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Casey’s General Stores Stock Hits Record on Results, Outlook, and Dividend

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Key Takeaways

  • Casey’s General Stores beat fourth-quarter profit and sales estimates as food and beverage sales jumped.
  • The convenience store and gas station operator also gave strong inside same-store sales guidance, and raised its dividend.
  • The news sent shares to a new all-time high Wednesday.

Shares of Casey’s General Stores (CASY) surged to a new all-time high Wednesday, a day after the operator of convenience stores and gas stations blew away forecasts, gave strong guidance, and increased its dividend on higher food and drink sales.

The company reported fiscal fourth-quarter earnings per share (EPS) of $2.34, a 57% jump from a year earlier and nearly a third higher than the average estimate of analysts compiled by Visible Alpha. Revenue rose 8.2% to $3.6 billion, also more than expected.

Inside same-store sales increased 5.6%, boosted by an 8.8% gain in prepared food and dispensed beverage sales. The company noted demand was strong for hot sandwiches, as well as alcoholic and non-alcoholic beverages. Casey’s also had a 0.9% rise in same-store fuel gallons sold.

Casey’s CEO Highlights Three-Year Strategic Plan Success

Chief Executive Officer (CEO) Darren Rebelez said the first year of the firm’s three-year strategic plan was a success, with 2024 earnings before interest, taxes, depreciation, and amortization (EBITDA) exceeding $1 billion for the first time in history. 

Casey’s predicts fiscal 2025 inside same-store sales will climb between 3% and 5%. In addition, the company announced that it was increasing its quarterly dividend to $0.50 from $0.43.

Casey’s General Stores shares surged more than 16% to $380.45 as of about noon ET Wednesday after earlier touching a record $389.43. They have added more than a third of their value this year.

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