Entering text into the input field will update the search result below

Casey's General Stores: Reversion Of CPG Is Inevitable And Will Hurt Financials

GS Investing profile picture
GS Investing


  • Casey's has a history of mid-single-digit topline growth. However, FY22 saw a remarkable 49% revenue surge, primarily driven by high gasoline revenue.
  • CASY has consistently maintained high fuel margins, but I question whether these levels are sustainable.
  • Fuel volumes may face challenges due to rising crude oil prices and changing consumer preferences toward higher ethanol blends.

Muslim Woman Accepting Card Payment From a Customer

Kanawa_Studio/E+ via Getty Images

Investment action

Based on my current outlook and analysis of Casey’s General Stores (NASDAQ:CASY), I recommend a hold rating. I expect the normalization of cents per gallon [CPG] and fuel gallon to be weak in the near

This article was written by

GS Investing profile picture
I consider an investment ideal if it performs its core business in a sector projected to experience structural (organic) growth in excess of GDP growth over the next 5-10 years; profits from sustainable competitive advantages that translate into attractive unit economics; In the hands of competent, ethical, and long-term thinkers; with a fair valuation

Analyst’s Disclosure: I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.

Recommended For You

Comments (2)

How does more use of ethanol hurt Casey's? It lowers the mileage per gallon. Casey apparently does its own blending of ethanol (not sure of that, but it earns RIN credits).
buckiowa profile picture
@algo41 no idea ? But I have a Casey’s across from me, and they are busy !

Good company overall !
Disagree with this article? Submit your own. To report a factual error in this article, . Your feedback matters to us!

About CASY

SymbolLast Price% Chg
Market Cap
Yield (TTM)
Rev Growth (YoY)
Short Interest
Prev. Close
Compare to Peers

More on CASY

Related Stocks

SymbolLast Price% Chg
To ensure this doesn’t happen in the future, please enable Javascript and cookies in your browser.
Is this happening to you frequently? Please report it on our feedback forum.
If you have an ad-blocker enabled you may be blocked from proceeding. Please disable your ad-blocker and refresh.