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Costco (COST) Rises As Market Takes a Dip: Key Facts
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Costco (COST - Free Report) closed the most recent trading day at $989.43, moving +1.17% from the previous trading session. The stock outpaced the S&P 500's daily loss of 1.09%. At the same time, the Dow lost 0.34%, and the tech-heavy Nasdaq lost 2.15%.
Coming into today, shares of the warehouse club operator had gained 9.41% in the past month. In that same time, the Retail-Wholesale sector gained 3.71%, while the S&P 500 gained 2.44%.
Investors will be eagerly watching for the performance of Costco in its upcoming earnings disclosure. The company is expected to report EPS of $4.87, up 12.21% from the prior-year quarter. At the same time, our most recent consensus estimate is projecting a revenue of $74.14 billion, reflecting a 10.16% rise from the equivalent quarter last year.
For the entire fiscal year, the Zacks Consensus Estimates are projecting earnings of $22.7 per share and a revenue of $328.53 billion, representing changes of +11% and +8.37%, respectively, from the prior year.
Investors should also note any recent changes to analyst estimates for Costco. These recent revisions tend to reflect the evolving nature of short-term business trends. Therefore, positive revisions in estimates convey analysts' confidence in the business performance and profit potential.
Our research suggests that these changes in estimates have a direct relationship with upcoming stock price performance. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the past month, there's been a 0.87% rise in the Zacks Consensus EPS estimate. At present, Costco boasts a Zacks Rank of #3 (Hold).
Valuation is also important, so investors should note that Costco has a Forward P/E ratio of 43.09 right now. This represents a premium compared to its industry average Forward P/E of 22.48.
Investors should also note that COST has a PEG ratio of 4.18 right now. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. As the market closed yesterday, the Retail - Discount Stores industry was having an average PEG ratio of 1.83.
The Retail - Discount Stores industry is part of the Retail-Wholesale sector. This industry, currently bearing a Zacks Industry Rank of 5, finds itself in the top 3% echelons of all 250+ industries.
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.
Ensure to harness Zacks.com to stay updated with all these stock-shifting metrics, among others, in the next trading sessions.
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Costco (COST) Rises As Market Takes a Dip: Key Facts
Costco (COST - Free Report) closed the most recent trading day at $989.43, moving +1.17% from the previous trading session. The stock outpaced the S&P 500's daily loss of 1.09%. At the same time, the Dow lost 0.34%, and the tech-heavy Nasdaq lost 2.15%.
Coming into today, shares of the warehouse club operator had gained 9.41% in the past month. In that same time, the Retail-Wholesale sector gained 3.71%, while the S&P 500 gained 2.44%.
Investors will be eagerly watching for the performance of Costco in its upcoming earnings disclosure. The company is expected to report EPS of $4.87, up 12.21% from the prior-year quarter. At the same time, our most recent consensus estimate is projecting a revenue of $74.14 billion, reflecting a 10.16% rise from the equivalent quarter last year.
For the entire fiscal year, the Zacks Consensus Estimates are projecting earnings of $22.7 per share and a revenue of $328.53 billion, representing changes of +11% and +8.37%, respectively, from the prior year.
Investors should also note any recent changes to analyst estimates for Costco. These recent revisions tend to reflect the evolving nature of short-term business trends. Therefore, positive revisions in estimates convey analysts' confidence in the business performance and profit potential.
Our research suggests that these changes in estimates have a direct relationship with upcoming stock price performance. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the past month, there's been a 0.87% rise in the Zacks Consensus EPS estimate. At present, Costco boasts a Zacks Rank of #3 (Hold).
Valuation is also important, so investors should note that Costco has a Forward P/E ratio of 43.09 right now. This represents a premium compared to its industry average Forward P/E of 22.48.
Investors should also note that COST has a PEG ratio of 4.18 right now. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. As the market closed yesterday, the Retail - Discount Stores industry was having an average PEG ratio of 1.83.
The Retail - Discount Stores industry is part of the Retail-Wholesale sector. This industry, currently bearing a Zacks Industry Rank of 5, finds itself in the top 3% echelons of all 250+ industries.
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.
Ensure to harness Zacks.com to stay updated with all these stock-shifting metrics, among others, in the next trading sessions.