We use cookies to understand how you use our site and to improve your experience.
This includes personalizing content and advertising.
By pressing "Accept All" or closing out of this banner, you consent to the use of all cookies and similar technologies and the sharing of information they collect with third parties.
You can reject marketing cookies by pressing "Deny Optional," but we still use essential, performance, and functional cookies.
In addition, whether you "Accept All," Deny Optional," click the X or otherwise continue to use the site, you accept our Privacy Policy and Terms of Service, revised from time to time.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Costco (COST) Flat As Market Sinks: What You Should Know
Read MoreHide Full Article
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.
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
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.