Consumer Discretionary

Retailer Costco Wholesale Corporation (NASDAQ:COST) reported second-quarter financial results after market close Thursday. Analysts size up the results and what’s next for Costco stock, which trades near all-time highs. Truist analyst Scot Ciccarelli has a Buy rating and raises the price target from $741 to $815. Stifel analyst Mark Astrachan has a Buy rating and raises the price target from $735 to $800. Telsey analyst Joseph Feldman has an Outperform rating and raises the price targe from $750 to $800. Oppenheimer analyst Rupesh Parikh has an Outperform rating and a price target of $805. Goldman Sachs analyst Kate McShane has a Buy rating and raises the price target from $749 to $830. DA Davidson analyst Michael Baker has a Neutral rating and raises the price target from $600 to $680. Related Link: Costco Membership Fee Increase Could Be Coming, Hot Dog & Soda Combo To Stay The Same Truist: Improving discretionary sales and […]

Costco Reports Q2 EPS of $3.92 on Revenue of $58.4 Billion, vs CIQ Analyst Consensus of $3.64/Share on Revenue of $59.1 Billion。

Costco (COST) shares slipped 4.7% in after-market trading as the company reported revenue that fell short of estimates in the fiscal second quarter despite booming e-commerce sales. The big-box retail giant’s profit rose to $1.74 billion, or $3.92 a share, for the quarter ended Feb. 18, from $1.47 billion, or $3.30 a share, in the prior-year quarter. Analysts polled by FactSet expected per-share earnings of $3.61. Revenue rose 5.7% to $58.44 billion, falling short of the $59.11 billion expected by analysts polled by FactSet. Comparable sales for the quarter were up 5.6% for the company, with a 4.3% increase in the U.S. offsetting higher comparable sales growth in Canada and other international. E-commerce comparable sales increased 18% in the quarter.

Costco Wholesale (COST) reported fiscal Q2 earnings late Thursday of $3.92 per diluted share, up from $3.30 a year earlier. Analysts polled by Capital IQ expected $3.61. Net sales for the quarter were $58.44 billion, up from $55.27 billion a year earlier. Analysts surveyed by Capital IQ expected $59.13 billion. Costco shares fell past 4% in after-hours trading.

By Sabrina Escobar Costco (COST.US) topped earnings expectations, but the stock fell in after-hour trading Thursday following the company’s rare revenue miss. The company’s fiscal second-quarter revenue of $58.4 billion missed analyst projections for $59.1 billion. Total company same-store sales, adjusted for currency and gasoline price fluctuations, rose 5.8% year-over-year. Analysts had predicted they would tick up 5%. Earnings of $3.92 a share were higher than estimates for $3.63 a share. Net income got a boost from a $94 million tax benefit from the deductibility of the $15-per-share special dividend announced last year. Costco’s stock fell 4.6% to $749.63 Thursday afternoon. The stock has gained 19% this year, while the S&P 500 is up 8%. The company — and its stock — have been reliable outperformers over the past couple of quarters, with strong financial results pushing shares to historic highs. And indeed, Costco has given investors a lot to

Replying to the first question on an earnings call, outgoing CFO Richard Galanti tells analysts that the retailer isn’t prepared to announce an increase in membership fees. Investors have been watching whether Costco would boost its fees in a bid to capture additional revenue. Renewal rates increased in 2Q from 1Q and overall membership grew year over year. Walmart’s Sam’s Club raised its membership fees in 2022. “We will at some point,” says Galanti, who will be replaced by former Kroger CFO Gary Millerchip on March 15. “I’ve been joking with Gary, it will be on his watch, not mine.”