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) Ascends But Remains Behind Market: Some Facts to Note
Read MoreHide Full Article
The latest trading session saw Costco (COST - Free Report) ending at $1,016.15, denoting a +0.8% adjustment from its last day's close. This change lagged the S&P 500's 3.26% gain on the day. Elsewhere, the Dow gained 2.81%, while the tech-heavy Nasdaq added 4.35%.
The warehouse club operator's shares have seen an increase of 4.64% over the last month, surpassing the Retail-Wholesale sector's gain of 4.56% and the S&P 500's gain of 3.78%.
The investment community will be closely monitoring the performance of Costco in its forthcoming earnings report. The company is scheduled to release its earnings on May 29, 2025. The company is expected to report EPS of $4.25, up 12.43% from the prior-year quarter. At the same time, our most recent consensus estimate is projecting a revenue of $63.14 billion, reflecting a 7.9% rise from the equivalent quarter last year.
For the full year, the Zacks Consensus Estimates are projecting earnings of $17.96 per share and revenue of $274.79 billion, which would represent changes of +11.48% and +7.99%, respectively, from the prior year.
Investors should also take note of any recent adjustments to analyst estimates for Costco. Such recent modifications usually signify the changing landscape of near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable 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 shifted 0.05% upward. Costco presently features a Zacks Rank of #2 (Buy).
In the context of valuation, Costco is at present trading with a Forward P/E ratio of 56.13. This represents a premium compared to its industry's average Forward P/E of 21.7.
Meanwhile, COST's PEG ratio is currently 5.99. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. By the end of yesterday's trading, the Retail - Discount Stores industry had an average PEG ratio of 2.69.
The Retail - Discount Stores industry is part of the Retail-Wholesale sector. With its current Zacks Industry Rank of 71, this industry ranks in the top 29% of all industries, numbering over 250.
The Zacks Industry Rank is ordered 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.
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
Costco (COST) Ascends But Remains Behind Market: Some Facts to Note
The latest trading session saw Costco (COST - Free Report) ending at $1,016.15, denoting a +0.8% adjustment from its last day's close. This change lagged the S&P 500's 3.26% gain on the day. Elsewhere, the Dow gained 2.81%, while the tech-heavy Nasdaq added 4.35%.
The warehouse club operator's shares have seen an increase of 4.64% over the last month, surpassing the Retail-Wholesale sector's gain of 4.56% and the S&P 500's gain of 3.78%.
The investment community will be closely monitoring the performance of Costco in its forthcoming earnings report. The company is scheduled to release its earnings on May 29, 2025. The company is expected to report EPS of $4.25, up 12.43% from the prior-year quarter. At the same time, our most recent consensus estimate is projecting a revenue of $63.14 billion, reflecting a 7.9% rise from the equivalent quarter last year.
For the full year, the Zacks Consensus Estimates are projecting earnings of $17.96 per share and revenue of $274.79 billion, which would represent changes of +11.48% and +7.99%, respectively, from the prior year.
Investors should also take note of any recent adjustments to analyst estimates for Costco. Such recent modifications usually signify the changing landscape of near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable 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 shifted 0.05% upward. Costco presently features a Zacks Rank of #2 (Buy).
In the context of valuation, Costco is at present trading with a Forward P/E ratio of 56.13. This represents a premium compared to its industry's average Forward P/E of 21.7.
Meanwhile, COST's PEG ratio is currently 5.99. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. By the end of yesterday's trading, the Retail - Discount Stores industry had an average PEG ratio of 2.69.
The Retail - Discount Stores industry is part of the Retail-Wholesale sector. With its current Zacks Industry Rank of 71, this industry ranks in the top 29% of all industries, numbering over 250.
The Zacks Industry Rank is ordered 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.