Taking a Fresh Look at Costco Wholesale Corporation (COST)

Costco Wholesale Corporation (COST) is an interesting player in the Services space, with a focus on Discount, Variety Stores. The stock has been active on the tape, currently trading at $184.15, up from yesterday’s close by 1.71%. Given the stock’s recent action, it seemed like a good time to take a closer look at the company’s recent data.

Fundamental Analysis

Costco Wholesale Corporation (COST) currently trades with a market capitalization of $80.65 Billion. That value represents a market adjusting for revenues that have been growing by 13.20 % on a quarterly year/year basis as of the company’s last quarterly report.

You can get a sense of how sustainable that is by a levered free cash flow of $5.45 Billion over the past twelve months. Generally speaking, earnings are expected to grow in coming quarters. Analysts are forecasting earnings of $1.46 on a per share basis this quarter. Perhaps, that suggests something about why 0.53% of the outstanding share supply is held by institutional investors.

Technical Analysis

No analysis is ever complete without a thorough survey of a stock’s technical behavior. Looking at the stock’s movement on the chart, Costco Wholesale Corporation recorded a 52-week high of $199.88. It is now trading 15.73% off that level. The stock is trading $189.01 its 50-day moving average by 4.86%. The stock carved out a 52-week low down at $150.00.

In recent action, Costco Wholesale Corporation (COST) has made a move of -3.85% over the past month, which has come on weak relative transaction volume. Over the trailing year, the stock is underperforming the S&P 500 by 13.62, and it’s gotten there by action that has been less volatile on a day-to-day basis than most other stocks on the exchange. In terms of the mechanics underlying that movement, traders will want to note that the stock is trading on a float of 1.85% with $436.41 Million sitting short, betting on future declines. That suggests something of the likelihood of a short squeeze in shares of COST.

Previous articleHow Does The PNC Financial Services Group, Inc. (PNC) Stack Up Right Now?
Next articleWynn Resorts, Limited (WYNN): From Top to Bottom