Costco's Surprisingly Strong June Comp Signals High Member Loyalty And Effective Strategy, Says Analyst
Portfolio Pulse from Shivani Kumaresan
Telsey Advisory Group analyst Joseph Feldman reiterated an Outperform rating on Costco Wholesale Corporation (NASDAQ:COST) and raised the price target from $540 to $575. Costco reported a better-than-expected June comp of (1.4%) versus the analyst's forecast of (2.0%). The analyst projects a July comp of 4.5% vs. 10.0% last year. The analyst raised 4Q23 comparable sales estimate to 1.7% from 1.0%. Costco's better-than-anticipated June comp reflects good execution and its value appeal to a cost-conscious consumer.
July 07, 2023 | 5:58 pm
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POSITIVE IMPACT
Costco's better-than-expected June comp and raised price target by Telsey Advisory Group analyst could positively impact its stock price.
The raised price target and better-than-expected June comp indicate a positive outlook for Costco. This could lead to increased investor confidence and a potential rise in the stock price.
CONFIDENCE 90
IMPORTANCE 80
RELEVANCE 100