BJ's Wholesale Club (BJ) Stock Moves -1%: What You Should Know
In the latest trading session, BJ's Wholesale Club (BJ) closed at $67.37, marking a -1% move from the previous day. This change was narrower than the S&P 500's daily loss of 1.21%. Meanwhile, the Dow lost 0.33%, and the Nasdaq, a tech-heavy index, lost 0.49%.
Prior to today's trading, shares of the wholesale membership warehouse operator had gained 6.46% over the past month. This has outpaced the Consumer Discretionary sector's gain of 4.92% and the S&P 500's gain of 5.85% in that time.
Wall Street will be looking for positivity from BJ's Wholesale Club as it approaches its next earnings report date. The company is expected to report EPS of $0.72, unchanged from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $4.16 billion, up 7.61% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $3.27 per share and revenue of $17.65 billion. These totals would mark changes of +0.62% and +5.87%, respectively, from last year.
Any recent changes to analyst estimates for BJ's Wholesale Club should also be noted by investors. These revisions typically reflect the latest short-term business trends, which can change frequently. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. The Zacks Consensus EPS estimate remained stagnant within the past month. BJ's Wholesale Club currently has a Zacks Rank of #3 (Hold).
Digging into valuation, BJ's Wholesale Club currently has a Forward P/E ratio of 20.8. For comparison, its industry has an average Forward P/E of 12.16, which means BJ's Wholesale Club is trading at a premium to the group.
We can also see that BJ currently has a PEG ratio of 2.65. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. BJ's industry had an average PEG ratio of 1.28 as of yesterday's close.
The Consumer Services - Miscellaneous industry is part of the Consumer Discretionary sector. This industry currently has a Zacks Industry Rank of 171, which puts it in the bottom 33% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.
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BJ's Wholesale Club Holdings, Inc. (BJ) : Free Stock Analysis Report
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