KeyBanc raises Casey’s General Stores price target to $575 on positive checks

Published 27/07/2025, 07:36
KeyBanc raises Casey’s General Stores price target to $575 on positive checks

Investing.com - KeyBanc Capital Markets raised its price target on Casey’s General Stores (NASDAQ:CASY) to $575.00 from $550.00 on Sunday, maintaining an Overweight rating on the convenience store operator. The stock, currently trading near its 52-week high of $531.24, has delivered impressive returns with a 33.43% gain year-to-date, according to InvestingPro data.

The price target increase follows positive checks on traffic and fuel margins, according to KeyBanc. Industry data from May 1 to July 22 suggests that Casey’s fuel margin will be approximately $0.03 above consensus expectations.

Fuel generates about 30% of gross profit for Casey’s, making it an important but not dominant segment compared to other convenience store chains. KeyBanc noted that estimating cents per gallon this quarter is challenging due to Casey’s recent CEFCO acquisition, which will add "noise" to reported fuel margins.

The firm raised its first-quarter earnings per share estimate for Casey’s based on these positive indicators. Casey’s operates a network of convenience stores primarily in the Midwest region of the United States.

On June 10, Casey’s reported its fourth-quarter fiscal 2025 earnings and noted that lapping Leap Day in February negatively impacted comparable store sales by approximately 300 basis points.

In other recent news, Casey’s General Stores has seen a series of analyst upgrades following its impressive financial performance and strategic execution. Jefferies increased its price target for Casey’s to $575 from $485, noting an 11% year-over-year revenue growth and better-than-expected adjusted EBITDA and earnings per share for the fourth quarter. Evercore ISI also raised its price target to $530 from $485, citing the company’s steady market share gains and successful mergers and acquisitions. KeyBanc increased its target to $550 from $500, highlighting strong fuel margins and market share gains despite challenging weather conditions.

RBC Capital adjusted its price target to $542 from $468, maintaining a Sector Perform rating after positive feedback from investor meetings. BMO Capital raised its target to $515 from $450, pointing to Casey’s significant outperformance compared to peers and consistent EBITDA growth. These developments reflect a broad analyst consensus on Casey’s robust strategic direction and financial health.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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