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Costco (COST) Flat As Market Sinks: What You Should Know
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In the latest trading session, Costco (COST - Free Report) closed at $558.79, marking no change from the previous day. This change was narrower than the S&P 500's 0.57% loss on the day. Meanwhile, the Dow lost 0.05%, and the Nasdaq, a tech-heavy index, lost 1.04%.
Heading into today, shares of the warehouse club operator had lost 0.48% over the past month, lagging the Retail-Wholesale sector's loss of 0.27% and the S&P 500's gain of 0.64% in that time.
Costco will be looking to display strength as it nears its next earnings release, which is expected to be September 26, 2023. The company is expected to report EPS of $4.71, up 12.14% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $78.67 billion, up 9.13% from the prior-year quarter.
It is also important to note the recent changes to analyst estimates for Costco. These recent revisions tend to reflect the evolving nature of short-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
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. Within the past 30 days, our consensus EPS projection has moved 0.09% higher. Costco currently has a Zacks Rank of #3 (Hold).
Looking at its valuation, Costco is holding a Forward P/E ratio of 36.29. Its industry sports an average Forward P/E of 22.65, so we one might conclude that Costco is trading at a premium comparatively.
Meanwhile, COST's PEG ratio is currently 4.13. 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. Retail - Discount Stores stocks are, on average, holding a PEG ratio of 2.01 based on yesterday's closing prices.
The Retail - Discount Stores industry is part of the Retail-Wholesale sector. This group has a Zacks Industry Rank of 109, putting it in the top 44% 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.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
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Costco (COST) Flat As Market Sinks: What You Should Know
In the latest trading session, Costco (COST - Free Report) closed at $558.79, marking no change from the previous day. This change was narrower than the S&P 500's 0.57% loss on the day. Meanwhile, the Dow lost 0.05%, and the Nasdaq, a tech-heavy index, lost 1.04%.
Heading into today, shares of the warehouse club operator had lost 0.48% over the past month, lagging the Retail-Wholesale sector's loss of 0.27% and the S&P 500's gain of 0.64% in that time.
Costco will be looking to display strength as it nears its next earnings release, which is expected to be September 26, 2023. The company is expected to report EPS of $4.71, up 12.14% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $78.67 billion, up 9.13% from the prior-year quarter.
It is also important to note the recent changes to analyst estimates for Costco. These recent revisions tend to reflect the evolving nature of short-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
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. Within the past 30 days, our consensus EPS projection has moved 0.09% higher. Costco currently has a Zacks Rank of #3 (Hold).
Looking at its valuation, Costco is holding a Forward P/E ratio of 36.29. Its industry sports an average Forward P/E of 22.65, so we one might conclude that Costco is trading at a premium comparatively.
Meanwhile, COST's PEG ratio is currently 4.13. 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. Retail - Discount Stores stocks are, on average, holding a PEG ratio of 2.01 based on yesterday's closing prices.
The Retail - Discount Stores industry is part of the Retail-Wholesale sector. This group has a Zacks Industry Rank of 109, putting it in the top 44% 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.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.