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.

Several price targets were given for COST by the analysts covering the stock. The maximum price target given was 205, implying potential capital gains of 34.41 percent. The lowest price target was 152, which equates to a potential downside 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.

In the last 30 days, analysts have changed their quarterly earnings estimates upwards by an average of 0.25 percent. The average change in earnings estimates over the last 90 days 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.

Investors like to see analysts making revisions in the same direction, as that raises confidence in the revisions. 4 analysts have revised their quarterly estimates upwards in the past 30 days, 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 made negative revisions to their fiscal year's 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. PEG ratios below 1 are often considered desirable, although it is frequently more appropriate to compare PEG ratios to the company's peers. COST has a PEG ratio of -64.46.

COST has traded between a high of 183.18 and a low of 142.11 over the past year. Currently the stock is 7.33 percent higher than its low, and 16.74 percent below the high. COST has a price/earnings 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 stock has a market capitalization of $66.71 billion. COST's next earnings release will be on 0000-00-00, which is days away.