The sign on the side of a Costco is seen in Hawthorne, California, on April 4, 2025.Costco on Thursday posted quarterly earnings and revenue that topped estimates as its sales climbed 8%. Here's how the warehouse club retailer did in its fiscal third quarter compared what Wall Street was expecting, based on a survey of analysts by LSEG:Earnings per share: $4.28 vs. $4.24 expectedRevenue: $63.21 billion vs. $63.19 billion expectedCostco's net income for the three-month period that ended May 11 rose to $1.90 ...

ISSAQUAH, Wash., May 29, 2025 (GLOBE NEWSWIRE) -- Costco Wholesale Corporation (“Costco” or the “Company”) (Nasdaq: COST) today announced its operating results for the third quarter (twelve weeks) and the first 36 weeks of fiscal 2025, ended May 11, 2025. Net sales for the quarter increased 8.0 percent, to $61.96 billion, from $57.39 billion last year. Net sales for the first 36 weeks increased 8.2 percent, to $185.48 billion, from $171.44 billion last year. Comparable sales for the third quarter and first ...

Core Viewpoint - Costco Wholesale Corporation is set to release its third-quarter earnings results, with expectations of increased earnings and revenue compared to the previous year [1]. Financial Performance - Analysts predict Costco will report quarterly earnings of $4.23 per share, an increase from $3.78 per share in the same quarter last year [1]. - Projected quarterly revenue is expected to be $63.1 billion, up from $58.52 billion a year earlier [1]. - The company beat revenue estimates in the second quarter but has only surpassed analyst estimates in four of the last ten quarters overall [2]. Stock Performance - Costco shares experienced a slight decline of 0.5%, closing at $1,013.14 [3]. Analyst Ratings - Telsey Advisory Group analyst Joseph Feldman maintains an Outperform rating with a price target of $1,100 [8]. - Loop Capital analyst Laura Champine has a Buy rating but reduced the price target from $1,150 to $1,045 [8]. - Stifel analyst Mark Astrachan also holds a Buy rating, lowering the price target from $1,075 to $1,035 [8]. - Evercore ISI Group analyst Greg Melich maintains an Outperform rating and raised the price target from $1,050 to $1,070 [8]. - Truist Securities analyst Scot Ciccarelli has a Hold rating and increased the price target from $935 to $995 [8].

Group 1 - Costco has raised its membership fee just before a period of consumer distress, which may create mixed feelings among investors [1] - The company is operating in an uncertain global environment, which could impact its performance [1] Group 2 - The focus on long-term growth and dividend growth investing is emphasized, highlighting the importance of profitability over low valuation [1] - Key metrics such as margins, free cash flow stability and growth, and returns on invested capital are crucial for assessing the company's performance [1]

Group 1: Market Overview - Trump's trade policies have caused volatility in broader equities, leading to investor concerns about future market conditions [1] - Despite short-term uncertainties, the stock market is expected to provide competitive returns over the long term [1] Group 2: Coca-Cola - Coca-Cola has outperformed the market this year, benefiting from its position in the consumer staples industry, which is perceived as a safe haven during economic downturns [4] - The company's forward price-to-earnings (P/E) ratio is 24.2, which is reasonable compared to the industry average of 22.2 [4] - Coca-Cola's extensive global presence and local manufacturing reduce the impact of tariffs, making it resilient to trade policy changes [5] - The brand's strong recognition and adaptability to changing consumer demands provide a competitive advantage [6][7] - Coca-Cola has a remarkable dividend track record, having increased payouts for 63 consecutive years, indicating robust underlying operations [8] Group 3: Costco - Costco's stock appears expensive with a forward P/E of 56.7, which is significantly above the average for consumer staples [9] - The company's membership model fosters customer loyalty and encourages repeat visits, enhancing its competitive position [10] - Costco has substantial growth opportunities, particularly in international markets, with 69% of its warehouses located in the U.S. [11] - The company holds a 1.5% share of the U.S. e-commerce market, with e-commerce sales growing faster, providing a long-term growth tailwind [12] - Although tariffs may impact margins, Costco's strong brand and global expansion strategy are expected to sustain its appeal and performance in the long run [13]

Financial Performance & Membership - BJ's Wholesale Club's net sales increased by 4.7% to $5.0 billion in Q1 FY25 compared to Q1 FY24[7] - Comparable club sales, excluding gasoline impact, grew by 3.9% in Q1 FY25 compared to Q1 FY24[7] - Adjusted EPS increased by 34.1% to $1.14 in Q1 FY25 compared to Q1 FY24[7] - Adjusted EBITDA increased by 20.9% to $285.8 million in Q1 FY25 compared to Q1 FY24[7] - The company has over 7.5 million members[7] with a tenured renewal rate of 90%[7, 17] Strategic Growth & Expansion - The company opened 5 new clubs and 4 new gas stations in Q1 FY25[7] and operated 255 clubs and 190 gas stations as of May 3, 2025[7, 8, 42] - The company expects to open 25-30 new clubs over the next two fiscal years[45, 46] - The company's digital penetration is 13% of merchandise sales as of FY24[37] Market Position & Capital Allocation - The total addressable market in the U.S. for warehouse clubs is $298 billion[19] - The company returned $166.9 million to shareholders via share repurchases in the last twelve months ending Q1 FY25[7] - The company's net debt to LTM adjusted EBITDA is 0.4x[7, 63]

Core Viewpoint - Analysts forecast BJ's Wholesale Club (BJ) will report quarterly earnings of $0.91 per share, reflecting a year-over-year increase of 7.1% and revenues of $5.18 billion, up 5.2% from the previous year [1] Group 1: Earnings and Revenue Estimates - The consensus EPS estimate for the quarter has been revised upward by 0.1% over the past 30 days, indicating a collective reassessment by analysts [2] - Analysts project 'Revenues- Net sales' to reach $5.06 billion, representing a year-over-year change of +5.3% [4] - The average prediction for 'Revenues- Membership fee income' is $119.86 million, suggesting a year-over-year increase of +7.6% [5] Group 2: Operational Metrics - Analysts expect the number of 'Warehouse Clubs' to increase to 256, up from 244 in the same quarter last year [5] - The forecast for 'Gas Stations' is set at 192, compared to 176 reported in the same quarter of the previous year [5] Group 3: Market Performance - BJ's shares have decreased by -1.8% in the past month, contrasting with the Zacks S&P 500 composite's increase of +13.1% [6] - With a Zacks Rank 3 (Hold), BJ is anticipated to closely follow overall market performance in the near term [6]

Core Viewpoint - Costco Wholesale is experiencing strong stock performance, particularly in times of economic volatility, making it an attractive investment opportunity [1] Group 1: Business Model and Performance - Costco operates a unique business model that combines annual membership fees with low prices, attracting affluent customers and fostering loyalty [2] - The company tends to perform exceptionally well during economic downturns as consumers seek to save money by shopping at Costco instead of more expensive retailers [3] - In the fiscal second quarter of 2025, Costco reported a 9.1% year-over-year increase in sales and an 8.3% rise in comparable sales, with earnings per share growing from $3.92 to $4.02 [4] Group 2: E-commerce and Membership Metrics - E-commerce sales surged by 20.9% in the first quarter, becoming a significant growth driver as Costco enhances its digital capabilities [6] - Membership renewal rates in the U.S. and Canada reached 93%, with a global renewal rate of 90.5%, and paid household members increased by 6.8% year-over-year [7] Group 3: Market Position and Stock Performance - Despite market downturns, Costco's stock has risen by 11% this year, contrasting with a 4% decline in the S&P 500, indicating its status as a safe investment [9] - The company recently raised its quarterly dividend by 12% to $1.30, appealing to passive income investors, despite a relatively low yield of 0.47% [10] Group 4: Valuation and Investment Outlook - Costco's stock is considered expensive, with a valuation near 60 times trailing-12-month sales, yet the market continues to support this premium valuation due to its established, low-risk profile [11] - For long-term investors, Costco stock presents a viable opportunity, especially as it maintains low prices in a challenging tariff environment, benefiting from its recurring revenue from memberships [12]

Core Points - PriceSmart, Inc. has announced the appointment of Gualberto Hernandez as the new Chief Financial Officer (CFO) effective June 1, 2025, following the resignation of Michael McCleary by mutual agreement [1] - Michael McCleary will continue to serve as an Executive Vice President until September 30, 2025, and will provide consulting support for three months post-resignation [1] Group 1: Leadership Transition - Gualberto Hernandez has extensive experience, having served as Vice President Finance & Strategy for Latin America at The Estée Lauder Companies since January 2016, and held various leadership roles within the company [2] - Robert Price, Interim CEO, expressed gratitude for Michael McCleary's contributions over his 20-year tenure, highlighting the company's growth during his leadership, including a doubling of club count and an eight-fold increase in revenues [3] Group 2: Company Overview - PriceSmart operates 55 warehouse clubs across 12 countries and one U.S. territory, with plans to open a new club in Quetzaltenango, Guatemala in summer 2025, bringing the total to 56 [4]

Affirm is partnering with Costco to offer online shoppers the option to pay over time for transactions.The financial services company announced the collaboration Thursday (May 8) in a shareholder letter. Customers, if approved, will be to able select monthly Affirm payment plans when shopping on Costco’s website.“[We] are proud to announce our online partnership with Costco — a brand and a retailer I have personally admired for a long time because of their unwavering commitment to customer experience and tr ...