BJ’s Wholesale’s stock rallies after profit and revenue beats, with digital sales soaring over 300%

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Shares of BJ’s Wholesale Club Holdings Inc. rallied 1.4% in premarket trading Thursday, after the membership-based warehouse retailer reported fiscal second-quarter profit and sales that rose above expectations, as digitally enabled sales soared more than fourfold amid the COVID-19 pandemic. Net income for the quarter to Aug. 1 rose to $106.6 million, or 76 cents a share, from $54.5 million, or 39 cents a share, in the year-ago period. Excluding non-recurring items, adjusted earnings per share came to 77 cents, above the FactSet consensus of 60 cents. Total revenue grew 18.2% to $3.95 billion, beating the FactSet consensus of $3.73 billion, as same-store sales surged 24.2% to beat expectations of a 15.5% rise. Digitally enabled sales grew over 300%. The stock has gained soared 90.9% year to date through Wednesday, while the SPDR S&P Retail ETF has rallied 13.8% and the S&P 500 has advanced 4.5%.
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