Key Takeaways
- Oppenheimer analysts stuck with their “outperform” rating on Costco Wholesale on Thursday after the retailer posted strong December sales numbers.
- Catalysts for Costco’s shares “include a potential stock split,” the analysts wrote.
- Costco shares closed Wednesday at $927.37 and are up 41% in the past year.
Oppenheimer analysts stuck with their “outperform” rating on Costco Wholesale (COST) Thursday after the retailer posted strong December sales numbers, noting that catalysts for its shares “include a potential stock split.”
Oppenheimer didn’t give more details but companies with high share prices often split their stock to make it more affordable to retail investors.
The analysts said the wholesaler “remains a top pick” after its adjusted U.S. comparable sales rose nearly 10% year-over-year in December. Their price target for the company is $1,075 per share, above the analyst consensus of $1,047 from Visible Alpha.
Costco’s “combination of gold bars and a powerful gift card assortment continues to resonate with consumers,” the analysts wrote.
Costco shares have risen nearly 40% over the past year, closing Wednesday at $927.37.
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