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Costco (COST) Stock Sinks As Market Gains: What You Should Know
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In the latest trading session, Costco (COST - Free Report) closed at $503.81, marking a -1.81% move from the previous day. This change lagged the S&P 500's 0.09% gain on the day.
Coming into today, shares of the warehouse club operator had gained 13.56% in the past month. In that same time, the Retail-Wholesale sector gained 9.07%, while the S&P 500 gained 8.19%.
Wall Street will be looking for positivity from COST as it approaches its next earnings report date. This is expected to be December 9, 2021. In that report, analysts expect COST to post earnings of $2.57 per share. This would mark year-over-year growth of 12.23%. Our most recent consensus estimate is calling for quarterly revenue of $49.61 billion, up 14.82% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $12.07 per share and revenue of $214.79 billion. These totals would mark changes of +8.94% and +9.63%, respectively, from last year.
Investors should also note any recent changes to analyst estimates for COST. Recent revisions tend to reflect the latest near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Our research shows that these estimate changes are directly correlated with near-term stock prices. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 1.73% higher. COST is currently sporting a Zacks Rank of #1 (Strong Buy).
Digging into valuation, COST currently has a Forward P/E ratio of 42.51. Its industry sports an average Forward P/E of 23.04, so we one might conclude that COST is trading at a premium comparatively.
It is also worth noting that COST currently has a PEG ratio of 4.92. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Retail - Discount Stores was holding an average PEG ratio of 2.28 at yesterday's closing price.
The Retail - Discount Stores industry is part of the Retail-Wholesale sector. This industry currently has a Zacks Industry Rank of 201, which puts it in the bottom 21% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
View the Zacks #1 Rank List
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Costco (COST) Stock Sinks As Market Gains: What You Should Know
In the latest trading session, Costco (COST - Free Report) closed at $503.81, marking a -1.81% move from the previous day. This change lagged the S&P 500's 0.09% gain on the day.
Coming into today, shares of the warehouse club operator had gained 13.56% in the past month. In that same time, the Retail-Wholesale sector gained 9.07%, while the S&P 500 gained 8.19%.
Wall Street will be looking for positivity from COST as it approaches its next earnings report date. This is expected to be December 9, 2021. In that report, analysts expect COST to post earnings of $2.57 per share. This would mark year-over-year growth of 12.23%. Our most recent consensus estimate is calling for quarterly revenue of $49.61 billion, up 14.82% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $12.07 per share and revenue of $214.79 billion. These totals would mark changes of +8.94% and +9.63%, respectively, from last year.
Investors should also note any recent changes to analyst estimates for COST. Recent revisions tend to reflect the latest near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Our research shows that these estimate changes are directly correlated with near-term stock prices. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 1.73% higher. COST is currently sporting a Zacks Rank of #1 (Strong Buy).
Digging into valuation, COST currently has a Forward P/E ratio of 42.51. Its industry sports an average Forward P/E of 23.04, so we one might conclude that COST is trading at a premium comparatively.
It is also worth noting that COST currently has a PEG ratio of 4.92. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Retail - Discount Stores was holding an average PEG ratio of 2.28 at yesterday's closing price.
The Retail - Discount Stores industry is part of the Retail-Wholesale sector. This industry currently has a Zacks Industry Rank of 201, which puts it in the bottom 21% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.