Yesway (NASDAQ:YSWY) Announces Earnings Results, Beats Estimates By $0.04 EPS

Yesway (NASDAQ:YSWY) announced its quarterly earnings results on Thursday. The company reported $0.34 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.30 by $0.04, FiscalAI reports. The business had revenue of $969.15 million for the quarter. The company’s quarterly revenue was up 35.4% on a year-over-year basis.

Here are the key takeaways from Yesway’s conference call:

• Inside merchandise sales continued to grow: Same-store sales rose 1.9% year over year, with record quarterly sales of $246 million. Management said it saw no meaningful customer trade-down despite elevated fuel prices.
• Fuel performance remained strong: Same-store gallons increased 1.1%, while fuel margin rose 14.3% to $0.461 per gallon. Management credited its diesel mix, fuel investments and market volatility; diesel accounted for 38% of fuel volume.
• Adjusted EBITDA increased 8.6% to $60 million, supported by stronger fuel and merchandise contributions and new stores. Same-store operating expenses rose 8.9%, largely due to credit-card fees, while labor hours fell 1.3% for a sixth straight quarter.
• Yesway reaffirmed its 2026 outlook: Adjusted EBITDA of $235 million–$245 million, same-store merchandise sales growth of 1.25%–3.25%, and six to eight new stores. The EBITDA outlook assumes fourth-quarter fuel margins normalize; sustained higher margins could provide upside.
• Expansion remains focused on core markets: The company opened five stores year to date, including two in Arizona, and said initial results there are encouraging. It is converting 24 Texas Yesway stores to the Allsup’s brand and reiterated its longer-term plan for 130 stores in its model.

Yesway Stock Down 4.9%

NASDAQ YSWY opened at $24.39 on Friday. The stock’s 50 day moving average is $22.63 and its 200 day moving average is $22.56. Yesway has a twelve month low of $18.92 and a twelve month high of $29.08. The company has a debt-to-equity ratio of 0.45, a quick ratio of 0.91 and a current ratio of 1.48.

Wall Street Analysts Forecast Growth

YSWY has been the topic of several research analyst reports. Zacks Research cut Yesway from a “strong-buy” rating to a “hold” rating in a research note on Tuesday. Weiss Ratings lowered Yesway from a “sell (e)” rating to a “sell (e-)” rating in a research note on Thursday, September 24th. William Blair began coverage on Yesway in a research note on Tuesday, September 22nd. They issued an “outperform” rating for the company. JPMorgan Chase & Co. lifted their price target on shares of Yesway from $25.00 to $27.00 and gave the company a “neutral” rating in a report on Friday, August 14th. Finally, Guggenheim reissued a “buy” rating and set a $32.00 price objective on shares of Yesway in a research report on Monday, October 5th. Three equities research analysts have rated the stock with a Strong Buy rating, three have issued a Buy rating, four have given a Hold rating and one has given a Sell rating to the company. According to MarketBeat.com, the stock presently has a consensus rating of “Moderate Buy” and a consensus target price of $29.62.

Hedge Funds Weigh In On Yesway

Several institutional investors and hedge funds have recently added to or reduced their stakes in the company. State of Alaska Department of Revenue bought a new stake in shares of Yesway during the 3rd quarter valued at $29,000. Engineers Gate Manager LP bought a new position in shares of Yesway in the 2nd quarter worth about $675,000. Bank of New York Mellon Corp bought a new position in shares of Yesway in the 2nd quarter worth about $869,000. State Street Corp purchased a new position in Yesway during the 2nd quarter valued at about $4,437,000. Finally, Wellington Management Group LLP purchased a new position in Yesway during the 2nd quarter valued at about $18,747,000.

Recent Yesway Headlines

Here are a few of the latest headlines about YSWY:

• Positive Sentiment: Revenue rose 35.4% year over year to $969.2 million, ahead of forecasts. Net income increased to $24.8 million from $15.9 million, while Adjusted EBITDA grew 8.6% to $59.6 million. Yesway third-quarter results
• Negative Sentiment: Despite revenue growth, coverage reported that Q3 EPS missed analyst estimates; diluted EPS was $0.34. Higher operating costs, including interchange fees, also partly offset the improvement in fuel margins. Yesway Q3 earnings miss estimates
• Negative Sentiment: Zacks Research downgraded Yesway from “strong-buy” to “hold,” adding a cautious analyst signal after the earnings report. Zacks Research recommendations

Yesway Company Profile

Yesway is a convenience-store operator serving customers across the central and southwestern United States. Its stores sell fuel, beverages, snacks, grocery and household essentials, along with prepared foods and other convenience items. The company operates under the Yesway and Allsup’s brands. Yesway was established in 2015, and its 2019 acquisition of Allsup’s expanded its presence and added a long-running convenience-store brand known for its prepared food, including burritos. Yesway and Allsup’s locations serve communities in states including Texas, New Mexico, Oklahoma, Kansas and Iowa, as well as other nearby markets.