Ollie’s Bargain Outlet (NASDAQ:OLLI) Posts Earnings Results, Beats Expectations By $0.30 EPS

Ollie’s Bargain Outlet (NASDAQ:OLLI) issued its earnings results on Wednesday, September 2nd. The company reported $1.42 earnings per share (EPS) for the quarter, beating the consensus estimate of $1.12 by $0.30, Briefing.com reports. Ollie’s Bargain Outlet had a return on equity of 14.54% and a net margin of 9.79%. The company had revenue of $741.31 million during the quarter, compared to analysts’ expectations of $747.71 million. During the same period in the prior year, the business earned $0.99 EPS. The firm’s quarterly revenue was up 9.1% on a year-over-year basis. Ollie’s Bargain Outlet updated its FY 2026 guidance to 4.570-4.650 EPS.

Here are the key takeaways from Ollie’s Bargain Outlet’s conference call:

• Comparable-store sales declined 1.8% in Q2, pressured by unfavorable weather, economic pressure on lower-income consumers, higher fuel costs, and an elevated promotional environment. Lower-income shoppers are prioritizing necessities and shopping less frequently, while some customers are staying closer to home.
• Net sales increased 9.1% to $741 million, supported by new store openings, while adjusted EPS rose 43% to $1.42. The company opened 50 stores in Q2 and remains on track for 75 openings this fiscal year.
• Gross margin expanded 360 basis points to 43.5%, and adjusted EBITDA margin rose to 17.1%, primarily due to $28 million of IEEPA tariff refunds. Management plans to reinvest part of the benefit in price reductions to reinforce Ollie’s value leadership, although the tariff benefit is viewed as temporary.
• Fiscal 2026 guidance was tempered to flat to 0.5% comparable-sales growth and adjusted EPS of $4.57 to $4.65, reflecting weaker recent trends. Management expects a modest sales acceleration in Q4, citing strong holiday deal flow, loyalty events, and more favorable comparisons.
• Customer engagement and long-term expansion initiatives remain strong, with Ollie’s Army membership up 13% to more than 18 million members, a robust closeout sourcing pipeline, distribution-center investments, and $137 million of share repurchases completed through the first half.

Ollie’s Bargain Outlet Trading Up 1.3%

Shares of NASDAQ:OLLI opened at $86.44 on Tuesday. The company has a market capitalization of $5.13 billion, a PE ratio of 19.29, a P/E/G ratio of 1.41 and a beta of 0.41. Ollie’s Bargain Outlet has a twelve month low of $60.29 and a twelve month high of $133.28. The firm has a 50 day simple moving average of $78.83 and a 200-day simple moving average of $79.52.

Wall Street Analyst Weigh In

A number of analysts have recently issued reports on OLLI shares. Wells Fargo & Company set a $98.00 price target on shares of Ollie’s Bargain Outlet in a report on Thursday, September 3rd. The Goldman Sachs Group lowered their price objective on shares of Ollie’s Bargain Outlet from $112.00 to $100.00 and set a “buy” rating for the company in a research note on Thursday, September 3rd. JPMorgan Chase & Co. increased their price target on Ollie’s Bargain Outlet from $70.00 to $73.00 and gave the company a “neutral” rating in a research report on Tuesday, August 18th. Craig Hallum reaffirmed a “buy” rating and set a $120.00 price target on shares of Ollie’s Bargain Outlet in a report on Thursday, September 3rd. Finally, Citigroup lowered their price objective on Ollie’s Bargain Outlet from $100.00 to $98.00 and set a “buy” rating for the company in a research report on Friday, September 4th. Thirteen analysts have rated the stock with a Buy rating and four have assigned a Hold rating to the company. Based on data from MarketBeat, the stock has an average rating of “Moderate Buy” and an average price target of $102.43.

Ollie’s Bargain Outlet Company Profile

Ollie’s Bargain Outlet Holdings, Inc operates Ollie’s Bargain Outlet, a U.S. retailer specializing in closeout, excess, and salvage merchandise. Its stores offer a constantly changing selection of brand-name products at discounted prices, with inventory varying based on availability and opportunistic purchasing.

The company’s merchandise generally includes housewares, food, hardware, toys, seasonal goods, books, flooring, apparel, and other consumer products. Ollie’s uses a treasure-hunt-style shopping experience, with stores organized to emphasize value and frequently changing assortments.

Founded in 1982 in Mechanicsburg, Pennsylvania, Ollie’s has expanded into a national retail chain serving customers across numerous U.S.