Casey’s General Stores, Inc.’s CASY inside same-store sales continue to serve as a core indicator of its in-store performance, reflecting steady consumer demand and effective execution across key categories. In the third quarter of fiscal 2026, inside same-store sales increased 4%, or 7.9% on a two-year stacked basis, supported by a strong average margin of 42.2%. This performance underscores the company’s ability to drive consistent growth while maintaining healthy profitability within its store operations.
A key strength behind Casey’s inside same-store sales lies in its balanced category mix, particularly the continued momentum in prepared food and dispensed beverages. This segment led growth with a 4.3% increase, or 9.2% on a two-year stacked basis, while delivering an average margin of 58.3%. Strong demand for core offerings, such as whole pizzas and hot sandwiches across all dayparts, highlights the effectiveness of Casey’s value proposition and product innovation strategy.
Grocery and general merchandise also played a significant role in supporting inside same-store sales growth. The category reported a 4% increase, or 7.4% on a two-year stack, with average margins expanding to 35.7%. Performance was driven by strength in higher-growth segments, such as energy drinks and nicotine alternatives, both of which delivered double-digit gains and contributed to a favorable product mix.
Importantly, Casey’s inside sales growth is not heavily reliant on pricing, but rather on volume and value positioning. Management emphasized maintaining a strong value proposition, particularly in prepared foods, wherein minimal pricing actions have helped drive higher unit velocity. This approach has allowed the company to remain competitive while sustaining traffic and customer engagement across income cohorts.
Looking ahead, management expects inside same-store sales to grow 3.5-4.5% for fiscal 2026, supported by continued strength across categories and steady consumer demand. With a focus on value, innovation and disciplined execution, Casey’s is well-positioned to sustain consistent in-store sales growth and margin stability over the long term.
Casey's Price Performance, Valuation & Estimates
Shares of the company have surged 68.2% in the past year compared with the industry’s 41% growth.
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From a valuation standpoint, CASY is trading at a forward 12-month price-to-sales ratio of 1.53X, up from the industry average of 1.11X. It has a Value Score of B.
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The Zacks Consensus Estimate for Casey's fiscal 2026 earnings implies year-over-year growth of 23.6%, whereas the same for fiscal 2027 indicates an uptick of 10.9%. Estimates for fiscal 2026 and 2027 have been revised upward by 21 cents and 26 cents, respectively, in the past 30 days.
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Casey's currently has a Zacks Rank #2 (Buy).
Other Key Picks
We have highlighted three other top-ranked stocks in the retail space, namely FIGS Inc. FIGS, Tapestry, Inc. TPR and Deckers Outdoor Corporation DECK.
FIGS is a direct-to-consumer healthcare apparel and lifestyle brand, and it currently sports a Zacks Rank of 1 (Strong Buy). The company delivered a trailing four-quarter earnings surprise of 187.5%, on average. You can see the complete list of today’s Zacks #1 Rank stocks here.
The Zacks Consensus Estimate for FIGS’ current financial-year sales and earnings indicates growth of 11.8% and 26.3%, respectively, from the year-ago reported numbers.
Tapestry, which was formerly known as Coach, Inc., is the designer and marketer of fine accessories and gifts for women and men in the United States and internationally. It currently flaunts a Zacks Rank #2.
The Zacks Consensus Estimate for Tapestry’s current fiscal-year earnings and sales implies growth of 26.5% and 11.2%, respectively, from the year-ago actuals. TPR delivered a trailing four-quarter average earnings surprise of 12.8%.
Deckers is a leading designer, producer and brand manager of innovative, niche footwear and accessories. It has a Zacks Rank #2 at present.
The Zacks Consensus Estimate for Deckers’ current fiscal-year earnings and sales indicates growth of 8.5% and 8.9%, respectively, from the year-ago actuals. DECK delivered a trailing four-quarter average earnings surprise of 36.9%.
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This article originally published on Zacks Investment Research (zacks.com).
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
