Ollie's Bargain Outlet Holdings Inc

Ollie’s Bargain Outlet Holdings, Inc. (OLLI) also detracted. The retailer offers a continually changing selection of closeout items and brand-name merchandise at deeply discounted prices. Ollie’s stock has been down due to concern about how rising oil prices may affect consumers’ spending power. However, we believe tighter household budgets could make Ollie’s value proposition more appealing, in turn making revenues more resilient than investors might expect.

Ollie’s Bargain Outlet Holdings, Inc. (OLLI) also detracted. The retailer offers a continually changing selection of closeout items and brand-name merchandise at deeply discounted prices. Ollie’s stock has been down due to concern about how rising oil prices may affect consumers’ spending power. However, we believe tighter household budgets could make Ollie’s value proposition more appealing, in turn making revenues more resilient than investors might expect.

Ollie’s Bargain Outlet Holdings, Inc. (OLLI) also detracted. The retailer offers a continually changing selection of closeout items and brand-name merchandise at deeply discounted prices. Ollie’s stock has been down due to concern about how rising oil prices may affect consumers’ spending power. However, we believe tighter household budgets could make Ollie’s value proposition more appealing, in turn making revenues more resilient than investors might expect.

Ollie’s Bargain Outlet Holdings, Inc. (OLLI) has faced stock declines due to concerns about rising oil prices impacting consumer spending. However, we believe that tighter household budgets could enhance Ollie’s value proposition, making its deeply discounted offerings more attractive. This shift may lead to more resilient revenues than the market currently anticipates, positioning Ollie’s favorably in a challenging economic environment.

Ollie’s Bargain Outlet Holdings, Inc. (OLLI) was a strong performer for multiple years until it began to weaken in mid-2025. Despite this recent weakness, we believe the company is a high-quality business with solid growth prospects and a compelling valuation, so we continue to hold the position. Our focus remains on owning sound, attractively valued businesses, and we see potential in Ollie’s as it aligns with this strategy.

Ollie's Bargain Outlet, a specialty retailer for closeouts, excess inventory, and salvage merchandise, declined -17%. The company reported better-than-feared first-quarter revenue, but near-term macroeconomic uncertainty continued to weigh on its stock, prompting us to trim our position as a result.

We re-established a position in Ollie's Bargain Outlet, where new merchandising leadership and a more favorable competitive backdrop following recent retail bankruptcies should support stronger operating performance.

We added Ollie’s Bargain Outlet to the portfolio’s CropSM following an acceleration in comparable store sales, reinforcing our thesis of a long runway for square footage growth and a more favorable competitive environment. Weaker peers have been exiting the market, which has been enabling Ollie’s to access a greater volume of attractive closeout deals and negotiate improved terms with vendors, given its scale. This dynamic may also support more favorable real estate opportunities through improved site availability and lease economics.