Jeffries said Ollie’s Bargain Outlet is a leader in a growing niche that the market hasn’t yet fully appreciated.同社は木曜日、このディスカウント小売業者を保留買いに格上げした。 The company also raised its price target to $130 from $120, suggesting about 42% upside potential. Shares rose more than 3% in afternoon trading. Jefferies analyst Randall Connick said the company has a unique moat in its ability to buy excess inventory cheaply and at scale, which was one of the driving forces behind the company’s upgrade. The analyst said Ollie’s trades at a lower valuation than Five Below despite similar growth and has more stores and a national footprint than its competitors in the discount retail space. “At a time when scale matters most, OLLI is number one in closeout, or unsold inventory,” Connick said. “OLLI stock is downgraded due to weak new store performance in the fourth quarter due to a deliberate soft-opening strategy, as well as peak margin concerns, freight transportation uncertainty, and company durability. As the cohort matures, this approach could smooth out the rally and better position the company for growth.” Olli’s has approximately 645 stores (compared to its next closest competitor, 159 stores) and twice as many distribution centers, and management said: 1,300 店舗までの成長の機会を見込んでいる、とアナリストは述べた。 Additionally, with the retail industry under pressure, more clearance items are available at discounted prices, but fewer buyers are competing for them, he added. “Closeout has shifted from a tactical outlet to a structural channel as big-box rationalization reduces vendor pricing power,” Konik said. “Retail stress amplifies deal flow, but is no longer necessary for OLLI to source product.” —CNBC’s Michael Bloom contributed reporting.
