BJ's Wholesale Club (NYSE:BJ) Stock Price Down 3.8% - What's Next?

Key Points

• BJ’s Wholesale Club shares fell 3.8% to about $91.89, with trading volume down 87% from its average session volume.
• The company reported stronger-than-expected quarterly results, with EPS of $1.36 versus the $1.17 consensus and revenue of $6.23 billion, up 15.7% year over year. Full-year guidance is $4.60–$4.80 in EPS.
• Analyst sentiment is mixed but leans positive: 10 analysts rate the stock a Buy, nine a Hold, and one a Sell, with a consensus price target of $106.06. Insiders sold about $8.7 million of shares last quarter, while institutional investors own 98.6% of the stock.

BJ's Wholesale Club Holdings, Inc. (NYSE:BJ - Get Free Report)'s stock price fell 3.8% on Wednesday. The stock traded as low as $91.30 and last traded at $91.8850. Approximately 261,230 shares were traded during trading, a decline of 87% from the average session volume of 1,948,698 shares. The stock had previously closed at $95.49.

Wall Street Analysts Forecast Growth

BJ has been the subject of several recent research reports. Gordon Haskett upgraded BJ's Wholesale Club from a "hold" rating to a "buy" rating and set a $115.00 price target for the company in a research note on Wednesday, July 29th. Wall Street Zen raised BJ's Wholesale Club from a "hold" rating to a "buy" rating in a report on Saturday, August 29th. Weiss Ratings raised shares of BJ's Wholesale Club from a "hold (c)" rating to a "hold (c+)" rating in a research report on Wednesday, August 26th. DA Davidson upped their price target on shares of BJ's Wholesale Club from $105.00 to $108.00 and gave the company a "buy" rating in a research note on Monday, August 24th. Finally, Citigroup raised their price target on shares of BJ's Wholesale Club from $100.00 to $111.00 and gave the stock a "buy" rating in a research report on Monday, August 24th. Ten research analysts have rated the stock with a Buy rating, nine have issued a Hold rating and one has issued a Sell rating to the company. According to data from MarketBeat, BJ's Wholesale Club presently has an average rating of "Hold" and a consensus target price of $106.06.

BJ's Wholesale Club Price Performance

The company has a fifty day simple moving average of $93.75 and a two-hundred day simple moving average of $92.65. The stock has a market capitalization of $11.50 billion, a price-to-earnings ratio of 19.91, a PEG ratio of 2.84 and a beta of 0.18. The company has a debt-to-equity ratio of 0.18, a quick ratio of 0.19 and a current ratio of 0.73.

BJ's Wholesale Club (NYSE:BJ - Get Free Report) last released its earnings results on Friday, August 21st. The company reported $1.36 earnings per share (EPS) for the quarter, topping the consensus estimate of $1.17 by $0.19. BJ's Wholesale Club had a return on equity of 27.40% and a net margin of 2.64%.The company had revenue of $6.23 billion for the quarter, compared to analyst estimates of $5.97 billion. During the same period in the prior year, the firm posted $1.14 EPS. BJ's Wholesale Club's quarterly revenue was up 15.7% on a year-over-year basis. BJ's Wholesale Club has set its FY 2026 guidance at 4.600-4.800 EPS. As a group, equities research analysts expect that BJ's Wholesale Club Holdings, Inc. will post 4.7 earnings per share for the current fiscal year.

Insider Transactions at BJ's Wholesale Club

In other BJ's Wholesale Club news, CEO Robert W. Eddy sold 73,016 shares of the business's stock in a transaction dated Wednesday, July 29th. The stock was sold at an average price of $100.02, for a total transaction of $7,303,060.32. Following the completion of the transaction, the chief executive officer owned 282,330 shares of the company's stock, valued at approximately $28,238,646.60. The trade was a 20.55% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, SVP Joseph Mcgrail sold 1,500 shares of the stock in a transaction dated Tuesday, August 25th. The stock was sold at an average price of $96.65, for a total transaction of $144,975.00. Following the completion of the transaction, the senior vice president directly owned 13,269 shares of the company's stock, valued at $1,282,448.85. This trade represents a 10.16% decrease in their position. The SEC filing for this sale provides additional information. In the last quarter, insiders sold 87,416 shares of company stock worth $8,699,844. Company insiders own 1.10% of the company's stock.

Institutional Trading of BJ's Wholesale Club

A number of hedge funds have recently added to or reduced their stakes in BJ. Victory Capital Management Inc. grew its position in BJ's Wholesale Club by 57.2% during the 4th quarter. Victory Capital Management Inc. now owns 12,930,288 shares of the company's stock worth $1,164,114,000 after acquiring an additional 4,704,423 shares during the last quarter. BlackRock Inc. bought a new stake in shares of BJ's Wholesale Club during the second quarter worth about $1,087,503,000. Franklin Resources Inc. grew its holdings in shares of BJ's Wholesale Club by 12.8% during the fourth quarter. Franklin Resources Inc. now owns 6,514,642 shares of the company's stock worth $586,513,000 after purchasing an additional 737,130 shares during the last quarter. River Road Asset Management LLC increased its stake in shares of BJ's Wholesale Club by 9.6% in the fourth quarter. River Road Asset Management LLC now owns 3,403,710 shares of the company's stock valued at $306,436,000 after buying an additional 297,952 shares during the period. Finally, Wellington Management Group LLP raised its holdings in BJ's Wholesale Club by 15.4% in the 2nd quarter. Wellington Management Group LLP now owns 3,282,291 shares of the company's stock valued at $286,281,000 after buying an additional 436,827 shares during the last quarter. Institutional investors and hedge funds own 98.60% of the company's stock.

BJ's Wholesale Club Company Profile

BJ's Wholesale Club Holdings, Inc operates a membership-based warehouse club business in the United States. Through its BJ's Wholesale Club locations, the company offers members a broad selection of products at discounted prices, including groceries, fresh foods, household essentials, electronics, appliances, furniture, apparel, health and beauty products, and seasonal merchandise.

The company also operates gasoline stations at many of its clubs and provides services such as optical, tire, and home-improvement offerings in select locations.

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