12 Analysts Assess BJ's Wholesale Club Hldgs: What You Need To Know

Across the recent three months, 12 analysts have shared their insights on BJ's Wholesale Club Hldgs (NYSE:BJ), expressing a variety of opinions spanning from bullish to bearish.

The table below offers a condensed view of their recent ratings, showcasing the changing sentiments over the past 30 days and comparing them to the preceding months.

	Bullish	Somewhat Bullish	Indifferent	Somewhat Bearish	Bearish
Total Ratings	3	2	7	0	0
Last 30D	0	0	1	0	0
1M Ago	3	1	6	0	0
2M Ago	0	1	0	0	0
3M Ago	0	0	0	0	0

The 12-month price targets, analyzed by analysts, offer insights with an average target of $116.33, a high estimate of $130.00, and a low estimate of $101.00. This upward trend is evident, with the current average reflecting a 13.96% increase from the previous average price target of $102.08.

Exploring Analyst Ratings: An In-Depth Overview

In examining recent analyst actions, we gain insights into how financial experts perceive BJ's Wholesale Club Hldgs. The following summary outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.

Analyst	Analyst Firm	Action Taken	Rating	Current Price Target	Prior Price Target
Greg Melich	Evercore ISI Group	Lowers	In-Line	$110.00	$115.00
Kate McShane	Goldman Sachs	Raises	Buy	$121.00	$102.00
Karen Short	Barclays	Raises	Equal-Weight	$115.00	$80.00
Michael Baker	DA Davidson	Raises	Buy	$130.00	$123.00
Laura Champine	Loop Capital	Raises	Hold	$110.00	$95.00
Simeon Gutman	Morgan Stanley	Raises	Equal-Weight	$115.00	$98.00
Christopher Horvers	JP Morgan	Raises	Neutral	$109.00	$101.00
Mark Carden	UBS	Raises	Buy	$130.00	$108.00
Paul Lejuez	Citigroup	Raises	Neutral	$115.00	$101.00
Peter Benedict	Baird	Raises	Outperform	$125.00	$115.00
Christopher Horvers	JP Morgan	Raises	Neutral	$101.00	$87.00
Edward Kelly	Wells Fargo	Raises	Overweight	$115.00	$100.00

Key Insights:

• Action Taken: Responding to changing market dynamics and company performance, analysts update their recommendations. Whether they 'Maintain', 'Raise', or 'Lower' their stance, it signifies their response to recent developments related to BJ's Wholesale Club Hldgs. This offers insight into analysts' perspectives on the current state of the company.
• Rating: Unveiling insights, analysts deliver qualitative insights into stock performance, from 'Outperform' to 'Underperform'. These ratings convey expectations for the relative performance of BJ's Wholesale Club Hldgs compared to the broader market.
• Price Targets: Analysts predict movements in price targets, offering estimates for BJ's Wholesale Club Hldgs's future value. Examining the current and prior targets offers insights into analysts' evolving expectations.

For valuable insights into BJ's Wholesale Club Hldgs's market performance, consider these analyst evaluations alongside crucial financial indicators. Stay well-informed and make prudent decisions using our Ratings Table.

Stay up to date on BJ's Wholesale Club Hldgs analyst ratings.

Delving into BJ's Wholesale Club Hldgs's Background

BJ's Wholesale serves as one of the few warehouse club chains in the United States. Its more than 240 warehouses are primarily located along the East Coast, most prominently in the New England area. Similar to its warehouse club peers, BJ's charges annual membership fees and keeps costs down by operating a "no-frills" store environment. The company limits the use of distribution centers where possible and stores inventory on pallets directly on the sales floor, often in bulk quantities. The company also offers a limited assortment of 7,000 stock-keeping units at its warehouses to achieve greater procurement scale on select items. About 80% of BJ's net sales come from grocery items and general merchandise, with the remaining 20% coming from gasoline and other ancillary services.

Unraveling the Financial Story of BJ's Wholesale Club Hldgs

Market Capitalization Perspectives: The company's market capitalization falls below industry averages, signaling a relatively smaller size compared to peers. This positioning may be influenced by factors such as perceived growth potential or operational scale.

Negative Revenue Trend: Examining BJ's Wholesale Club Hldgs's financials over 3 months reveals challenges. As of 31 January, 2025, the company experienced a decline of approximately -1.47% in revenue growth, reflecting a decrease in top-line earnings. In comparison to its industry peers, the company trails behind with a growth rate lower than the average among peers in the Consumer Staples sector.

Net Margin: BJ's Wholesale Club Hldgs's net margin is below industry averages, indicating potential challenges in maintaining strong profitability. With a net margin of 2.32%, the company may face hurdles in effective cost management.

Return on Equity (ROE): The company's ROE is a standout performer, exceeding industry averages. With an impressive ROE of 6.8%, the company showcases effective utilization of equity capital.

Return on Assets (ROA): BJ's Wholesale Club Hldgs's ROA lags behind industry averages, suggesting challenges in maximizing returns from its assets. With an ROA of 1.72%, the company may face hurdles in achieving optimal financial performance.

Debt Management: With a high debt-to-equity ratio of 1.54, BJ's Wholesale Club Hldgs faces challenges in effectively managing its debt levels, indicating potential financial strain.

The Significance of Analyst Ratings Explained

Within the domain of banking and financial systems, analysts specialize in reporting for specific stocks or defined sectors. Their work involves attending company conference calls and meetings, researching company financial statements, and communicating with insiders to publish "analyst ratings" for stocks. Analysts typically assess and rate each stock once per quarter.

Some analysts will also offer forecasts for metrics like growth estimates, earnings, and revenue to provide further guidance on stocks. Investors who use analyst ratings should note that this specialized advice comes from humans and may be subject to error.

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This article was generated by Benzinga's automated content engine and reviewed by an editor.