William Blair analyst Phillip Blee has maintained their bullish stance on BJ stock, giving a Buy rating on November 14.
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Phillip Blee’s rating is based on a combination of factors, including BJ’s Wholesale Club’s ability to deliver a stronger-than-expected earnings per share (EPS) despite mixed third-quarter results. While the company’s comparable sales growth, excluding fuel, fell slightly short of market expectations, the increase in membership fee income was in line with consensus, indicating a stable revenue stream.
Additionally, BJ’s Wholesale Club demonstrated an adjusted EBITDA margin that surpassed consensus estimates, highlighting effective cost management. The company’s flat merchandise margin year-over-year further emphasizes its pricing power and operational efficiency. These positive financial indicators contribute to the Buy rating, reflecting confidence in the company’s potential for continued growth and profitability.
In another report released on November 14, UBS also maintained a Buy rating on the stock with a $125.00 price target.