Costco Stock Is Trading Below its Target

CostcoCostco Wholesale Corp. (NASDAQ: COST) has just released its best fiscal report ever, suggesting that the stock could post strong gains following the current market downturn. Investors looking for a growth option with a dividend return can consider this pick in September.

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Costco surprised analysts on Thursday when it reported fourth-quarter revenue of $53.4 billion, up 12.5% from a year ago. Earnings were $1.39 billion, equivalent to $3.13 per share. The company completed its fiscal year with total revenue of $163.2 billion, a year over year increase of 9.3%. The total profit for the year was $4 billion, an increase of 9.3%.

The stock was down during after-hours trading on Thursday, reflecting a wider pullback in stocks heading into the 2020 Presidential Election. This pick is still reliable thanks to the company’s continued growth and ability to operate during the Coronavirus Pandemic. Analysts have pinned an average target price of $355.28 to the stock, suggesting an upside even as share prices decline in the short-term.

With a dividend yield of 0.81%, there’s both income and price growth potential with Costco stock.

Key Data:

  • 1 Year Price Growth: 38%
  • YTD Price Growth: 06%
  • 3 Month Price Growth: 46%

All information is based on current and historical market data, as well as publicly available financial data. As with any financial decision, your own research is important. Stock market outcomes can never be 100% accurately predicted. Familiarity with historical data, individual industries, and individual stocks is key to developing a robust portfolio. Note that stock prices can fluctuate rapidly during trading sessions.

 

The reports, research and newsletter are based on current and historical market data, as well as publicly available financial data.They are intended to be a starting point for investors. They do not provide every material fact about a company or industry, nor are they recommendations to buy or sell. The writers and the company make no warranties or representations as to the accuracy of these reports.   You should NOT rely solely upon the information or opinions read in the content. Rather, you should use the content as a starting point for doing independent research on the independent analysis and trading methods in the content. The content is impersonal and does not provide individualized advice or recommendations for any specific reader or individual portfolio. By accessing this website you have agreed to our disclaimers and privacy policy.

 

 

The reports, research and newsletter are based on current and historical market data, as well as publicly available financial data.They are intended to be a starting point for investors. They do not provide every material fact about a company or industry, nor are they recommendations to buy or sell. The writers and the company make no warranties or representations as to the accuracy of these reports.   You should NOT rely solely upon the information or opinions read in the content. Rather, you should use the content as a starting point for doing independent research on the independent analysis and trading methods in the content. The content is impersonal and does not provide individualized advice or recommendations for any specific reader or individual portfolio. By accessing this website you have agreed to our disclaimers and privacy policy.

 

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