BJ’s Wholesale Club Holdings Inc. (NYSE: BJ) stock jumped 3.51% on Thursday to $69.83 against a previous-day closing price of $67.46. With 1.8 million shares changed hands, the volume of the stock remained lighter than its average volume of 1.91 million shares. During the session, the Discount Stores company that operates in wider Consumer Defensive sector, reached to the highest price of $70.14 whereas the lowest price it dropped to was $67.78. The 52-week range on BJ shows that it touched its highest point at $80.41 and its lowest point at $60.33 during that stretch. It currently has a 1-year price target of $78.06. Beta for the stock currently stands at 0.45.
Price Performance and Earnings:
Stock performance is one of the indicators that investors use to determine whether they will profit from a stock. The price performance of BJ was up-trending over the past week, with a rise of 7.36%, but this was up by 0.71% over a month. Three-month performance surged to 12.27% while six-month performance fell -7.85%. The stock lost -8.22% in the past year, while it has gained 5.55% so far this year. A look at the trailing 12-month EPS for BJ yields 3.74 with Next year EPS estimates of 4.08. For the next quarter, that number is 0.95. This implies an EPS growth rate of 21.90% for this year and 6.11% for next year. EPS is expected to grow by 4.00% annually over the next five years; however, over the past five years, the company experienced an annual growth rate of 88.70%.
Float and Shares Shorts:
At present, 133.32 million BJ shares are outstanding with a float of 132.40 million shares on hand for trading. On Aug 30, 2023, short shares totaled 9.57 million, which was 7.16% higher than short shares on Jul 30, 2023. In addition to Mr. Robert W. Eddy as the firm’s Pres, CEO & Chairman, Ms. Laura L. Felice CPA, CGMA serves as its Exec. VP & CFO.
Through their ownership of 96.19% of BJ’s outstanding shares, institutional investors have majority control over the company. Other institutions hold 63.50% of BJ, in contrast to 37.20% held by mutual funds. Shares owned by individuals account for 11.13%. As the largest shareholder in BJ with 9.83% of the stake, The Vanguard Group, Inc. holds 13,208,731 shares worth 13,208,731. A second-largest stockholder of BJ, BlackRock Fund Advisors, holds 10,734,850 shares, controlling over 7.99% of the firm’s shares. Fidelity Management & Research Co is the third largest shareholder in BJ, holding 10,354,523 shares or 7.71% stake. With a 3.21% stake in BJ, the iShares Core S&P Mid Cap ETF is the largest stakeholder. A total of 4,314,057 shares are owned by the mutual fund manager. The Vanguard Total Stock Market ETF, which owns about 3.11% of BJ stock, is the second-largest Mutual Fund holder. It holds 4,182,128 shares valued at 277.32 million. Vanguard Small Cap Index Fund holds 2.59% of the stake in BJ, owning 3,485,450 shares worth 231.12 million.
Reading analyst opinions is an effective way to decide where to invest, and there are several opinions available for BJ since 0 analysts follow the stock currently. In the same way, a target price assigned to a stock can also reveal much about its potential. With BJ analysts setting a high price target of $90.00 and a low target of $62.00, the average target price over the next 12 months is $76.11. Based on these targets, BJ could surge 28.88% to reach the target high and fall by -11.21% to reach the target low. Reaching the average price target will result in a growth of 8.99% from current levels.
EPS: Estimates vs Actual
It is also common to use earnings estimates to evaluate a firm’s growth potential and to determine trading strategy.
Summary of Insider Activity:
Insiders traded BJ stock several times over the past three months with 0 Buys and 6 Sells. In these transactions, 0 shares were bought while 23,728 shares were sold. The number of buy transactions has increased to 22 while that of sell transactions has risen to 37 over the past year. The total number of shares bought during that period was 478,258 while 330,834 shares were sold.