Advertisement
Canada markets closed
  • S&P/TSX

    21,587.88
    -51.22 (-0.24%)
     
  • S&P 500

    5,473.23
    +41.63 (+0.77%)
     
  • DOW

    38,778.10
    +188.94 (+0.49%)
     
  • CAD/USD

    0.7289
    +0.0005 (+0.07%)
     
  • CRUDE OIL

    80.51
    +0.18 (+0.22%)
     
  • Bitcoin CAD

    91,403.46
    +61.45 (+0.07%)
     
  • CMC Crypto 200

    1,388.84
    +0.68 (+0.05%)
     
  • GOLD FUTURES

    2,334.70
    +5.70 (+0.24%)
     
  • RUSSELL 2000

    2,022.01
    +15.85 (+0.79%)
     
  • 10-Yr Bond

    4.2790
    +0.0660 (+1.57%)
     
  • NASDAQ futures

    19,933.50
    +12.25 (+0.06%)
     
  • VOLATILITY

    12.75
    +0.09 (+0.71%)
     
  • FTSE

    8,142.15
    -4.71 (-0.06%)
     
  • NIKKEI 225

    38,102.44
    -712.12 (-1.83%)
     
  • CAD/EUR

    0.6786
    -0.0012 (-0.18%)
     

Here's Why Costco (COST) is a Strong Growth Stock

Taking full advantage of the stock market and investing with confidence are common goals for new and old investors alike.

Achieving those goals is made easier with the Zacks Style Scores, a unique set of guidelines that rates stocks based on popular investing methodologies, namely value, growth, and momentum. The Style Scores can help you narrow down which stocks are better for your portfolio and which ones can beat the market over the long-term.

Why This 1 Growth Stock Should Be On Your Watchlist

For growth investors, a company's financial strength, overall health, and future outlook take precedence, so they'll want to zero in on the Growth Style Score. This Score examines things like projected and historical earnings, sales, and cash flow to find stocks that will generate sustainable growth over time.

ADVERTISEMENT

Costco (COST)

Based in Issaquah, Washington, Costco Wholesale Corporation sells high volumes of foods and general merchandise (including household products and appliances) at discounted prices through membership warehouses. It is one of the largest warehouse club operators in the United States. The company also operates e-commerce sites in the United States, Canada, the United Kingdom, Mexico, Korea, Taiwan, Japan and Australia.

COST boasts a Growth Style Score of A and VGM Score of A, and holds a Zacks Rank #3 (Hold) rating. Its bottom-line is projected to rise 9.2% year-over-year for 2024, while Wall Street anticipates its top line to improve by 4.6%.

Four analysts revised their earnings estimate upwards in the last 60 days for fiscal 2024. The Zacks Consensus Estimate has increased $0.09 to $16.04 per share. COST boasts an average earnings surprise of 2.6%.

Looking at cash flow, Costco is expected to report cash flow growth of 10.4% this year; COST has generated cash flow growth of 14.1% over the past three to five years.

With solid fundamentals, a good Zacks Rank, and top-tier Growth and VGM Style Scores, COST should be on investors' short lists.

Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report

Costco Wholesale Corporation (COST) : Free Stock Analysis Report

To read this article on Zacks.com click here.

Zacks Investment Research