Costco Wholesale logo

COST - Costco Wholesale News Story

$385.94 3.2  0.8%

Last Trade - 4:46pm

Sector
Consumer Cyclicals
Size
Large Cap
Market Cap £121.99bn
Enterprise Value £121.16bn
Revenue £128.65bn
Position in Universe 66th / 6854

BUZZ-Street View: Costco set for more growth despite profit miss

Fri 5th March, 2021 11:34am
** Costco Wholesale Corp  COST.O  missed analysts' estimates
for Q2 profit on Thursday, as it spent more on employee benefits
who worked through the COVID-19 pandemic and sanitizing its
stores  urn:newsml:reuters.com:*:nL3N2L24BE
    ** Shares down 0.9% at $316.25 in premarket trading

   MORE FOCUS ON THE SILVER LININGS 
    ** J.P.Morgan ("overweight," PT: $369) says co has
"ballasts" in its assortment that are pro-reopening
    ** RBC ("outperform," PT: $399) says despite some investors'
concern over co's Q2 margins, brokerage continues to believe
that co is "marching to its own drummer," especially with
e-commerce
    ** Co's merchandise offering provides both upside potential
and downside protection in the event of an economic downturn -
RBC
    ** Evercore ISI ("outperform") says co's loyalty driven
model "offers defensive growth with a sneaky reopen kicker to
keep the stock compounding"
    ** Cowen and Company ("outperform," PT: $410) believes co is
well-positioned to continue delivering robust near- to
medium-term earnings growth driven by "square footage growth,
membership revenue growth, and industry-leading comps growth"
    ** Morningstar (fair value: $332) expects mid-single-digit
percentage sales growth and 3%-4% operating margins over the
next 10 year
    ** Investors should wait for a greater margin of safety as
COST still faces an uncertain normalization of spending habits
with the pandemic receding - brokerage

 (Reporting by Tapanjana Rudra)
 ((Tapanjana.Rudra@thomsonreuters.com;))
© Stockopedia 2021, Refinitiv, Share Data Services.
This site cannot substitute for professional investment advice or independent factual verification. To use it, you must accept our Terms of Use, Privacy and Disclaimer policies.