There were no S&P 500 earnings reactions on Tuesday, but we heard from one of the world's best retailers.
Some stocks chop, but Casey’s General Stores $CASY just goes up.
After Monday’s close, the Midwestern powerhouse reported another double beat, with earnings per share of $5.77 on revenue of $4.57B - both ahead of expectations.
The market rewarded that consistency with a 3.8% rally on Tuesday, marking the 5th positive earnings reaction out of the last 6 quarters. For a company that sells pizza, gas, and groceries, Casey’s has been one of the best compounders in the entire market.
The latest quarter showed exactly why.
In-store sales (i.e., sales excluding gas) increased to $1.68B, driven by strong demand for prepared food, dispensed beverages, and higher-margin general merchandise.
Fuel gallons surged nearly 18% compared to last year, while margins held steady at $0.41 per gallon.
Gross profit reached $1.11B, up more than 16% year-over-year, with inside gross margin sitting comfortably above 40%. Moreover, EBITDA rose almost 20% Y/Y.
Casey’s is 1 of only 3 retailers in the S&P 500 and S&P 400 that have managed to deliver more than 8% EBITDA growth across 1-, 5-, and 10-year periods. The other names are Costco $COST and Ollie’s Bargain Outlet $OLLI.
They are in an elite club of true compounders.
The long-term technicals reflect the strong long-term fundamentals:
Casey’s doesn’t really have bear markets. It has compounded higher for decades, largely immune to the drawdowns that hit most of retail.
On a relative basis, it’s even more impressive... Price is printing fresh all-time highs versus the broader market. In an era where leadership rotates quickly, this stock has quietly been a permanent fixture.
From 2010 to 2021, Casey’s expanded steadily year after year. Then in 2022, acquisitions accelerated at a record pace. In 2025, the company broke that record again, adding 235 stores and pushing its footprint just shy of 2,900 locations.
The expansion isn’t slowing... The management team expects at least 500 more stores over the next three years.
Mr. Market keeps telling us that this company is doing something right.
Tuesday’s rally was the 5th positive earnings reaction in the last 6 reports:
Casey’s General Stores keeps cranking out great reports, quarter after quarter. Shareholders are being rewarded for the consistent execution, and we don't expect that to change anytime soon.
This company isn’t just a convenience chain... It’s a compounding machine.
Tuesday's earnings reaction was a reminder of why CASY is one of the best retailers in the world.
Leaders lead, and Casey’s is leading.
Here's to new highs
-The Beat Team
P.S. All Star Charts is constantly running scans for leaders like Casey’s General Stores.
The most recent example is yesterday's special report about small-cap industrial leaders. We outlined 6 new setups that we're buying.
