Wall Street analysts expect Costco (COST) to post quarterly earnings of $3.77 per share in its upcoming report, which indicates a year-over-year increase of 8.3%. Revenues are expected to be $62.03 billion, up 7.3% from the year-ago quarter.
The current level reflects a downward revision of 0.1% in the consensus EPS estimate for the quarter over the past 30 days. This demonstrates how the analysts covering the stock have collectively reappraised their initial projections over this period.
Before a company announces its earnings, it is essential to take into account any changes made to earnings estimates. This is a valuable factor in predicting the potential reactions of investors toward the stock. Empirical research has consistently shown a strong correlation between trends in earnings estimate revisions and the short-term price performance of a stock.
While investors typically use consensus earnings and revenue estimates as a yardstick to evaluate the company's quarterly performance, scrutinizing analysts' projections for some of the company's key metrics can offer a more comprehensive perspective.
With that in mind, let's delve into the average projections of some Costco metrics that are commonly tracked and projected by analysts on Wall Street.
Analysts predict that the 'Revenue- Membership fees' will reach $1.17 billion. The estimate indicates a year-over-year change of +8.1%.
Analysts' assessment points toward 'Revenue- Net Sales' reaching $60.99 billion. The estimate indicates a year-over-year change of +7.5%.
Based on the collective assessment of analysts, 'Geographic Revenue- Canada' should arrive at $8.50 billion. The estimate suggests a change of +7.6% year over year.
The average prediction of analysts places 'Geographic Revenue- Other International' at $8.64 billion. The estimate points to a change of +7.2% from the year-ago quarter.
The collective assessment of analysts points to an estimated 'Geographic Revenue- United States' of $45.41 billion. The estimate points to a change of +8.6% from the year-ago quarter.
The consensus among analysts is that 'Comparable sales - Total Company' will reach 5.5%. Compared to the current estimate, the company reported 3.8% in the same quarter of the previous year.
The combined assessment of analysts suggests that 'Number of warehouses - Total worldwide' will likely reach 896. The estimate compares to the year-ago value of 871.
According to the collective judgment of analysts, 'Comparable sales - Canada' should come in at 6.2%. The estimate compares to the year-ago value of 6.4%.
Analysts expect 'Number of warehouses - United States and Puerto Rico' to come in at 618. The estimate compares to the year-ago value of 600.
It is projected by analysts that the 'Comparable sales - Other International' will reach 5.7%. Compared to the current estimate, the company reported 11.2% in the same quarter of the previous year.
The consensus estimate for 'Number of warehouses - Canada' stands at 109. Compared to the present estimate, the company reported 108 in the same quarter last year.
Analysts forecast 'Total paid members as of quarter end' to reach 76,401. Compared to the present estimate, the company reported 72,000 in the same quarter last year.
View all Key Company Metrics for Costco here>>>
Costco shares have witnessed a change of +5.2% in the past month, in contrast to the Zacks S&P 500 composite's +2.9% move. With a Zacks Rank #3 (Hold), COST is expected closely follow the overall market performance in the near term. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>>
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