A Juggernaut Stock That Just Went On Sale
If you live on one of the coasts like me, you probably aren’t familiar with Casey’s General Stores (CASY) which owns almost 3,000 convenience stores and gas stations in the middle of the country. But as an investor you want to know about it because it’s a great company that is in the middle of its growth cycle. I’d heard of it from time to time over the years but an article in last Wednesday’s WSJ by Jinjoo Lee caused me to finally take a closer look.
CASY has had positive same stores sales for 25 consecutive years and was just added to the S&P 500 in April. About 2/3 of its stores are in rural towns with populations of less than 20,000 so there isn’t a lot of competition. As a result, CASY has been crushing it for a long time as you can see in its stock chart.
Fortunately for long term investors CASY looks like it will on sale Wednesday morning after being hit to the tune of -9% in the after hours after reporting 1QFY27 earnings Tuesday after the close. This is creating a rare opportunity to buy CASY below its 200 DMA. CASY is still expensive but I think it’s worth paying up for such a great business.
