Costco Stock Plummets Amid Revenue Disappointment
Friday, 8 March 2024, 22:56
Costco Stock Decline
Costco's shares closed down 7.6% on Friday for its worst day since May 2022 after missing revenue expectations.
Factors Behind the Decline
- Gasoline Price Impact: Lower gasoline prices negatively affected Costco's second-quarter revenue.
- Revenue Figures: Costco's Q2 revenue rose 6% to $58.44 billion but fell short of estimated figures.
At least seven brokerages increased their price target on Costco, with Jefferies raising it to $905. Costco's outgoing CFO Richard Gallanti cited gasoline price deflation as a key factor in the revenue shortfall.
This article was prepared using information from open sources in accordance with the principles of Ethical Policy. The editorial team is not responsible for absolute accuracy, as it relies on data from the sources referenced.