BJ's Wholesale Club Holdings, Inc. (BJ)

Over the past six months, BJ's Wholesale Club Holdings, Inc. stock price has declined by approximately 19.11%. Third Quarter Fiscal 2025 earnings showed adjusted EPS surpassing expectations and revenue aligning with estimates, with comparable club sales increasing and membership fee income surging, though the stock saw a pre-market decline. Second Quarter Fiscal 2025 earnings showed an increase in revenue, fueled by digital adoption and membership growth, with comparable club sales declining due to lower gasoline prices but climbing excluding fuel. An increase in annual membership fees, effective January 2025, is anticipated to positively impact membership fee income.

BJ's Wholesale Club experiences demand seasonality, particularly around the holiday season with Black Friday deals and promotions. Categories tied to discretionary and seasonal spending can be pressured during other times of the year, with unfavorable weather trends impacting sales. Core grocery, perishables, and sundries divisions tend to show more consistent growth, as these are considered everyday essentials. BJ's leverages its digital platforms to support seasonal shopping.

BJ's Wholesale Club Holdings, Inc. operates as a membership-only warehouse club chain, primarily in the eastern United States, offering discounted prices on a wide array of products and services. The company operates in the Retail Trade sector, specifically the Specialty Stores or Retailing - Warehouse Club industry. Its business model combines a curated assortment of goods with a treasure-hunt atmosphere. The company's major product offerings span grocery and general merchandise and services, including private label brands and gasoline services.

BJ's Wholesale Club operates primarily in the eastern half of the United States, with 257 warehouse clubs and 194 gas stations across 21 states. It has a strong presence in New England and is expanding, including plans to open new clubs in Dallas-Fort Worth in 2026.

BJ's Wholesale Club maintains a strong brand reputation through its focus on value and convenience, reflected in consistent membership growth and high renewal rates. Digitally enabled sales have shown robust growth, demonstrating the success of their digital initiatives. The company operates in a volatile environment with challenging retail conditions and cautious consumers, impacting categories like home and seasonal goods. Decisions to tighten inventories due to anticipated tariffs were made, which could indirectly affect product availability in certain categories.

BJ's Wholesale Club Holdings, Inc. is overwhelmingly owned by institutional shareholders, holding approximately 76.38% to 108.25% of the company's stock. Major institutional owners include Vanguard Group Inc., BlackRock Inc., and Victory Capital Management Inc. Tommy Yin is the largest individual shareholder, owning 28.50 million shares, representing 21.78% of the company.