Investment Rating - The report maintains a "Buy" rating for Costco (COST) [1][5][7] Core Insights - In FY2024 Q2, Costco reported revenue of $58.44 billion, a year-on-year increase of 5.7%, slightly below Bloomberg's consensus estimate of 6.8% [1][3] - The company's e-commerce sales grew significantly, up 18.2% year-on-year, contributing to a record logistics delivery volume exceeding 1 million, a 28% increase from the previous year [1][3] - Membership revenue reached $1.11 billion, up 8.2% year-on-year, with a global renewal rate exceeding 90% [3][4] Revenue and Profitability - Total revenue for FY2024 Q2 was $58.44 billion, with merchandise sales accounting for $57.33 billion and membership fees for $1.11 billion [1][3] - The overall gross margin was 12.5%, a slight increase of 0.1 percentage points year-on-year, while net profit was $1.74 billion, reflecting an 18.9% year-on-year increase [1][3] - The diluted EPS for the quarter was $3.92, up 17.7% year-on-year [1][3] Membership Growth - As of FY2024 Q2, Costco's membership count continued to grow, with a total of 132 million cardholders, a 7.3% increase year-on-year [3][4] - The renewal rate for members in the U.S. and Canada was 92.9%, while the global renewal rate stood at 90.5% [3][4] Store Expansion - As of the end of Q2, Costco had a total of 875 stores, an increase of 27 stores year-on-year, with 603 located in the U.S. [4] - The company plans to open 15 new stores in FY2024 Q3-Q4, with 11 in the U.S. and others in Japan, South Korea, and China [4] Financial Forecast - The report projects Costco's revenue for FY2024 to be $272.17 billion, with net profits of $7.145 billion, and estimates for FY2025 and FY2026 are $303.28 billion and $335.97 billion respectively [5][6] - The expected P/E ratios for FY2024, FY2025, and FY2026 are 45, 38, and 33 respectively [5][6]

Costco Hits A Wall jetcityimage / iStock Editorial via Getty Images Costco’s (NASDAQ: COST) revenue model is the envy of the retail industry. It charges consumers money to shop at its stores. “Members” spend as much as $120 yearly to go to Costco’s brick-and-mortar locations or shop at Costco.com. So, the retailer gets a steady line of recurring revenue, along with the amount people pay for goods and services. However, based on recent earnings, the model hit a wall.After it announced earnings, Costco’s st ...

Follow Invezz on Telegram , Twitter , and Google News for instant updates >Costco Wholesale Corporation’s stock faced a significant downturn, closing down over 7% at approximately $725 per share on Friday.This marked the worst performance day for the retailer’s stock in nearly two years, following its failure to meet Wall Street’s earnings expectations. Second-quarter earnings reveal mixed resultsCopy link to sectionThe dip in stock prices came in the wake of Costco’s earnings report for the second quarter ...

Key TakeawaysThe S&P 500 slid 0.7% on Friday, March 8, 2024, receding from record highs even as signs of a cooling job market buoyed rate cut expectations. Costco shares moved lower after the retailer missed sales estimates and opted against raising membership fees.Shares of Carnival Corp. moved higher after analysts said the cruise operator could be poised to raise its guidance. Major U.S. equities indexes moved lower on the week's final trading day. The February jobs report showed an uptick in unemploymen ...

After Costco (COST) reported better-than-expected earnings but its revenue growth came in lower than anticipated for the second quarter of fiscal 2024, shares fell more than 6% in early trading Friday. The call was Richard Galanti's final as Chief Financial Officer (CFO), with ex-Kroger (KR) CFO Gary Millerchip set to assume the role after Galanti's near 40-year run at the position ends later this month. The shift has led to speculation on how Costco could change with a new CFO, including whether the compa ...

Costco hopes to strike gold again — this time with silver.The big box retailer — which said it sold more than $100 million worth of gold bars in its most recent quarter — said has begun selling 25-count tubes of an ounce of Canada Maple Leaf Silver Coins for $675 apiece on its web site.The front of the coin shows an image depicting a maple leaf while the back displays a likeness of King Charles III.Costco members are permitted to purchase a maximum of five. All purchases are non-refundable.The price works o ...

Shares of membership-based warehouse chain Costco Wholesale (COST -6.50%) took a step back on Friday after the company reported financial results for its fiscal second quarter of 2024. Sales came in a little lighter than analysts expected. And this is a primary reason that Costco stock was down 5% as of 10 a.m. ET.Costco's membership numbers are strongAmong publicly traded companies, Costco has one of the oddest fiscal calendars with its fiscal Q2 ending on Feb. 18. During the 12 weeks leading up to Feb. 18 ...

About this content About Emily Jarvie Emily began her career as a political journalist for Australian Community Media in Hobart, Tasmania. After she relocated to Toronto, Canada, she reported on business, legal, and scientific developments in the emerging psychedelics sector before joining Proactive in 2022. She brings a strong journalism background with her work featured in newspapers, magazines, and digital publications across Australia, Europe, and North America, including The Examiner, The Advocate, ...

Stock futures dipped ahead of a closely watched jobs report that is expected to show a significant cooling of the labor market in February. Economists forecast the U.S. added 198,000 jobs last month, a big drop from 353,000 the month before. But economists weren't expecting job growth to be nearly that robust in January and the labor market has been defying expectations for years. Costco (COST) fell in premarket trading after it reported slower sales growth than analysts had been expecting in its 2024 fisc ...

Costco Wholesale Corporation (COST) came up with second-quarter fiscal 2024 results, wherein the top line missed the Zacks Consensus Estimate but increased year over year. Conversely, the bottom line not only beat the consensus mark but also improved from the year-ago period. Comparable sales also displayed a decent improvement, with the growth rate accelerating on a sequential basis. Costco's e-commerce sales also showcased a sharp rise.Q2 Earnings & Sales PictureCostco's second-quarter adjusted earnings p ...