the trailing four quarters.

Ollie’s low-cost proposition and rapid store expansion are driving its top-line growth. In its fiscal first quarter, Ollie’s opened eight new stores and has plans to open 36 to 38 stores in fiscal 2018. It’s also investing in advertising and marketing to enhance its brand visibility

Peers’ ratings

Of the 28 analysts covering Dollar General (DG) stock, 61.0% recommended a “buy,” and 36.0% recommended a “hold.” The 12-month average target price for DG stock is $110.43, which reflects a 3.0% upside based on its August 27 price.

Of the 26 analysts covering Dollar Tree (DLTR) stock, 81.0% recommended a “buy,” and 19.0% recommended a “hold.” The 12-month average target price for DLTR stock is $106.26, which reflects a 14.2% upside.

Of the 17 analysts covering Five Below (FIVE) stock, 53.0% recommended a “buy,” and 47.0% of these analysts recommended a “hold.” The 12-month average target price for FIVE stock is $104.47, which reflects an 8.8% downside.

Of the 12 analysts covering Big Lots (BIG) stock, 58.0% recommended a “buy,” and 42.0% recommended a “hold.” The 12-month average target price for BIG stock is $48.58, which reflects a 1.3% downside.