BJ ' s Wholesale摆脱了摩根大通之前的熊市评级

J.P. Morgan upgraded BJ's Wholesale Club Holdings (NYSE:BJ) to a Neutral rating on Monday, after having the retailer set at Underweight. The firm expects modest reflation in grocery, while the company is seen benefitting from its efforts to drive share by reinvesting in the business.

Analyst Christopher Horvers thinks BJ's (BJ) is squarely at the point where the channel is seeing a lift from trade down in a hyper-value seeking consumer environment. Looking ahead, Horvers and his team think BJ's (BJ) lower adjustment to FY24 guidance is likely a bit conservative and noted that the membership fee income increase is a matter of "when, not if".

J.P. Morgan's December 2024 price target of $78 on BJ's (BJ) is based on ~19X P/E multiple of the 2025 forecasts, in-line with historical levels.

Q2 earnings recap: The Marlborough, Mass-based wholesaler reported revenue increased 4.9% to $5.21 billion during the quarter that ended on July 29. Total comparable club sales were up 3.1%. Excluding the impact of gasoline sales, comparable club sales increased by 2.4%.

Shares of BJ's (BJ) were up 1.11% in premarket trading to $83.69.