Analyst Ratings for Costco Wholesale Corp. (COST)

Updated: 2017-07-28

Costco Wholesale Corp. (NASDAQ:COST) was awarded an average rating of Overweight from investment analysts following the stock. A consensus rating of Overweight was previously issued for COST last month.

Of the 30 analysts covering the stock, 15 gave it a buy rating, 4 issued an overweight rating, 11 issued a hold rating, 0 gave an underweight rating, and 0 gave a sell rating. Compared to three months ago, there has been an decrease of 2 in the number of analysts with a positive outlook on the stock. During this time, the number of analysts bearish on the stock has increased by 0.

A number of analysts gave price targets for COST. The most optimistic price target was 205, which equates to a potential upside of 34.41 percent. The minimum price target given was 152, implying potential capital losses of -0.34 percent. One must be careful with overanalyzing price targets and ratings due to possible conflicts of interest among the analysts releasing them.

Analysts have revised their earnings estimates upwards for this quarter, by about 0.25 percent on average, compared to last month. This can be compared with the average change in earnings estimates over the past 3 months, which is 0.5 percent. Over the past 30 days, FY earnings estimates have also changed upwards by 0.17 percent. If we look at the last 90 days instead, we find a net average change of 1.77 percent in FY estimates.

Another thing investors often look at is the level of agreement among analysts' revisions. 4 analysts made positive revisions to their quarterly estimates over the past month, which can be compared to the 0 analysts that decreased their estimates. Also over the last month, 3 analysts increased their estimates for the FY earnings, while 0 analysts decreased their estimates.

The growth rate of COST's earnings is estimated by analysts to be -0.41 percent. People on Wall Street often look at a company's PEG ratio. A lower PEG ratio is favorable, because people typically see that as an indicator of higher growth relative to stock price. People often look for the PEG ratio to be under 1, even though it may be more relevant to compare the ratio to that of a firm's competitors. The PEG ratio of COST is -64.46.

COST has traded between a high of 183.18 and a low of 142.11 over the past year. The current market price is above the trailing year's low by 7.33 percent, and 16.74 percent lower than its 52-week high. COST has a P/E ratio of 26.43. Investors typically compare the P/E ratio to a company's peers in the industry. The COST value stock report compares COST to some of its peers using value stock charts. The market cap of COST is $66.71 billion. COST's next earnings release will be on 0000-00-00, which is days away.