Casey's General Stores, Inc. (CASY)

Casey's General Stores stock has demonstrated strong performance, with a significant increase of 22.85% and has reached all-time highs. A key driver was the stellar third-quarter fiscal 2026 earnings report, where the company reported a diluted earnings per share (EPS) of $3.49, a 49.8% increase year-over-year, surpassing forecasts by over 20%. Net income also rose by 49.3% to $130.1 million, and EBITDA climbed by 27.5% to $308.9 million. Following these results, Casey's raised its full-year fiscal 2026 EBITDA growth outlook to 18% to 20%. Analysts have largely maintained positive ratings, with an average rating of "Moderate Buy" and an average target price of $700.09. The company also announced a quarterly dividend of $0.57, marking its 26th consecutive annual increase.

Casey's General Stores experiences demand seasonality, with sales historically strongest during its first and second fiscal quarters, which run from May through October. The summer driving season, in particular, leads to increased fuel fill-ups and foot traffic at convenience stores due to travel. Casey's diversified revenue model, with a strategic focus on high-margin prepared foods, helps mitigate some of these fluctuations. The company also leverages advanced demand forecasting to align the production of items like pizza and bakery goods with daypart patterns.

Casey's General Stores operates approximately 2,900 convenience stores across 19-20 states, offering self-service fuel, groceries, beverages, tobacco and nicotine products, health and beauty aids, and automotive products. A significant differentiator is its freshly prepared food, notably its made-from-scratch pizzas, donuts, and sandwiches. The company operates three company distribution centers, enabling it to deliver a substantial portion of its in-store products and fuel.

Casey's General Stores maintains a strong presence across the Midwestern and Southern United States, operating approximately 2,900 stores in 19 to 20 states, with a notable concentration in Iowa, Illinois, and Missouri. Approximately two-thirds of Casey's stores are located in towns with populations of 20,000 or fewer. Recent expansion efforts have further extended its reach into states like Texas, Alabama, Florida, and Mississippi through acquisitions, including the purchase of Fikes Wholesale, Inc.

Casey's General Stores has cultivated a strong brand reputation, particularly in the rural and mid-sized communities it serves. The company is often seen as more than just a convenience store, functioning as a primary stop for fuel, groceries, and fresh meals, especially its popular made-from-scratch pizza. The company's loyalty program, Casey's Rewards, has garnered over 10 million members. In the past year, Casey's has been recognized for its operational efficiency and financial health. The successful integration of its largest acquisition to date, Fikes Wholesale, and the conclusion of its 2023-2026 strategic plan have further enhanced its reputation.

Institutional investors are the primary owners of Casey's General Stores stock, holding approximately 73% to 85% of the company's shares. Major institutional shareholders include The Vanguard Group, Inc., BlackRock, Inc., and State Street Corp. Retail investors hold a smaller stake, around 14% to 25%, while insider ownership by executives is minimal, less than 1%.