Truist Securities raises Ollie’s Bargain Outlet stock price target

Published 03/06/2025, 19:20
Truist Securities raises Ollie’s Bargain Outlet stock price target

On Tuesday, Truist Securities analysts increased the price target for Ollie’s Bargain Outlet stock (NASDAQ: OLLI) to $128 from $126 while maintaining a Buy rating. With analyst targets ranging from $105 to $137 and a "Buy" consensus recommendation, the $6.7 billion retailer has attracted positive attention. The decision follows a solid first quarter where the company reported comparable sales and earnings slightly above the firm’s estimates.

The analysts noted that Ollie’s Bargain Outlet has slightly raised its full-year comparable sales guidance and maintained its earnings outlook despite facing additional costs related to tariffs, dark rent, and store growth acceleration. According to InvestingPro data, the company maintains a GOOD financial health score and operates with a moderate debt level, with liquid assets exceeding short-term obligations. The company expects second-quarter trends to slow down due to challenging comparisons but anticipates re-acceleration in the second half of the year.

Truist Securities highlighted the potential benefits Ollie’s could gain from the closure of Big Lots™ stores. They also expect improvements in deal flow as some historical competitors exit the industry, reinforcing their view of Ollie’s as a leading growth stock in the small-cap retail sector. With revenue growth of 8.04% and a P/E ratio of 33.6x, InvestingPro subscribers can access 8 additional key insights about Ollie’s growth potential in their comprehensive Pro Research Report.

The analysts remain buyers of Ollie’s stock, emphasizing the company’s position as a premier growth stock within its sector. The updated price target reflects the firm’s confidence in the company’s future performance and strategic positioning.

Ollie’s Bargain Outlet continues to navigate market challenges while maintaining strong growth potential, as outlined by Truist Securities in their latest assessment.

In other recent news, Ollie’s Bargain Outlet Holdings, Inc. (NASDAQ:OLLI) reported impressive financial results for the first quarter of 2025. The company posted earnings per share of $0.75, exceeding analyst expectations of $0.71. Revenue also surpassed forecasts, coming in at $576.8 million against a projected $565.9 million. Ollie’s opened a record 25 new stores during the quarter, contributing to a 13% increase in net sales year-over-year. The company also saw a 2.6% rise in comparable store sales, which aligns with its strategic growth initiatives.

Despite these positive results, Ollie’s stock experienced a 4.4% decline in pre-market trading, possibly due to broader market concerns. The company reaffirmed its full-year guidance, projecting net sales between $2.579 billion and $2.599 billion. Additionally, Ollie’s plans to open 75 new stores this year, maintaining its aggressive expansion strategy. Analysts from firms like KeyBanc Capital Markets and JPMorgan noted Ollie’s ability to capitalize on retail disruptions and its strong deal flow in the closeout market.

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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