J.P. Morgan analyst Christopher Horvers maintained a Buy rating on Costco (COST – Research Report) yesterday and set a price target of $1,070.00.
Christopher Horvers has given his Buy rating due to a combination of factors that highlight Costco’s strong performance and growth potential. The company’s March US core comparable sales exceeded expectations, showcasing robust growth in both domestic and international markets. This growth is further supported by increased traffic and a rise in average ticket sales, indicating a healthy consumer demand.
Additionally, Costco’s strategic positioning in the market, with significant share gains across various regions and product categories, reinforces its status as a core holding. The company’s leverage to a cyclical upswing in big-ticket items and the emerging benefits from advertising revenue contribute to its strong fundamental story. The unique club model and successful international expansion further underscore Costco’s market leadership, making it a compelling investment opportunity.
In another report released today, Stifel Nicolaus also maintained a Buy rating on the stock with a $1,035.00 price target.
Based on the recent corporate insider activity of 66 insiders, corporate insider sentiment is negative on the stock. This means that over the past quarter there has been an increase of insiders selling their shares of COST in relation to earlier this year.