Caseys General Stores Stock Discussion

Before the Open: LEGN (-.32)After the Close: CASY (2.14), ORCL (1.38)

The market's opinion of the business has improved over the past five years due to its growth track record. Significant insider buying in the last quarter is seen as a positive sign. The company's performance is worth monitoring in the long term.

Barron's sees potential in Casey's stock as a value pick. Analysts highlight its prepared foods business strength amid dwindling tobacco sales and stable fuel margins. They also hint at possible M&A interest from convenience store giants.

Analysts forecast an 8% rise in Casey's earnings per share this fiscal year, and a further 7% increase next year. They believe the stock still has growth potential, with a price target of $340 suggesting a 20% upside. The company's emphasis on prepared foods and private-label products is expected to drive this growth.

Analysts highlight Casey's General Stores' expanding footprint and superior distribution platform as competitive advantages. The company's unique prepared foods are expected to significantly boost sales as it acquires more operators. Its value proposition of a family pizza dinner is unbeatable. Earnings per share are predicted to rise 8% this year and 7% next year. Stephens analyst Ben Bienvenu sees further market valuation opportunities.

Jefferies sees potential for Casey's to maintain higher fuel margins and expand its store network within a 500-mile radius. They are optimistic about the company's three-year growth plan.

Casey's projects EBITDA growth of 8-10% by fiscal 2026, with half deriving from 'accelerated' mergers and acquisitions, suggesting a promising outlook for its expansion strategy.