Earnings Outlook For BJ's Wholesale Club

BJ's Wholesale Club BJ is preparing to release its quarterly earnings on Thursday, 2025-05-22. Here's a brief overview of what investors should keep in mind before the announcement.

Analysts expect BJ's Wholesale Club to report an earnings per share (EPS) of $0.91.

Investors in BJ's Wholesale Club are eagerly awaiting the company's announcement, hoping for news of surpassing estimates and positive guidance for the next quarter.

It's worth noting for new investors that stock prices can be heavily influenced by future projections rather than just past performance.

Performance in Previous Earnings

During the last quarter, the company reported an EPS beat by $0.06, leading to a 2.82% increase in the share price on the subsequent day.

Here's a look at BJ's Wholesale Club's past performance and the resulting price change:

BJ's Wholesale Club Share Price Analysis

Shares of BJ's Wholesale Club were trading at $119.08 as of May 20. Over the last 52-week period, shares are up 40.98%. Given that these returns are generally positive, long-term shareholders are likely bullish going into this earnings release.

Analysts' Take on BJ's Wholesale Club

For investors, staying informed about market sentiments and expectations in the industry is paramount. This analysis provides an exploration of the latest insights on BJ's Wholesale Club.

The consensus rating for BJ's Wholesale Club is Neutral, derived from 14 analyst ratings. An average one-year price target of $118.79 implies a potential 0.24% downside.

Analyzing Analyst Ratings Among Peers

In this comparison, we explore the analyst ratings and average 1-year price targets of and Dollar General, three prominent industry players, offering insights into their relative performance expectations and market positioning.

• Analysts currently favor an Neutral trajectory for Dollar General, with an average 1-year price target of $88.75, suggesting a potential 25.47% downside.

Peers Comparative Analysis Summary

The peer analysis summary presents essential metrics for and Dollar General, unveiling their respective standings within the industry and providing valuable insights into their market positions and comparative performance.

Key Takeaway:

BJ's Wholesale Club is at the bottom for Revenue Growth and Gross Profit, while it is at the top for Return on Equity among its peers.

Unveiling the Story Behind BJ's Wholesale Club

BJ's Wholesale serves as one of the few warehouse club chains in the United States. Its 250 warehouses are primarily located along the East Coast, most prominently in the New England area. Similar to its warehouse club peers, BJ's charges annual membership fees and keeps costs down by operating a "no-frills" store environment. The company limits the use of distribution centers where possible and stores inventory on pallets directly on the sales floor, often in bulk quantities. The company also offers a limited assortment of 7,000 stock-keeping units at its warehouses to achieve greater procurement scale on select items. About 80% of BJ's net sales come from grocery items and general merchandise, with the remaining 20% coming from gasoline and other ancillary services.

BJ's Wholesale Club's Economic Impact: An Analysis

Market Capitalization Analysis: Reflecting a smaller scale, the company's market capitalization is positioned below industry averages. This could be attributed to factors such as growth expectations or operational capacity.

Revenue Growth: BJ's Wholesale Club's revenue growth over a period of 3 months has faced challenges. As of 31 January, 2025, the company experienced a revenue decline of approximately -1.47%. This indicates a decrease in the company's top-line earnings. When compared to others in the Consumer Staples sector, the company faces challenges, achieving a growth rate lower than the average among peers.

Net Margin: BJ's Wholesale Club's net margin is below industry standards, pointing towards difficulties in achieving strong profitability. With a net margin of 2.32%, the company may encounter challenges in effective cost control.

Return on Equity (ROE): BJ's Wholesale Club's financial strength is reflected in its exceptional ROE, which exceeds industry averages. With a remarkable ROE of 6.8%, the company showcases efficient use of equity capital and strong financial health.

Return on Assets (ROA): BJ's Wholesale Club's ROA is below industry standards, pointing towards difficulties in efficiently utilizing assets. With an ROA of 1.72%, the company may encounter challenges in delivering satisfactory returns from its assets.

Debt Management: BJ's Wholesale Club's debt-to-equity ratio stands notably higher than the industry average, reaching 1.54. This indicates a heavier reliance on borrowed funds, raising concerns about financial leverage.

To track all earnings releases for BJ's Wholesale Club visit their earnings calendar on our site.

This article was generated by Benzinga's automated content engine and reviewed by an editor.