Undoubtedly, BJ’s Wholesale Club Holdings, Inc. (NYSE:BJ) has been one of the most volatile stocks in the market in recent times, and the way it handled Thursday’s volatility suggests the stock may be poised to rise heading into short-terms. The shares accumulated 0.22 points or 0.86 percent at $25.94 with a heavy trade volume of 1.991 million shares. After opening the session at $25.72, the shares went as high as $26.35 and as low as $25.63, the range within which the stock’s price traded throughout the day. The firm is left with a market cap of $3.6 billion and now has 138.66 million shares outstanding. BJ’s Wholesale Club Holdings, Inc. (BJ) stock has gained 1.85 percent of market value in 21 trading days.
BJ stock has a trailing 3-year beta of 0, offering the possibility of a lower rate of return, but also posing less risk. The portion of a company’s profit allocated to each outstanding share of common stock was $0.73 a share in the trailing twelve months. The stock’s value has surged 17.06 percent year to date (YTD) against a decline of 0 percent in 12 month’s time. The company’s shares still trade -21.2 percent away from its 1-year high of $32.92 and 34.33 percent up from 52-week low of $19.31. The average consensus rating on the company is 2.1, on a scale where 5 equates to a unanimous sell rating. In short, the mean analyst recommendations are calling this stock a sell.
BJ’s Wholesale Club Holdings, Inc. (BJ) will probably climb 14.46 percent over the next 12 months, according to price target estimates compiled by finviz. Meanwhile, they have set a $38-month high price target. This represents a whopping 46.49 percent increase from where shares are trading today. The 12-month median price target assigned by the analysts stands at $29.5, which represents a return potential of 13.72 percent when compared to the closing price of the stock of $25.94 on Thursday, March 14. The lowest price target for the stock is $16 — slightly more than -38.32 percent from BJ’s current share price.
History has shown that shares in BJ’s Wholesale Club Holdings, Inc. have gone up on 1 different earnings reaction days and are predicted to add 0.05 percent when the company reports upcoming earnings.
The stock is currently hovering around the first support level of $25.6. Below this, the next support is placed in the zone of $25.25. Till the time, the BJ stock trades above this level, bulls have nothing to fear. On momentum oscillators front, ‘RSI’ has touched 55.01 on daily chart, which may remain a cause for concern. If the price breaks below $25.25 level on closing basis, then we may see more profit booking and the stock may show further weakness. On the flipside, hitting the $26.32 mark may result into a pull-back move towards $26.69 level.
Further, it is sporting a 0.27 on the Price-to-Sales ratio. Compare this with the industry average P/S of 1.32. 17.9 percent is the gross profit margin for BJ’s Wholesale Club Holdings, Inc. and operating margin sits at 2.2 percent. Along with this, the net profit margin is 1 percent.