Top 8 Discount Stores Stocks For 2025

4. Ollie’s Bargain Outlet Holdings Inc. (NASDAQ:OLLI)

Ollie’s Bargain Outlet Holdings Inc. is a discount retailer of well-known brand-name products in the US. It provides electronics, clothing, garden products, housewares, health & beauty aids, and other products. The company appointed a new CEO earlier this week and he has his work cut out with the stock up over 43% in a year.

Just last month, OLLI was added to JP Morgan’s Analyst Focus List. The research firm believes the retailer is at an inflection point supported by consistent same-store sales growth going forward. As a result, the market is willing to give a premium valuation to the stock.

The company continues to run on solid fundamentals with growth driven by new store openings and Big Lots real estate acquisitions. In the last few months, OLLI has been able to reduce its supply chain costs and as a result, boost its gross profit margins. The improving cash position as a result is also helping the company boost its interest income.

Here’s the only thing investors need to be careful about. Mid-cap stocks like OLLI that command a premium valuation tend to fall badly on an earnings miss. If you’re planning to invest in the company, keeping some powder dry may be a good idea.