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BJ's Wholesale (BJ) to Post Q2 Earnings: What's in the Cards?
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BJ's Wholesale Club Holdings, Inc. (BJ - Free Report) is likely to register a marginal increase in the top line when it reports second-quarter fiscal 2023 results on Aug 22 before market open. The Zacks Consensus Estimate for revenues is pegged at $5,150 million, indicating growth of 0.9% from the prior-year reported figure.
The bottom line of this operator of membership warehouse clubs is expected to have declined year over year. Although the Zacks Consensus Estimate for second-quarter earnings per share has risen by a penny to 90 cents over the past 30 days, it suggests a decrease of 15.1% from the year-ago quarter.
BJ's Wholesale has a trailing four-quarter earnings surprise of 15.1%, on average. In the last reported quarter, this Westborough, MA-based company’s bottom line surpassed the Zacks Consensus Estimate by a margin of 1.2%.
Factors to Consider
BJ's Wholesale’s focus on simplifying assortments, boosting marketing and merchandising capabilities, expanding into high-demand categories and building an own-brand portfolio is commendable. The company remains committed to enhancing omnichannel capabilities and providing value for customers. These endeavors have been contributing to growth in membership signups and renewals.
BJ's Wholesale Club Holdings, Inc. Price, Consensus and EPS Surprise
BJ's Wholesale’s better pricing, private-label offerings, merchandise initiatives and digital solutions are likely to have favorably impacted the to-be-reported quarter’s top line. We expect merchandise comparable club sales to have improved 2%. However, lower contributions from gasoline sales might have put a dent in revenues. We expect total comparable club sales to have declined 2%.
Additionally, any deleverage in SG&A expenses might have hurt margins. Higher labor and occupancy costs as a result of new club and gas station openings, as well as other continued investments to drive strategic priorities, are likely to have pushed SG&A expenses higher. We expect SG&A expenses to have increased 6.5% during the quarter under review, with the operating margin expected to have contracted 50 basis points.
What the Zacks Model Unveils
Our proven model does not conclusively predict an earnings beat for BJ's Wholesale 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. However, that’s not the case here.
BJ's Wholesale has an Earnings ESP of +2.79% but a Zacks Rank #4 (Sell). You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Stocks With the Favorable Combination
Here are companies you may want to consider as our model shows that these have the right combination of elements to post an earnings beat:
American Eagle Outfitters (AEO - Free Report) currently has an Earnings ESP of +8.52% and a Zacks Rank #2. The company is likely to register a bottom-line increase when it reports second-quarter fiscal 2023 numbers. The Zacks Consensus Estimate for the quarterly earnings per share of 15 cents suggests a sharp increase from 4 cents reported in the year-ago quarter. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
American Eagle Outfitters’ top line is expected to decrease year over year. The Zacks Consensus Estimate for quarterly revenues is pegged at $1.19 billion, which indicates a marginal decline of 0.9% from the figure reported in the prior-year quarter. American Eagle Outfitters has a trailing four-quarter earnings surprise of 9.2%, on average.
Casey's General Stores (CASY - Free Report) currently has an Earnings ESP of +1.03% and carries a Zacks Rank #3. The company is likely to register a bottom-line decrease when it reports first-quarter fiscal 2024 numbers. The Zacks Consensus Estimate for quarterly earnings per share of $3.39 suggests a decline of 17.1% from the year-ago quarter.
Casey's General Stores’ top line is expected to decrease year over year. The Zacks Consensus Estimate for quarterly revenues is pegged at $3.85 billion, which indicates a drop of 13.5% from the figure reported in the prior-year quarter. CASY has a trailing four-quarter earnings surprise of 7.5%, on average.
Costco (COST - Free Report) currently has an Earnings ESP of +1.08% and a Zacks Rank of 3. The company is likely to register an increase in the bottom line when it reports fourth-quarter fiscal 2023 numbers. The Zacks Consensus Estimate for quarterly earnings per share of $4.72 suggests a rise of 12.4% from the year-ago reported number.
Costco’s top line is expected to ascend year over year. The Zacks Consensus Estimate for quarterly revenues is pegged at $78.86 billion, which calls for an increase of 9.4% from the prior-year quarter. COST has a trailing four-quarter earnings surprise of 1.8%, on average.
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BJ's Wholesale (BJ) to Post Q2 Earnings: What's in the Cards?
BJ's Wholesale Club Holdings, Inc. (BJ - Free Report) is likely to register a marginal increase in the top line when it reports second-quarter fiscal 2023 results on Aug 22 before market open. The Zacks Consensus Estimate for revenues is pegged at $5,150 million, indicating growth of 0.9% from the prior-year reported figure.
The bottom line of this operator of membership warehouse clubs is expected to have declined year over year. Although the Zacks Consensus Estimate for second-quarter earnings per share has risen by a penny to 90 cents over the past 30 days, it suggests a decrease of 15.1% from the year-ago quarter.
BJ's Wholesale has a trailing four-quarter earnings surprise of 15.1%, on average. In the last reported quarter, this Westborough, MA-based company’s bottom line surpassed the Zacks Consensus Estimate by a margin of 1.2%.
Factors to Consider
BJ's Wholesale’s focus on simplifying assortments, boosting marketing and merchandising capabilities, expanding into high-demand categories and building an own-brand portfolio is commendable. The company remains committed to enhancing omnichannel capabilities and providing value for customers. These endeavors have been contributing to growth in membership signups and renewals.
BJ's Wholesale Club Holdings, Inc. Price, Consensus and EPS Surprise
BJ's Wholesale Club Holdings, Inc. price-consensus-eps-surprise-chart | BJ's Wholesale Club Holdings, Inc. Quote
BJ's Wholesale’s better pricing, private-label offerings, merchandise initiatives and digital solutions are likely to have favorably impacted the to-be-reported quarter’s top line. We expect merchandise comparable club sales to have improved 2%. However, lower contributions from gasoline sales might have put a dent in revenues. We expect total comparable club sales to have declined 2%.
Additionally, any deleverage in SG&A expenses might have hurt margins. Higher labor and occupancy costs as a result of new club and gas station openings, as well as other continued investments to drive strategic priorities, are likely to have pushed SG&A expenses higher. We expect SG&A expenses to have increased 6.5% during the quarter under review, with the operating margin expected to have contracted 50 basis points.
What the Zacks Model Unveils
Our proven model does not conclusively predict an earnings beat for BJ's Wholesale 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. However, that’s not the case here.
BJ's Wholesale has an Earnings ESP of +2.79% but a Zacks Rank #4 (Sell). You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Stocks With the Favorable Combination
Here are companies you may want to consider as our model shows that these have the right combination of elements to post an earnings beat:
American Eagle Outfitters (AEO - Free Report) currently has an Earnings ESP of +8.52% and a Zacks Rank #2. The company is likely to register a bottom-line increase when it reports second-quarter fiscal 2023 numbers. The Zacks Consensus Estimate for the quarterly earnings per share of 15 cents suggests a sharp increase from 4 cents reported in the year-ago quarter. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
American Eagle Outfitters’ top line is expected to decrease year over year. The Zacks Consensus Estimate for quarterly revenues is pegged at $1.19 billion, which indicates a marginal decline of 0.9% from the figure reported in the prior-year quarter. American Eagle Outfitters has a trailing four-quarter earnings surprise of 9.2%, on average.
Casey's General Stores (CASY - Free Report) currently has an Earnings ESP of +1.03% and carries a Zacks Rank #3. The company is likely to register a bottom-line decrease when it reports first-quarter fiscal 2024 numbers. The Zacks Consensus Estimate for quarterly earnings per share of $3.39 suggests a decline of 17.1% from the year-ago quarter.
Casey's General Stores’ top line is expected to decrease year over year. The Zacks Consensus Estimate for quarterly revenues is pegged at $3.85 billion, which indicates a drop of 13.5% from the figure reported in the prior-year quarter. CASY has a trailing four-quarter earnings surprise of 7.5%, on average.
Costco (COST - Free Report) currently has an Earnings ESP of +1.08% and a Zacks Rank of 3. The company is likely to register an increase in the bottom line when it reports fourth-quarter fiscal 2023 numbers. The Zacks Consensus Estimate for quarterly earnings per share of $4.72 suggests a rise of 12.4% from the year-ago reported number.
Costco’s top line is expected to ascend year over year. The Zacks Consensus Estimate for quarterly revenues is pegged at $78.86 billion, which calls for an increase of 9.4% from the prior-year quarter. COST has a trailing four-quarter earnings surprise of 1.8%, on average.
Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar.