Costco investors starting to ring the register. Caution.
High flyer for 2019
COST
enters earnings tomorrows earnings pre-market, with huge expectations that it must fulfill considering the crowed trade that is has become.
The main danger for Costco is that if the market begins to rotate back towards the Technology sector, Costco will be a source of capital to do so.
If the selling persists post earnings a very healthy retrace tot he $230 level is more than possible.
Average analysts price target $293
Average analysts recommendation OVERWEIGHT
Short interest 1.07%
P/E ratio 34 (CONSIDERED HIGH IN RETAIL)
Company profile
Costco Wholesale Corp. engages in the operation of membership warehouses. Its product categories include groceries, candy, appliances, television and media, automotive supplies, tires, toys, hardware, sporting goods, jewelry, watches, cameras, books, housewares, apparel, health and beauty aids, tobacco, furniture, office supplies, and office equipment. It operates through the following segments: Unites States Operations, Canadian Operations, and Other International Operations. The company was founded by James D. Sinegal and Jeffrey H. Brotman in 1983 and is headquartered in Issaquah, WA.
COST
enters earnings tomorrows earnings pre-market, with huge expectations that it must fulfill considering the crowed trade that is has become. The main danger for Costco is that if the market begins to rotate back towards the Technology sector, Costco will be a source of capital to do so.
If the selling persists post earnings a very healthy retrace tot he $230 level is more than possible.
Average analysts price target $293
Average analysts recommendation OVERWEIGHT
Short interest 1.07%
P/E ratio 34 (CONSIDERED HIGH IN RETAIL)
Company profile
Costco Wholesale Corp. engages in the operation of membership warehouses. Its product categories include groceries, candy, appliances, television and media, automotive supplies, tires, toys, hardware, sporting goods, jewelry, watches, cameras, books, housewares, apparel, health and beauty aids, tobacco, furniture, office supplies, and office equipment. It operates through the following segments: Unites States Operations, Canadian Operations, and Other International Operations. The company was founded by James D. Sinegal and Jeffrey H. Brotman in 1983 and is headquartered in Issaquah, WA.