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Here's Why Ollie's Bargain Outlet (OLLI) is a Strong Momentum Stock

Taking full advantage of the stock market and investing with confidence are common goals for new and old investors alike.

Many investors also have a go-to methodology that helps guide their buy and sell decisions. One way to find winning stocks based on your preferred way of investing is to use the Zacks Style Scores, which are indicators that rate stocks based on three widely-followed investing types: value, growth, and momentum.

Is This 1 Momentum Stock a Screaming Buy Right Now?

For momentum investors, upward or downward trends in a stock's price or earnings outlook take precedent, so they'll want to zero in on the Momentum Style Score. This Score can pinpoint good times to build a position in a stock, using factors like one-week price change and the monthly percentage change in earnings estimates.

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Ollie's Bargain Outlet (OLLI)

Headquartered in Harrisburg, PA, Ollie's Bargain Outlet Holdings is a value retailer of brand name merchandise at drastically reduced prices. The company offers products principally under Ollie’s, Ollie’s Bargain Outlet, Good Stuff Cheap, Ollie’s Army, Real Brands Real Cheap!, Real Brands! Real Bargains!, Sarasota Breeze, Steelton Tools, American Way and Middleton Home. As of Feb 3, 2024, the company operated 512 outlets in 30 states. The company offers products under the categories, Consumables (23.8% of FY23 Sales), Home (35.7%), Seasonal (18.7%) and Other (21.8%). Product offerings include; Housewares: cooking utensils, dishes, appliances, plastic containers, cutlery, storage and garbage bags, detergents and cleaning supplies, cookware and glassware, fans and space heaters, candles, frames and giftware.

OLLI is a Zacks Rank #3 (Hold) stock, with a Momentum Style Score of B and VGM Score of A. Shares are up 4% over the past one week and up 7.2% over the past four weeks. OLLI has gained 39.6% in the last one-year period as well. Looking at trading volume, an average of 1,104,556.75 shares exchanged hands over the last 20 trading days.

A company's earnings performance is important for momentum investors as well. For fiscal 2025, four analysts revised their earnings estimate higher in the last 60 days for OLLI, while the Zacks Consensus Estimate has increased $0.04 to $3.22 per share. OLLI also boasts an average earnings surprise of 10.4%.

Investors should take the time to consider OLLI for their portfolios due to its solid Zacks Ranks, notable earnings metrics, and impressive Momentum and VGM Style Scores.

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Ollie's Bargain Outlet Holdings, Inc. (OLLI) : Free Stock Analysis Report

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