Shorty spit roast today! Lock your shares up! Set sell orders in the 170s and force these shorts to cover higher! I see 168 at 4 pm
Costco continues to make prudent use of its cash flow through share repurchases and dividend payments. During the second quarter of fiscal 2018, the company bought back shares worth of $59 million. Costco had repurchased shares worth of $473 million in fiscal 2017, $477 million in fiscal 2016, $493 million in fiscal 2015 and $333 million in fiscal 2014.
The stock has been underperforming the index. Relative strength chart, weekly (green=50ma, red=200ma) Currently COST is above the daily Bollinger band. Watch it for a couple of days as it is also at the declining tops line in the relative strength chart. Here's the weekly chart of COST itself (purple=20ma), connecting the same candletops as in the COST/SPY chart:
Supermarket chain Costco declares special dividend of $10 per share https://www.reuters.com/article/us-...pecial-dividend-of-10-per-share-idUSKBN27W2XX
COST is reporting some extraordinary same-store sales growth. But I went to a couple stores last week and couldn't find a couple of items in store (hot dogs, pancakes). I'm talking the real bargain Farmer John's hotdogs, not the world famous Costco dogs you get in their food court. Supply chain issues? Or is it online (lazy bastards getting their pancakes online...) buyers affecting what is found in store? Because how can same-store sales growth be so amazing when items are not available?
Costco Stock Is Near Record Highs. Why It Could Keep Climbing. -- Barrons.com 12:27 pm ET March 30, 2022 (Dow Jones) Print Teresa Rivas While many retailers have floundered in 2022 on fears that inflation will cut into consumers' buying power, Costco Wholesale has flourished. That's no surprise, given that value-oriented stores resonate with shoppers even more keenly when they're closely watching their budgets. Oppenheimer expects that trend to continue, rating the stock a buy even as it bumps up against record highs. Analyst Rupesh Parikh reiterated an Outperform rating on Costco (ticker: COST) on Wednesday while raising his price target to $620 from $580. Costco shares edged up 0.8% to $574.74 in recent trading, just a few dollars shy of all-time highs. The stock has gained 1.3% year to date and more than 63% in the past 12 months, outperforming both the S&P 500 and Dow Jones Industrial Average for both periods. Parikh's move follows his recent meetings with management, which left him more confident about the company's outlook, both near and longer term. "We believe the Costco business model remains extremely well-positioned for the current environment given a strong value proposition in a highly inflationary backdrop, a thriving fuel business, and reopening tailwinds in categories such as travel and apparel," he writes. The shares' rise paused briefly despite strong earnings earlier this month, but have since rebounded. In addition, Costco remains a favorite among analysts. Nearly two-thirds of the 34 tracked by FactSet have a Buy rating or the equivalent on the shares, even with Costco trading for more than 41 times forward earnings. Bulls have argued that Costco deserves a premium because the retailer was a steady performer long before the pandemic, when it kicked into an even higher gear. With recurring revenue from memberships and high marks from consumers in terms of value, the company looks poised to continue benefiting this year, even as inflation and economic uncertainty cloud the overall picture for retail. Write to Teresa Rivas at [email protected] (END) Dow Jones Newswires March 30, 2022 12:27 ET (16:27 GMT) Copyright (c) 2022 Dow Jones & Company, Inc.
