Ollie's Bargain Outlet (OLLI) PT Raised to $130 at RBC Capital; 'Underlying Trends Strong Into Likely 2025 Share Gains'

RBC Capital analyst Steven Shemesh raised the price target on Ollie's Bargain Outlet (NASDAQ: OLLI) to $130.00 (from $120.00) while maintaining a Outperform rating.

The analyst said: "3Q'24 Review - Better Than Feared; Underlying Trends Strong Into Likely 2025 Share Gains.

Liquidation impact was not as bad as feared, implied 4Q guidance suggests underlying comp trends remain strong, and 10% unit growth in 2025 seems more realistic. These items de-risk the story to some degree into likely market share gains in 2025 (as of 11/19 ~205 Big Lots stores located within 10 miles of an OLLI have been announced for closure; we estimate the majority of these stores will close their doors by the end of F4Q - link to note). We adjust our 4Q comp sales estimate to +3.0% (+2.0% prior) and adj. EPS estimate to $1.22 ($1.17 prior). For 2025/2026, we model comp sales +3.5%/+2.0% (unch) and adj. EPS $3.92/$4.35 ($3.84/ $4.28 prior). Our PT comes up to $130 ($120 prior) based on ~30x our revised 2026 adj. EPS estimate of $4.35."

You May Also Be Interested In

• Golar LNG Ltd. (GLNG) PT Raised to $70 at BTIG
• Lucid Group unveils Gravity GT-S SUV starting at $125,900
• MicroVision launches public offering of shares and warrants