Costco Wholesale has a
performance score of 1 on a scale of 0 to 100. The firm shows a Beta (market volatility) of 1.0617, which signifies a somewhat significant risk relative to the market. Let's try to break down what Costco's beta means in this case. Costco Wholesale returns are very sensitive to returns on the market. As the market goes up or down, Costco Wholesale is expected to follow. Although it is important to respect
Costco Wholesale historical returns, it is better to be realistic regarding the information on the equity's current trending patterns. The philosophy towards foreseeing
future performance of any stock is to evaluate the business as a whole together with its past performance, including all
available fundamental and
technical indicators. By analyzing
Costco Wholesale technical indicators, you can presently evaluate if the expected return of 0.0237% will be sustainable into the future.
Costco Wholesale right now shows a risk of 1.55%. Please confirm Costco Wholesale
potential upside, as well as the
relationship between the accumulation distribution and
price action indicator to decide if Costco Wholesale will be following its
price patterns.
The successful prediction of Costco Wholesale
stock price could yield a significant profit to investors. But is it possible? The efficient-market hypothesis suggests that all published
stock prices of traded companies, such as Costco Wholesale Corp, already reflect all publicly available information. This academic statement is a fundamental principle of many financial and investing theories used today. However, the typical investor usually disagrees with a 'textbook' version of this hypothesis and continually tries to find mispriced stocks to increase returns. We use internally-developed statistical techniques to arrive at
the intrinsic value of Costco Wholesale based on Costco Wholesale hews, social hype, general headline patterns, and widely used
predictive technical indicators. We also calculate exposure to Costco Wholesale's
market risk, different
technical and
fundamental indicators, relevant financial multiples and ratios, and then
comparing them to Costco Wholesale's related companies.
Use Technical Analysis to project Costco expected Price
Costco Wholesale technical stock analysis exercises models and trading practices based on price and volume transformations, such as the moving averages, relative strength index, regressions, price and return correlations, business cycles, stock market cycles, or different charting patterns.
A focus of Costco Wholesale technical analysis is to determine if market prices reflect all relevant information impacting that market. A technical analyst looks at the history of Costco Wholesale trading pattern rather than external drivers such as economic, fundamental, or social events. It is believed that price action tends to repeat itself due to investors' collective, patterned behavior. Hence technical analysis focuses on identifiable price trends and conditions.
More Info...Costco Wholesale Gross Profit
Costco Wholesale Gross Profit growth is one of the most critical measures in evaluating the company. The Gross Profit growth rate is calculated simply by comparing Costco Wholesale previous period's values with its current period's values. Each time period you're measuring should be of equal lengths the increase or decrease, in a company's Gross Profit between two periods. Here we show Costco Wholesale Gross Profit growth over the last 10 years. Please check Costco Wholesale's
gross profit and other
fundamental indicators for more details.
Another Deeper Perspective
Costco Wholesale reported the previous year's revenue of 217.54
B. Net Income was 5.65
B with profit before overhead, payroll, taxes, and interest of 25.25
B.
Is Costco showing indication of lower volatility?
Costco Wholesale newest downside deviation boosts over 1.76. Costco Wholesale has relatively low volatility with skewness of -0.48 and kurtosis of 1.62. However, we advise all investors to independently investigate Costco Wholesale to ensure all accessible information is consistent with the expectations about its upside potential and future expected returns. Understanding different market volatility trends often help investors to time the market. Properly using volatility indicators enable traders to measure Costco Wholesale's stock risk against market volatility during both bullish and bearish trends. The higher level of volatility that comes with bear markets can directly impact Costco Wholesale's stock price while adding stress to investors as they watch their shares' value plummet. This usually forces investors to rebalance their portfolios by buying different stocks as prices fall.
The Bottom Line
When is the right time to buy or sell Costco Wholesale? Buying stocks such as Costco Wholesale isn't very hard. However, what challenging for most investors is doing it at the right time. Proper
market timing is something most people cannot do without
sophisticated tools, which help to isolate the right opportunities, deliver winning trades and diversify portfolios on a daily basis.
While some private investors may not share our view, we believe it may be a good time to increase your existing holdings in Costco as the risk-reward trade off is appealing enough to hold a position. Please use our equity advice module to run different scenarios to ensure your current risk level and investment horizon are fully reflective of your current investing preferences in regards to Costco Wholesale.
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Raphi Shpitalnik is a Junior Member of Macroaxis Editorial Board. Raphael is a young entrepreneur who joined Macroaxis on a part-time basis at the beginning of the pandemic and eventually acquired a real taste for investing and fintech. He likes to analyze different equity instruments across a wide range of industries, focusing primarily on consumer products, sports, fintech, cannabis, and AI.
View Profile This story should be regarded as informational only and should not be considered a solicitation to sell or buy any financial products. Macroaxis does not express any opinion as to the present or future value of any investments referred to in this post. This post may not be reproduced without the consent of Macroaxis LLC. Macroaxis LLC and Raphi Shpitalnik do not own shares of Costco Wholesale Corp. Please refer to our
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