Costco Wholesale Corporation (COST), is preparing to release its Q3 earnings report on Thursday after the market closes, and investor attention is drawn to comparable sales and market challenges ahead.
According to market analysts, the consensus on the Street for earnings per share is $3.30, which is expected to match the previous quarter’s earnings. In terms of revenue, industry experts expect a total of $54.64 billion.
Compared to the previous quarter, where the company reported revenues of $55.266 billion, falling short of the expected $55.54 billion, the Q3 forecast indicates a slight dip.
Despite beating the Street’s earnings estimate last quarter, investors pushed the stock down 2.15% due to softer revenue.
Check out more ratings here, as Morgan Stanley recently raised its price target on the company’s stock.
Costco’s shares, headquartered in Issaquah, Washington, are currently trading slightly above levels seen a year ago, but have been trading in a range for the past year.
The company’s comparable sales performance will be a crucial factor to watch in its upcoming report. Unfavorable exchange rates and fluctuating fuel prices add to the challenges impacting the metric, and a deceleration would reflect challenges in consumer spending power.
Price action: Costco’s shares are trading at $481.91, 0.61% lower, as per Benzinga Pro data.
Read next: NVIDIA Q1 Earnings Preview: Will Stock See A Repeat Of The Q4 Surge?
