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.
In the latest trading session, Costco (COST - Free Report) closed at $1,046.47, marking a +2.67% move from the previous day. This change outpaced the S&P 500's 1.58% gain on the day. Meanwhile, the Dow gained 3.03%, and the Nasdaq, a tech-heavy index, added 1.44%.
Shares of the warehouse club operator have appreciated by 8.93% over the course of the past month, outperforming the Retail-Wholesale sector's gain of 5.98%, and the S&P 500's loss of 1.97%.
Analysts and investors alike will be keeping a close eye on the performance of Costco in its upcoming earnings disclosure. In that report, analysts expect Costco to post earnings of $4.87 per share. This would mark year-over-year growth of 12.21%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $74.02 billion, up 9.98% from the year-ago period.
COST's full-year Zacks Consensus Estimates are calling for earnings of $22.7 per share and revenue of $328.78 billion. These results would represent year-over-year changes of +11% and +8.45%, respectively.
Investors should also take note of any recent adjustments to analyst estimates for Costco. These revisions help to show the ever-changing nature of near-term business trends. Therefore, positive revisions in estimates convey analysts' confidence in the business performance and profit potential.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To utilize this, we have created the Zacks Rank, a proprietary model that integrates these estimate changes and provides a functional 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 last 30 days, the Zacks Consensus EPS estimate has moved 0.73% lower. As of now, Costco holds a Zacks Rank of #3 (Hold).
Looking at its valuation, Costco is holding a Forward P/E ratio of 44.91. This valuation marks a premium compared to its industry average Forward P/E of 20.13.
One should further note that COST currently holds a PEG ratio of 4.36. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company's anticipated earnings growth rate. Retail - Discount Stores stocks are, on average, holding a PEG ratio of 1.92 based on yesterday's closing prices.
The Retail - Discount Stores industry is part of the Retail-Wholesale sector. With its current Zacks Industry Rank of 57, this industry ranks in the top 24% 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.
Ensure to harness Zacks.com to stay updated with all these stock-shifting metrics, among others, in the next trading sessions.
View the Zacks #1 Rank List
Image: Bigstock
Costco (COST) Rises Higher Than Market: Key Facts
In the latest trading session, Costco (COST - Free Report) closed at $1,046.47, marking a +2.67% move from the previous day. This change outpaced the S&P 500's 1.58% gain on the day. Meanwhile, the Dow gained 3.03%, and the Nasdaq, a tech-heavy index, added 1.44%.
Shares of the warehouse club operator have appreciated by 8.93% over the course of the past month, outperforming the Retail-Wholesale sector's gain of 5.98%, and the S&P 500's loss of 1.97%.
Analysts and investors alike will be keeping a close eye on the performance of Costco in its upcoming earnings disclosure. In that report, analysts expect Costco to post earnings of $4.87 per share. This would mark year-over-year growth of 12.21%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $74.02 billion, up 9.98% from the year-ago period.
COST's full-year Zacks Consensus Estimates are calling for earnings of $22.7 per share and revenue of $328.78 billion. These results would represent year-over-year changes of +11% and +8.45%, respectively.
Investors should also take note of any recent adjustments to analyst estimates for Costco. These revisions help to show the ever-changing nature of near-term business trends. Therefore, positive revisions in estimates convey analysts' confidence in the business performance and profit potential.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To utilize this, we have created the Zacks Rank, a proprietary model that integrates these estimate changes and provides a functional 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 last 30 days, the Zacks Consensus EPS estimate has moved 0.73% lower. As of now, Costco holds a Zacks Rank of #3 (Hold).
Looking at its valuation, Costco is holding a Forward P/E ratio of 44.91. This valuation marks a premium compared to its industry average Forward P/E of 20.13.
One should further note that COST currently holds a PEG ratio of 4.36. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company's anticipated earnings growth rate. Retail - Discount Stores stocks are, on average, holding a PEG ratio of 1.92 based on yesterday's closing prices.
The Retail - Discount Stores industry is part of the Retail-Wholesale sector. With its current Zacks Industry Rank of 57, this industry ranks in the top 24% 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.
Ensure to harness Zacks.com to stay updated with all these stock-shifting metrics, among others, in the next trading sessions.