Casey's General Stores (NASDAQ:CASY) Cut to Hold at Wall Street Zen

Key Points

• Wall Street Zen downgraded Casey’s General Stores to “Hold” from “Buy,” although the broader analyst consensus remains “Moderate Buy,” with 15 Buy ratings and six Holds.
• Analysts have broadly reduced their price targets following the company’s results; the consensus target is now $840.69, while recent targets range from $720 to $933.
• Casey’s beat quarterly expectations with $7.37 in EPS and $5.68 billion in revenue, up 24.3% year over year, but the stock has fallen sharply amid valuation concerns and heavier-than-usual insider selling.

Casey's General Stores (NASDAQ:CASY - Get Free Report) was downgraded by investment analysts at Wall Street Zen from a "buy" rating to a "hold" rating in a report issued on Saturday, Wall Street Zen reports.

CASY has been the subject of a number of other reports. Royal Bank Of Canada decreased their price objective on Casey's General Stores from $913.00 to $910.00 and set a "sector perform" rating for the company in a research report on Wednesday. KeyCorp dropped their target price on Casey's General Stores from $970.00 to $780.00 and set an "overweight" rating on the stock in a report on Thursday. Wells Fargo & Company reduced their price target on shares of Casey's General Stores from $960.00 to $750.00 and set an "overweight" rating for the company in a research report on Wednesday. The Goldman Sachs Group set a $750.00 price target on shares of Casey's General Stores in a report on Wednesday. Finally, Deutsche Bank Aktiengesellschaft reaffirmed a "buy" rating and set a $933.00 price objective on shares of Casey's General Stores in a research report on Thursday. Fifteen analysts have rated the stock with a Buy rating and six have assigned a Hold rating to the company's stock. According to data from MarketBeat.com, Casey's General Stores presently has a consensus rating of "Moderate Buy" and an average target price of $840.69.

Casey's General Stores Stock Down 1.9%

CASY stock opened at $615.47 on Friday. The company has a debt-to-equity ratio of 0.57, a current ratio of 1.02 and a quick ratio of 0.60. The firm has a market capitalization of $22.75 billion, a P/E ratio of 29.65, a P/E/G ratio of 2.05 and a beta of 0.59. Casey's General Stores has a 52-week low of $497.38 and a 52-week high of $927.85. The company's 50 day simple moving average is $815.25 and its 200-day simple moving average is $785.11.

Casey's General Stores (NASDAQ:CASY - Get Free Report) last posted its quarterly earnings data on Tuesday, September 8th. The company reported $7.37 EPS for the quarter, topping analysts' consensus estimates of $6.78 by $0.59. Casey's General Stores had a net margin of 4.14% and a return on equity of 19.68%. The firm had revenue of $5.68 billion during the quarter, compared to analyst estimates of $5.56 billion. During the same quarter last year, the business posted $5.77 EPS. The company's revenue was up 24.3% on a year-over-year basis. As a group, equities research analysts anticipate that Casey's General Stores will post 21.4 EPS for the current year.

Insiders Place Their Bets

In related news, insider Chad Frazell sold 3,013 shares of the stock in a transaction that occurred on Tuesday, June 30th. The stock was sold at an average price of $787.49, for a total value of $2,372,707.37. Following the transaction, the insider owned 9,823 shares in the company, valued at approximately $7,735,514.27. This represents a 23.47% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is accessible through this link. Also, CEO Darren Rebelez sold 19,000 shares of the firm's stock in a transaction that occurred on Tuesday, July 7th. The shares were sold at an average price of $801.46, for a total transaction of $15,227,740.00. Following the transaction, the chief executive officer directly owned 89,174 shares in the company, valued at approximately $71,469,394.04. The trade was a 17.56% decrease in their position. The disclosure for this sale is available in the SEC filing. Insiders have sold a total of 30,243 shares of company stock worth $24,421,877 in the last quarter. Corporate insiders own 0.67% of the company's stock.

Institutional Inflows and Outflows

Several hedge funds have recently modified their holdings of the business. Sequoia Financial Advisors LLC raised its holdings in shares of Casey's General Stores by 3.8% during the 2nd quarter. Sequoia Financial Advisors LLC now owns 4,244 shares of the company's stock valued at $3,373,000 after purchasing an additional 156 shares in the last quarter. National Pension Service increased its position in Casey's General Stores by 3,138.9% during the second quarter. National Pension Service now owns 67,466 shares of the company's stock worth $53,621,000 after buying an additional 65,383 shares during the last quarter. WINTON GROUP Ltd acquired a new position in Casey's General Stores during the second quarter worth $1,907,000. Engineers Gate Manager LP increased its position in Casey's General Stores by 188.3% during the second quarter. Engineers Gate Manager LP now owns 1,534 shares of the company's stock worth $1,219,000 after buying an additional 1,002 shares during the last quarter. Finally, Cidel Asset Management Inc. bought a new position in Casey's General Stores during the second quarter valued at about $201,000. Institutional investors and hedge funds own 85.63% of the company's stock.

Key Headlines Impacting Casey's General Stores

Here are the key news stories impacting Casey's General Stores this week:

• Positive Sentiment: Casey’s reported fiscal Q1 EPS of $7.37, exceeding the $6.78 consensus estimate, while revenue reached approximately $5.68 billion versus expectations of $5.56 billion. Revenue increased 24.3% year over year. Why Did Casey's General Stores Stock Tank This Week?
• Positive Sentiment: Management maintained its fiscal 2027 outlook, citing prepared-food traffic, fuel margins and the CEFCO remodel program as support for continued growth. CASY Q1 Earnings Call Keeps Outlook Intact on Food, Fuel Strength
• Positive Sentiment: Stephens reaffirmed its “Overweight” rating, and some analysts view the sharp selloff as a potential buying opportunity despite reducing their price targets. Stephens Reaffirms Overweight Rating
• Neutral Sentiment: UBS lowered its price target from $925 to $720 and shifted to a “Neutral” rating. Although the new target implies upside from recent trading levels, the reduction signals diminished confidence in near-term valuation expansion. Analysts Cut Forecasts After Q1 Results
• Negative Sentiment: The earnings beat failed to reassure investors because analysts broadly cut price targets after the report. Wells Fargo issued a pessimistic forecast, reinforcing concerns that expectations and Casey’s valuation remain too high even with solid operating results. Wells Fargo Issues Pessimistic Forecast
• Negative Sentiment: CASY is headed for one of its worst weekly performances in years as investors question whether the current growth plan can continue delivering at the pace implied by the stock’s prior valuation. CASY Stock Heads for Worst Week in 17 Years

About Casey's General Stores

Casey’s General Stores, Inc NASDAQ: CASY is a U.S.-based convenience store chain that operates retail fuel stations and food-focused convenience outlets. Founded in 1959 in Boone, Iowa, the company has grown from a single neighborhood store into a regional operator known for combining traditional convenience retailing—fuel, packaged goods and tobacco—with a larger emphasis on fresh and prepared foods.

The company’s stores typically offer gasoline and diesel alongside a range of grocery essentials, grab-and-go items and made-to-order foodservice.

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