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Assessing Ollie's Bargain (OLLI) Ahead of Q1 Earnings Release
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Ollie's Bargain Outlet Holdings, Inc. (OLLI - Free Report) is expected to register an increase in the top line when it reports first-quarter fiscal 2024 results on Jun 5 before market open. The Zacks Consensus Estimate for revenues is pegged at $505.8 million, which indicates a 10.2% increase from the prior-year quarter.
The extreme-value retailer of brand-name merchandise is also projected to see a year-over-year increase in its bottom line. The Zacks Consensus Estimate for first-quarter earnings per share has remained steady at 65 cents over the past 30 days, which implies a significant rise from the 49 cents reported in the same period last year.
The company has a trailing four-quarter earnings surprise of 7.3%, on average. In the last reported quarter, this Harrisburg, PA-based company’s bottom line outperformed the Zacks Consensus Estimate by 6%.
Key Factors to Consider
Ollie's Bargain’s business operating model of “buying cheap and selling cheap,” cost-containment efforts, focus on store productivity and the expansion of the customer loyalty program, Ollie's Army, are likely to have contributed to the top-line performance.
The company’s focus on value-driven merchandise assortments positioned it well to capitalize on opportunities in the marketplace and effectively meet consumer demand. Ollie's Army continued to be a major sales driver, with membership increasing continuously. We expect comparable store sales growth of 2.2% for the first quarter.
While the aforementioned factors raise optimism about the outcome, margins still remain an area to watch. Any deleverage in SG&A expenses due to higher selling expenses associated with new store unit growth, as well as investments in wages and higher utility costs, may have a direct bearing on margins. We expect SG&A expenses to increase 10.2% year over year for the quarter under discussion.
Ollie's Bargain Outlet Holdings, Inc. Price, Consensus and EPS Surprise
Our proven model predicts an earnings beat for Ollie's Bargain this time. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat, which is the case here.
Ollie's Bargain has an Earnings ESP of +1.80% and carries a Zacks Rank #3. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Other Stocks With the Favorable Combination
Here are three other companies you may want to consider as our model shows that these also have the right combination of elements to post an earnings beat this season:
Bath & Body Works (BBWI - Free Report) currently has an Earnings ESP of +4.15% and a Zacks Rank of 2. The company’s bottom line is expected to remain flat year over year when it reports first-quarter fiscal 2024 numbers. The Zacks Consensus Estimate for the quarter is pegged at 33 cents. You can see the complete list of today’s Zacks #1 Rank stocks here.
Bath & Body Works’ top line is expected to decrease year over year. The Zacks Consensus Estimate for quarterly revenues is pegged at $1.37 billion, which indicates a decline of 2.1% from the figure reported in the prior-year quarter. BBWI has a trailing four-quarter earnings surprise of 23.2%, on average.
lululemon athletica (LULU - Free Report) currently has an Earnings ESP of +0.16% and a Zacks Rank of 3. The company is likely to register an increase in the bottom line when it reports first-quarter fiscal 2024 numbers. The Zacks Consensus Estimate for quarterly earnings per share of $2.39 suggests a rise of 4.8% from the year-ago reported number.
lululemon’s top line is expected to ascend year over year. The Zacks Consensus Estimate for quarterly revenues is pegged at $2.20 billion, which calls for an increase of 9.9% from the prior-year quarter. LULU has a trailing four-quarter earnings surprise of 9.7%, on average.
The Kroger Co. (KR - Free Report) currently has an Earnings ESP of +0.83% and a Zacks Rank of 3. The company is likely to register a bottom-line decrease when it reports first-quarter fiscal 2024 numbers. The Zacks Consensus Estimate for the quarterly earnings per share of $1.33 suggests a decline of 11.9% from the year-ago quarter.
Kroger’s top line is expected to decrease marginally year over year. The Zacks Consensus Estimate for quarterly revenues is pegged at $45 billion, which indicates a marginal decline of 0.3% from the figure reported in the prior-year quarter. KR has a trailing four-quarter earnings surprise of 8.5%, on average.
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Assessing Ollie's Bargain (OLLI) Ahead of Q1 Earnings Release
Ollie's Bargain Outlet Holdings, Inc. (OLLI - Free Report) is expected to register an increase in the top line when it reports first-quarter fiscal 2024 results on Jun 5 before market open. The Zacks Consensus Estimate for revenues is pegged at $505.8 million, which indicates a 10.2% increase from the prior-year quarter.
The extreme-value retailer of brand-name merchandise is also projected to see a year-over-year increase in its bottom line. The Zacks Consensus Estimate for first-quarter earnings per share has remained steady at 65 cents over the past 30 days, which implies a significant rise from the 49 cents reported in the same period last year.
The company has a trailing four-quarter earnings surprise of 7.3%, on average. In the last reported quarter, this Harrisburg, PA-based company’s bottom line outperformed the Zacks Consensus Estimate by 6%.
Key Factors to Consider
Ollie's Bargain’s business operating model of “buying cheap and selling cheap,” cost-containment efforts, focus on store productivity and the expansion of the customer loyalty program, Ollie's Army, are likely to have contributed to the top-line performance.
The company’s focus on value-driven merchandise assortments positioned it well to capitalize on opportunities in the marketplace and effectively meet consumer demand. Ollie's Army continued to be a major sales driver, with membership increasing continuously. We expect comparable store sales growth of 2.2% for the first quarter.
While the aforementioned factors raise optimism about the outcome, margins still remain an area to watch. Any deleverage in SG&A expenses due to higher selling expenses associated with new store unit growth, as well as investments in wages and higher utility costs, may have a direct bearing on margins. We expect SG&A expenses to increase 10.2% year over year for the quarter under discussion.
Ollie's Bargain Outlet Holdings, Inc. Price, Consensus and EPS Surprise
Ollie's Bargain Outlet Holdings, Inc. price-consensus-eps-surprise-chart | Ollie's Bargain Outlet Holdings, Inc. Quote
What the Zacks Model Unveils
Our proven model predicts an earnings beat for Ollie's Bargain this time. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat, which is the case here.
Ollie's Bargain has an Earnings ESP of +1.80% and carries a Zacks Rank #3. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Other Stocks With the Favorable Combination
Here are three other companies you may want to consider as our model shows that these also have the right combination of elements to post an earnings beat this season:
Bath & Body Works (BBWI - Free Report) currently has an Earnings ESP of +4.15% and a Zacks Rank of 2. The company’s bottom line is expected to remain flat year over year when it reports first-quarter fiscal 2024 numbers. The Zacks Consensus Estimate for the quarter is pegged at 33 cents. You can see the complete list of today’s Zacks #1 Rank stocks here.
Bath & Body Works’ top line is expected to decrease year over year. The Zacks Consensus Estimate for quarterly revenues is pegged at $1.37 billion, which indicates a decline of 2.1% from the figure reported in the prior-year quarter. BBWI has a trailing four-quarter earnings surprise of 23.2%, on average.
lululemon athletica (LULU - Free Report) currently has an Earnings ESP of +0.16% and a Zacks Rank of 3. The company is likely to register an increase in the bottom line when it reports first-quarter fiscal 2024 numbers. The Zacks Consensus Estimate for quarterly earnings per share of $2.39 suggests a rise of 4.8% from the year-ago reported number.
lululemon’s top line is expected to ascend year over year. The Zacks Consensus Estimate for quarterly revenues is pegged at $2.20 billion, which calls for an increase of 9.9% from the prior-year quarter. LULU has a trailing four-quarter earnings surprise of 9.7%, on average.
The Kroger Co. (KR - Free Report) currently has an Earnings ESP of +0.83% and a Zacks Rank of 3. The company is likely to register a bottom-line decrease when it reports first-quarter fiscal 2024 numbers. The Zacks Consensus Estimate for the quarterly earnings per share of $1.33 suggests a decline of 11.9% from the year-ago quarter.
Kroger’s top line is expected to decrease marginally year over year. The Zacks Consensus Estimate for quarterly revenues is pegged at $45 billion, which indicates a marginal decline of 0.3% from the figure reported in the prior-year quarter. KR has a trailing four-quarter earnings surprise of 8.5%, on average.
Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar.