Wall Street Initiates Coverage On Ollie's Bargain Outlet

Ollie’s Bargain Outlet Holdings Inc OLLI, a retailer of closeouts, excess inventory and salvage merchandise, was introduced to the public markets in mid-July. The extreme value retailer priced its initial public offering of 8.925 million of common stock at the price of $16, above the initial price range of $13-$15.

The holding company had a total of 187 stores as of June 30 with profit growth of 38 percent and net sales growth of 18 percent compared to a year earlier.

Shares spiked as high as 44 percent on the first day of its trading, and recently traded in the range of $20 per share.

Many Wall Street analysts got their hands on the stock:

• JP Morgan: Initiated coverage with an Overweight rating and a price target of $23.
• Bank of America: Initiated with Neutral rating; price target of $22.
• Credit Suisse: Initiated with Neutral rating; price target of $20.
• KeyBanc: Initiated with Overweight rating; price target of $24.
• RBC Capital: Initiated with Outperform rating; price target of $23.
• Jefferies Group: Initiated with Buy rating; price target of $23.
• Piper Jaffray: Initiated with Neutral rating; price target of $20.

SUMMARY: 3 Neutral, 2 Overweight, 1 Outperform, and 1 Buy rating; Price targets range from $20-$24.