The Bull Case For Ollie's (OLLI) Could Change Following Loop Capital’s Upgrade And Off-Price Thesis – Learn Why

• Earlier this week, Loop Capital upgraded Ollie’s Bargain Outlet Holdings to “buy” from “hold,” arguing that the market has underestimated the retailer’s sales potential and competitive strengths.
• The research call also highlighted how Ollie’s off-price model and merchandising approach may be better positioned than many peers to capture value-focused consumer demand.
• Next, we’ll examine how Loop Capital’s focus on underestimated sales potential could reshape Ollie’s existing investment narrative and risk-reward balance.

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Ollie's Bargain Outlet Holdings Investment Narrative Recap

To own Ollie’s, you generally need to believe that its closeout model can keep attracting value-focused shoppers while supporting ongoing store expansion. Loop Capital’s upgrade reinforces that demand story but does not fundamentally change the near term balance between the key catalyst of continued sales and margin execution and the structural risk that better inventory management at suppliers could reduce closeout availability over time.

The recent Q3 2025 results and raised full year sales guidance are especially relevant here, because they give fresh context to Loop Capital’s view that sales potential may be underestimated. With net sales now guided to US$2.648 billion to US$2.655 billion and operating income nudged higher, investors can weigh the stronger near term performance against concerns about a limited e commerce presence and the long run pressure on brick and mortar traffic.

Yet even with this optimism, investors should be aware of the long term risk that improving supplier inventory systems could...

Read the full narrative on Ollie's Bargain Outlet Holdings (it's free!)

Ollie's Bargain Outlet Holdings' narrative projects $3.6 billion revenue and $341.3 million earnings by 2028. This requires 13.3% yearly revenue growth and a $128.0 million earnings increase from $213.3 million today.

Uncover how Ollie's Bargain Outlet Holdings' forecasts yield a $141.53 fair value, a 27% upside to its current price.

Exploring Other Perspectives

Four members of the Simply Wall St Community have published fair value estimates for Ollie’s that span from about US$79 up to US$4,459, showing just how far opinions can stretch. Set those wide views against the recent upgrade and improved sales guidance, and you can see why it pays to compare different takes on how sustainable Ollie’s closeout driven margins and store growth might be.

Explore 4 other fair value estimates on Ollie's Bargain Outlet Holdings - why the stock might be a potential multi-bagger!

Build Your Own Ollie's Bargain Outlet Holdings Narrative

Disagree with existing narratives? Create your own in under 3 minutes - extraordinary investment returns rarely come from following the herd.

• A great starting point for your Ollie's Bargain Outlet Holdings research is our analysis highlighting 3 key rewards that could impact your investment decision.
• Our free Ollie's Bargain Outlet Holdings research report provides a comprehensive fundamental analysis summarized in a single visual - the Snowflake - making it easy to evaluate Ollie's Bargain Outlet Holdings' overall financial health at a glance.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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