Ollie’s Bargain Outlet (NASDAQ:OLLI) Announces Earnings Results

Ollie’s Bargain Outlet (NASDAQ:OLLI) released its earnings results on Wednesday. The company reported $1.42 EPS for the quarter, beating the consensus estimate of $1.12 by $0.30, Briefing.com reports. The firm had revenue of $741.31 million for the quarter, compared to analyst estimates of $747.71 million. Ollie’s Bargain Outlet had a net margin of 9.13% and a return on equity of 13.43%. The business’s quarterly revenue was up 9.1% compared to the same quarter last year. During the same period last year, the firm earned $0.99 EPS. 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 Stock Performance

Shares of OLLI traded up $1.53 during mid-day trading on Wednesday, reaching $73.87. The company had a trading volume of 4,831,507 shares, compared to its average volume of 1,621,962. The company has a market capitalization of $4.47 billion, a price-to-earnings ratio of 18.24, a P/E/G ratio of 1.33 and a beta of 0.50. The company’s 50 day simple moving average is $72.24 and its 200 day simple moving average is $84.76. Ollie’s Bargain Outlet has a 1-year low of $60.29 and a 1-year high of $139.21.

Wall Street Analyst Weigh In

Several analysts recently issued reports on the stock. Weiss Ratings lowered shares of Ollie’s Bargain Outlet from a “hold (c)” rating to a “hold (c-)” rating in a research report on Thursday, July 16th. Gordon Haskett restated an “accumulate” rating and set a $90.00 price objective (down from $100.00) on shares of Ollie’s Bargain Outlet in a research report on Thursday, June 4th. Citigroup cut their target price on Ollie’s Bargain Outlet from $111.00 to $100.00 and set a “buy” rating for the company in a research note on Wednesday, August 26th. Morgan Stanley reduced their target price on Ollie’s Bargain Outlet from $120.00 to $108.00 and set an “equal weight” rating on the stock in a report on Thursday, June 4th. Finally, UBS Group decreased their price target on Ollie’s Bargain Outlet from $87.00 to $85.00 and set a “neutral” rating on the stock in a research note on Thursday, August 27th. Thirteen research analysts have rated the stock with a Buy rating and four have issued a Hold rating to the company. Based on data from MarketBeat.com, the company has an average rating of “Moderate Buy” and an average price target of $107.29.

Hedge Funds Weigh In On Ollie’s Bargain Outlet

Several institutional investors and hedge funds have recently added to or reduced their stakes in the stock. Thrivent Financial for Lutherans boosted its position in Ollie’s Bargain Outlet by 0.6% in the second quarter. Thrivent Financial for Lutherans now owns 14,458 shares of the company’s stock valued at $1,905,000 after buying an additional 91 shares in the last quarter. Northwestern Mutual Wealth Management Co. increased its holdings in shares of Ollie’s Bargain Outlet by 49.2% during the fourth quarter. Northwestern Mutual Wealth Management Co. now owns 279 shares of the company’s stock worth $31,000 after buying an additional 92 shares in the last quarter. Lazard Asset Management LLC increased its holdings in shares of Ollie’s Bargain Outlet by 5.8% during the second quarter. Lazard Asset Management LLC now owns 2,508 shares of the company’s stock worth $330,000 after buying an additional 138 shares in the last quarter. Allworth Financial LP lifted its stake in shares of Ollie’s Bargain Outlet by 301.8% in the 3rd quarter. Allworth Financial LP now owns 221 shares of the company’s stock valued at $28,000 after acquiring an additional 166 shares during the last quarter. Finally, CANADA LIFE ASSURANCE Co lifted its stake in shares of Ollie’s Bargain Outlet by 0.4% in the 3rd quarter. CANADA LIFE ASSURANCE Co now owns 45,691 shares of the company’s stock valued at $6,010,000 after acquiring an additional 169 shares during the last quarter.

Ollie’s Bargain Outlet News Summary

Here are the key news stories impacting Ollie’s Bargain Outlet this week:

• Positive Sentiment: Ollie’s reported adjusted earnings of $1.42 per share, well above Wall Street estimates ranging from $1.12 to $1.14 and up from $0.99 a year earlier. The 43% year-over-year increase suggests stronger profitability than expected. Ollie’s Bargain Outlet Q2 Earnings Top Estimates
• Positive Sentiment: Net sales increased 9.1% from the prior-year quarter. Ollie’s also opened 15 stores and grew its Ollie’s Army loyalty membership by 12.7%, supporting the company’s long-term store expansion and customer-retention strategy. Ollie’s Second Quarter Fiscal 2026 Results
• Positive Sentiment: The earnings outperformance indicates that closeout merchandise strength, cost control, or favorable margins helped offset some pressure from cautious consumer spending and higher operating costs. Ollie’s Q2 Earnings Call Transcript
• Neutral Sentiment: The broader market was also trading mostly higher, providing a supportive backdrop, but the company-specific earnings beat appears to be the primary catalyst for OLLI’s move. Dow Surges; Ollie’s Shares Gain After Q2 Earnings
• Negative Sentiment: Revenue fell short of Wall Street expectations, and Ollie’s trimmed its fiscal 2026 sales outlook. The guidance reduction signals that management remains cautious about demand and could temper investor enthusiasm despite the earnings beat. Ollie’s Beats on Earnings, Trims Sales Forecast

Ollie’s Bargain Outlet Company Profile

Ollie’s Bargain Outlet is an American discount retailer specializing in closeout merchandise and surplus inventory across a broad range of categories. The company operates a no-frills retail format that offers branded and private-label products at significant markdowns. Its merchandise mix typically includes housewares, electronics, health and beauty items, food products, beauty supplies, books, toys, and seasonal goods.

Founded in 1982 by Oliver E. “Ollie” Rosenberg, the company is headquartered in Harrisburg, Pennsylvania.