Casey's General Stores (CASY) saw its stock price surge 10.16% in pre-market trading on Tuesday, following the release of its fourth-quarter earnings report that significantly surpassed analysts' expectations. The convenience store chain also announced a notable increase in its quarterly dividend and provided an optimistic outlook for the coming fiscal year, further bolstering investor confidence.

The company reported fourth-quarter earnings per share (EPS) of $2.63, handily beating the analyst estimate of $1.94. Revenue rose 11% to $3.99 billion, outpacing the anticipated $3.93 billion. This strong financial performance demonstrates Casey's ability to navigate the challenging retail landscape effectively. Inside same-store sales were up 1.7% from the year prior, driven by strength in its bakery, hot prepared food, cold prepared food, and dispensed beverage categories.

Adding to the positive sentiment, Casey's announced a 14% increase in its quarterly dividend to $0.57 per share. The company also provided an optimistic outlook for fiscal 2026, expecting inside same-store sales to increase by 2% to 5%. Casey's plans to open at least 80 new stores in the coming fiscal year through a mix of acquisitions and new store construction, signaling confidence in its growth strategy. The robust earnings results, coupled with the dividend hike and positive forward guidance, have contributed to the significant stock price movement in pre-market trading.