Despite robust cash generation indicated by an OCF/NI ratio of 3.11 in 2025Q4, free cash flow remains unstable, swinging to a $42.0 million deficit in 2026Q1 due to aggressive capital deployment and share repurchases.
| Cash from Operations | 961.92M | 1.03B | 900.87M | 718.88M | 788.16M | 831.65M | 868.55M | 355.14M | 427.1M | 210.09M | 297.43M |
| Operating CF Margin % | - | 4.8% | 4.39% | 3.6% | 4.08% | 4.99% | 5.63% | 2.69% | 3.28% | 1.65% | 2.41% |
| Operating CF Growth % | 11.53% | 14.34% | 25.32% | -8.79% | -5.23% | -4.25% | 144.56% | -16.85% | 103.3% | -29.37% | - |
| Net Income | 571.34M | 578.38M | 534.42M | 523.74M | 513.18M | 426.65M | 421.03M | 187.18M | 127.26M | 50.3M | 44.22M |
| Depreciation & Amortization | 295.38M | 288.59M | 262.07M | 227.7M | 200.93M | 180.55M | 167.45M | 157M | 162.22M | 164.06M | 178.32M |
| Stock-Based Compensation | 36.21M | 0 | 47.8M | 39.02M | 42.62M | 53.84M | 32.15M | 18.8M | 57.68M | 9.1M | 11.83M |
| Deferred Taxes | 15.93M | 7.84M | -18.49M | 25.57M | -1.94M | -507K | -9.2M | 10.25M | -12.24M | -35.62M | -23.53M |
| Other Non-Cash Items | 15.58M | 55.4M | 44.59M | -18.58M | 33.75M | 13.27M | 17.83M | 22.67M | 36.48M | 22.14M | 17.93M |
| Working Capital Changes | 27.49M | 99.85M | 30.49M | -78.56M | -376K | 157.85M | 239.28M | -40.75M | 55.94M | -2.67M | 68.66M |
| Change in Receivables | -66.25M | 24.79M | -51.63M | 10.76M | -60.97M | -1.23M | 33.63M | -12.05M | -3.98M | -24.51M | 26.53M |
| Change in Inventory | -101.23M | -46.48M | -54.17M | -76.27M | -47.54M | -37.24M | -124.19M | -29.2M | -33.17M | 12.71M | 30.01M |
| Change in Payables | 183.06M | 53.89M | 70.23M | -12.42M | 82.91M | 124.71M | 201.66M | -32.96M | 49.11M | 36.08M | -29.28M |
| Cash from Investing | -744.69M | -702.34M | -589.57M | -454.76M | -747.06M | -304.51M | -192.44M | -175.29M | -145.91M | -137.47M | -114.76M |
| Capital Expenditures | -737.57M | -699.05M | -587.98M | -467.07M | -397.8M | -323.59M | -218.33M | -196.9M | -145.91M | -137.47M | -114.76M |
| CapEx % of Revenue | 3.36% | 3.26% | 2.87% | 2.34% | 2.06% | 1.94% | 1.42% | 1.49% | 1.12% | 1.08% | 0.93% |
| Acquisitions | 0 | 0 | 0 | 0 | -376.52M | 0 | 0 | 0 | 0 | 0 | 0 |
| Investments | - | - | - | - | - | - | - | - | - | - | - |
| Other Investing | -7.12M | -3.29M | -1.58M | 12.31M | 27.27M | 19.08M | 25.89M | 21.61M | 0 | 0 | 0 |
| Cash from Financing | -228.89M | -309.74M | -319.08M | -261.98M | -52.63M | -525.23M | -662.79M | -176.79M | -289M | -69.63M | -188.12M |
| Debt Issued (Net) | 243.98M | -27.23M | -116.66M | -109.36M | 117.34M | -352.31M | -576.24M | -122.24M | -940.49M | 694.45M | -186.7M |
| Equity Issued (Net) | -479.97M | -281.77M | -219.63M | -155.18M | -172.29M | -194.32M | -106.2M | -67.31M | 671.86M | -1.97M | -1.43M |
| Dividends Paid | 0 | 0 | -25K | -25K | -25K | -25K | -25K | -25K | -25K | -735.52M | -25K |
| Share Repurchases | -471.2M | -286.79M | -219.63M | -155.18M | -172.29M | -194.32M | -106.2M | -67.31M | -19.11M | -1.97M | -1.43M |
| Other Financing | 7.1M | -736K | 17.23M | 2.58M | 2.34M | 21.42M | 19.68M | 12.78M | -20.34M | -26.59M | 30K |
| Net Change in Cash | -11.66M | 17.97M | -7.78M | 2.13M | -11.52M | 1.92M | 13.31M | 3.06M | -7.81M | 2.99M | -5.45M |
| Free Cash Flow | 227.35M | 331M | 312.89M | 251.81M | 417.63M | 527.14M | 650.21M | 158.24M | 281.19M | 72.62M | 182.67M |
| FCF Margin % | 1.03% | 1.54% | 1.53% | 1.26% | 2.16% | 3.16% | 4.21% | 1.2% | 2.16% | 0.57% | 1.48% |
| FCF Growth % | -20.33% | 5.79% | 24.26% | -39.71% | -20.78% | -18.93% | 310.9% | -43.72% | 287.21% | -60.25% | - |
| FCF per Share | 1.76 | 2.51 | 2.34 | 1.86 | 3.06 | 3.82 | 4.68 | 1.14 | 2.32 | 0.56 | 1.40 |
| FCF Conversion (FCF/Net Income) | 0.40x | 1.78x | 1.69x | 1.37x | 1.54x | 1.95x | 2.06x | 1.90x | 3.36x | 4.18x | 6.73x |
| Interest Paid | 7.96M | 0 | 42.54M | 59.11M | 36.6M | 45.15M | 65.27M | 96.86M | 152.88M | 152.18M | 126.92M |
| Taxes Paid | 91.89M | 0 | 191.37M | 198.56M | 179.32M | 117.57M | 154.67M | 40.35M | 15.85M | 14.82M | 45.75M |
Aggressive capital expenditure cycle
Based on reported financial statements, BJ's operating cash flow consistently exceeds net income, with an OCF/NI ratio peaking at 3.11 in 2025Q4, suggesting that the company's accounting earnings are supported by robust cash generation despite the inherent volatility of its high-volume, low-margin retail business model.
The consistent premium of operating cash flow over net income indicates that non-cash charges, primarily depreciation and amortization, are significant contributors to the company's cash profile. Investors should monitor whether this conversion efficiency persists as the company scales its footprint, as any narrowing of this gap could signal a deterioration in the quality of earnings.
As indicated by quarterly data, free cash flow has demonstrated significant instability, swinging from a $192.8 million surplus in 2025Q4 to a $42.0 million deficit in 2026Q1, reflecting the lumpy nature of capital deployment and the impact of seasonal working capital requirements on liquidity.
The erratic FCF trajectory suggests that the company's cash-generating capacity is highly sensitive to the timing of capital expenditures and inventory management. This volatility warrants caution, as it complicates the predictability of cash available for shareholder returns or debt reduction.
According to recent SEC filings, BJ's capital expenditure as a percentage of revenue has trended upward, reaching 3.6% in 2025Q4, which highlights the company's aggressive investment in new club openings and digital infrastructure to maintain its competitive position against larger national warehouse club operators.
The rising capital intensity suggests that the company is prioritizing long-term market share growth over immediate free cash flow maximization. Analysts should evaluate whether these investments are yielding sufficient incremental returns, as the current pace of spending appears to be a primary drag on short-term liquidity.
Based on the provided cash flow data, BJ's has prioritized share repurchases over other forms of capital return, with buybacks totaling $225.7 million in 2026Q1 alone, even during periods where free cash flow was negative, indicating a management preference for reducing share count despite liquidity fluctuations.
The decision to fund significant buybacks while simultaneously incurring negative free cash flow suggests a high degree of confidence in the balance sheet's resilience. However, this strategy may limit the company's flexibility to navigate unexpected operational headwinds or accelerate strategic pivots in the future.
Quick answers to the most common questions about buying BJ stock.
BJ's Wholesale Club Holdings, Inc. (BJ) generated $1.03B in net cash from operating activities in 2025. This reflects the cash generated directly from core business operations.
BJ's Wholesale Club Holdings, Inc. (BJ) generated $331.0M in free cash flow in 2025. Free cash flow is the cash left over after capital expenditures, which can be used to pay dividends, repurchase shares, or pay down debt.
BJ's Wholesale Club Holdings, Inc. (BJ) spent $699.1M on capital expenditures in 2025. CapEx represents the cash invested in physical assets like property, plant, and equipment to maintain or grow the business.
In 2025, BJ's Wholesale Club Holdings, Inc. (BJ) spent $286.8M on share repurchases. This shows the company's commitment to returning capital to its equity investors.