Convenience store operator Casey’s General Stores (NASDAQ:CASY) reported mixed results for the second quarter of Fiscal 2023. The company also updated its full-year guidance “due to improved inside sales and operating expense performance.”
The company posted revenues of $3.98 billion, up 22% year-over-year, but lagged the Street’s estimate of $4.03 billion. Casey’s performed impressively in the dispensed beverages and prepared food items categories. Also during the quarter, total fuel gallons sold increased by 5% year-over-year, which aided top-line growth.
Meanwhile, the company posted earnings of $3.67 per share, higher than the Street’s estimate of $3.16 per share. The reported figure compares favorably with $2.59 in the prior year’s quarter.
Based on the Q2 performance, Casey’s raised full-year guidance for some metrics. It expects same-store inside sales to increase by 5% to 7%, compared with the previous outlook of 4% to 6%. Also, it maintained the expectation that same-store fuel gallons would be flat to 2% higher in Fiscal 2023.
Is CASY a Buy or Sell Stock?
Overall, Casey’s has a Moderate Buy consensus rating based on four Buys, one Hold, and one Sell. CASY’s average price target of $248.33 implies 7.99% upside potential. Shares of the company have gained 17.4% so far this year.
While analysts are cautiously optimistic, insiders have bought CASY shares worth $100.1K in the last three months. Moreover, 2% of TipRanks’ investors increased their exposure to the stock in the past month. Based on some more positive indicators, CASY sports a “Perfect 10” Smart Score, indicating that the stock will outperform market averages.
