Albertsons (ACI) Climbs 13.6% on Impressive Earnings, Higher Growth Outlook

We recently published Monstrous Gains: 10 Stocks Leaving Wall Street in the Dust. Albertsons Companies, Inc. (NYSE:ACI) is one of the best performers on Tuesday.

Albertsons snapped a three-day losing streak on Tuesday, climbing 13.63 percent to close at $19.26 after reporting an improved earnings performance in the second quarter of fiscal year 2025 and raising its growth outlook for the full-year period.

In an updated report, Albertsons Companies, Inc. (NYSE:ACI) said it was able to grow its net income by 15.8 percent to $168.5 million from $145.5 million in the same period last year.

Net sales also inched up by 2.16 percent to $18.9 billion from $18.5 billion year-on-year, on the back of a 2.2-percent pick-up in identical sales, supported by the pharmacy segment, which partially offset lower fuel sales. Digital sales also jumped by 23 percent year-on-year.

Following the results, Albertsons Companies, Inc. (NYSE:ACI) raised its identical sales growth outlook for the full-year period, now at a range of 2.2 percent to 2.75 percent, versus the 2 to 2.75 percent previously expected.

Outlook for adjusted EBITDA remained unchanged at a range of $3.8 billion to $3.9 billion.

In line with the performance, Albertsons Companies, Inc. (NYSE:ACI) announced the distribution of $0.15 in cash dividends to all common shareholders as of October 24. The dividends are payable on November 7, 2025.

While we acknowledge the risk and potential of ACI as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than ACI and that has 10,000% upside potential, check out our report about this cheapest AI stock.

READ NEXT: 30 Stocks That Should Double in 3 Years and 11 Hidden AI Stocks to Buy Right Now.

Disclosure: None. This article is originally published at Insider Monkey.