Massive Arctic Storm to Disrupt Retail Earnings Across U.S.
Written by Emily J. Thompson, Senior Investment Analyst
Source: seekingalpha
- Storm Impact Area: A massive winter storm is forecasted to sweep across a 2,000-mile stretch from the Southern Plains to the Northeast, causing heavy snow, ice, and extreme cold, leading to significant travel and power disruptions in major cities.
- Retail Demand Fluctuations: Grocery and home improvement stores are expected to see demand spikes during the storm, while dine-in restaurants, malls, and discretionary retail may face Q1 revenue headwinds as consumers shelter indoors.
- Earnings Expectations Reset: Just a few days of closures in affected areas could reset earnings expectations, making this southern storm a more significant issue compared to typical Midwest or East Coast winter storms.
- Restaurant Sector Strain: Companies like Dunkin', Darden, and McDonald's have previously cited severe winter weather as a drag on traffic, indicating that this storm could similarly impact their performance.
Analyst Views on BJ
Wall Street analysts forecast BJ stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for BJ is 107.36 USD with a low forecast of 90.00 USD and a high forecast of 139.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
17 Analyst Rating
10 Buy
6 Hold
1 Sell
Moderate Buy
Current: 95.460
Low
90.00
Averages
107.36
High
139.00
Current: 95.460
Low
90.00
Averages
107.36
High
139.00
About BJ
BJ’s Wholesale Club Holdings, Inc. is an operator of membership warehouse clubs concentrated primarily on the eastern half of the United States. The Company provides a wide assortment of fresh foods, produce, a full-service deli, fresh bakery, household essentials and gas. It also offers technology, home decor, apparel, seasonal items, among others. It groups its merchandise offerings into two divisions: perishables, grocery and sundries, and general merchandise and services. Perishables, grocery, and sundries consist of meat, produce, dairy, deli and frozen products, packaged foods, beverages, detergents, disinfectants, paper products, beauty care, adult and baby care, and pet foods. General merchandise and services consist of electronics, apparel, seasonal goods, small appliances, televisions, furniture, optical, tires and third-party gift cards. It offers specialty services, such as full-service optical centers, tire installation services, a propane tank filling service, and others.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
