Ollie's Bargain Outlet (NASDAQ:OLLI) Stock Price Down 5.8% After Analyst Downgrade

Key Points

• Ollie’s Bargain Outlet shares fell 5.8% after Morgan Stanley cut its price target to $108 from $120 while keeping an equal-weight rating. The stock traded as low as $74.97 during the session.
• Analyst views were mixed, with UBS and Gordon Haskett also lowering targets to $87 and $90, respectively, while several firms maintained bullish ratings. Overall, the stock still carries a consensus Moderate Buy rating and a $125.13 target price.
• The selloff came despite strong Q1 results: earnings beat estimates, revenue rose 14.2% year over year, and management raised FY2026 guidance. The company also reported margin expansion, reinforcing confidence in its discount retail model.

Ollie's Bargain Outlet Holdings, Inc. (NASDAQ:OLLI - Get Free Report)'s stock price was down 5.8% on Thursday after Morgan Stanley lowered their price target on the stock from $120.00 to $108.00. Morgan Stanley currently has an equal weight rating on the stock. Ollie's Bargain Outlet traded as low as $74.97 and last traded at $75.0950. Approximately 1,274,526 shares were traded during mid-day trading, a decline of 8% from the average daily volume of 1,390,465 shares. The stock had previously closed at $79.74.

Other equities research analysts have also recently issued research reports about the company. Gordon Haskett reaffirmed an "accumulate" rating and set a $90.00 target price (down from $100.00) on shares of Ollie's Bargain Outlet in a research report on Thursday. The Goldman Sachs Group set a $129.00 price target on shares of Ollie's Bargain Outlet in a research report on Thursday. Weiss Ratings downgraded shares of Ollie's Bargain Outlet from a "hold (c+)" rating to a "hold (c)" rating in a report on Wednesday, April 22nd. UBS Group lowered their target price on shares of Ollie's Bargain Outlet from $125.00 to $87.00 and set a "neutral" rating on the stock in a research note on Thursday. Finally, Truist Financial set a $135.00 target price on shares of Ollie's Bargain Outlet in a report on Friday, March 13th. Fourteen investment analysts have rated the stock with a Buy rating and three have assigned a Hold rating to the company. Based on data from MarketBeat.com, Ollie's Bargain Outlet has an average rating of "Moderate Buy" and a consensus target price of $125.13.

Insider Activity

In other news, Chairman John W. Swygert sold 5,231 shares of the company's stock in a transaction dated Tuesday, March 31st. The shares were sold at an average price of $92.09, for a total transaction of $481,722.79. Following the completion of the transaction, the chairman owned 48,200 shares of the company's stock, valued at approximately $4,438,738. This represents a 9.79% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last quarter, insiders have sold 12,459 shares of company stock worth $1,149,218. Insiders own 0.75% of the company's stock.

Key Ollie's Bargain Outlet News

Here are the key news stories impacting Ollie's Bargain Outlet this week:

• Positive Sentiment: Ollie's Bargain Outlet delivered a Q1 earnings beat, with sales up 14%, comps rising 1.7%, and margin expansion, reinforcing the strength of its discount retail model. Ollie's Bargain Outlet Holdings, Inc. Announces First Quarter Fiscal 2026 Results
• Positive Sentiment: Management raised fiscal 2026 earnings guidance, signaling confidence that recent sales momentum and profitability trends can continue. Q1 earnings transcript and report
• Positive Sentiment: Loop Capital reaffirmed a buy rating and set a $135 price target, implying substantial upside from current levels. Loop Capital rating update via Benzinga
• Neutral Sentiment: UBS lowered its price target to $87 from $125 and kept a neutral rating, reflecting a more cautious view on the stock. UBS target cut via Street Insider
• Neutral Sentiment: Gordon Haskett reiterated an accumulate rating but trimmed its target to $90 from $100, suggesting continued support with some valuation caution. Gordon Haskett rating update via Benzinga

Institutional Trading of Ollie's Bargain Outlet

A number of institutional investors and hedge funds have recently added to or reduced their stakes in the business. Allworth Financial LP boosted its holdings in Ollie's Bargain Outlet by 301.8% during the third quarter. Allworth Financial LP now owns 221 shares of the company's stock valued at $28,000 after purchasing an additional 166 shares in the last quarter. Cornerstone Planning Group LLC raised its holdings in shares of Ollie's Bargain Outlet by 218.8% in the 4th quarter. Cornerstone Planning Group LLC now owns 255 shares of the company's stock worth $27,000 after buying an additional 175 shares in the last quarter. Maseco LLP bought a new position in shares of Ollie's Bargain Outlet during the 4th quarter worth approximately $30,000. Northwestern Mutual Wealth Management Co. grew its position in Ollie's Bargain Outlet by 49.2% in the fourth quarter. Northwestern Mutual Wealth Management Co. now owns 279 shares of the company's stock valued at $31,000 after acquiring an additional 92 shares during the period. Finally, Shell Asset Management Co. acquired a new position in Ollie's Bargain Outlet during the third quarter worth $37,000.

Ollie's Bargain Outlet Trading Down 5.7%

The firm has a market cap of $4.56 billion, a P/E ratio of 19.31, a price-to-earnings-growth ratio of 1.39 and a beta of 0.46. The company's fifty day moving average price is $86.76 and its two-hundred day moving average price is $103.35.

Ollie's Bargain Outlet (NASDAQ:OLLI - Get Free Report) last announced its earnings results on Wednesday, June 3rd. The company reported $0.91 EPS for the quarter, topping the consensus estimate of $0.87 by $0.04. The business had revenue of $658.93 million for the quarter, compared to the consensus estimate of $661.65 million. Ollie's Bargain Outlet had a return on equity of 13.18% and a net margin of 9.08%.Ollie's Bargain Outlet's revenue was up 14.2% compared to the same quarter last year. During the same period in the previous year, the business earned $0.75 EPS. Ollie's Bargain Outlet has set its FY 2026 guidance at 4.450-4.550 EPS. On average, analysts predict that Ollie's Bargain Outlet Holdings, Inc. will post 4.48 EPS for the current fiscal year.

About Ollie's Bargain Outlet

Ollie's Bargain Outlet is an American discount retailer specializing in closeout merchandise and surplus inventory across a broad range of categories. The company operates a no-frills retail format that offers branded and private-label products at significant markdowns. Its merchandise mix typically includes housewares, electronics, health and beauty items, food products, beauty supplies, books, toys, and seasonal goods.

Founded in 1982 by Oliver E. “Ollie” Rosenberg, the company is headquartered in Harrisburg, Pennsylvania.

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