Ollie’s Bargain Outlet Q2 net sales miss estimates

Ollie's Bargain Outlet Holdings

02/09/2026 12:11

Overview
U.S. off-price retailer's Q2 net sales rose 9.1% but missed analyst expectations
Adjusted EPS for Q2 grew 43% and beat analyst expectations
Comparable store sales fell 1.8% due to weather, economic pressures, and promotions

Outlook
Company now sees fiscal 2026 net sales of $2.928 bln to $2.941 bln, down from $2.980 bln to $3.000 bln
Ollie's expects fiscal 2026 comparable store sales growth of 0% to 0.5%, down from ~2%
Company raises fiscal 2026 gross margin outlook to ~41.3% from ~40.7%

Result Drivers
STORE OPENINGS - Net sales growth was driven by new store unit growth, per company statement
COMPARABLE SALES DECLINE - Company said comparable store sales fell 1.8% due to less favorable weather, economic pressures on consumers, and elevated promotions
GROSS MARGIN BOOST - Gross margin increased 360 basis points, mainly due to lower supply chain costs from IEEPA tariff refunds and reduced tariff rates

Company press release: ID:nGNX3ktMmF

Key Details
Metric
Beat/Miss
Actual
Consensus Estimate
Q2 Net sales
Miss
$741.31 mln
$754.55 mln (14 Analysts)
Q2 Adjusted EPS
Beat
$1.42
$1.14 (15 Analysts)
Q2 Comparable store sales Growth
 
-1.80%
 

Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 13 "strong buy" or "buy", 3 "hold" and no "sell" or "strong sell"
The average consensus recommendation for the discount stores peer group is "buy"
Wall Street's median 12-month price target for Ollie's Bargain Outlet Holdings Inc is $112.00, about 54.8% above its September 1 closing price of $72.34
The stock recently traded at 15 times the next 12-month earnings vs. a P/E of 18 three months ago

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)