Hello Friends! Thanks so much for stopping by and visiting my blog, Stock Picks Bob's Advice! As always, please remember that I am an amateur investor, so please remember to consult with your professional investment advisors prior to making any investment decisions based on information on this website.
On September 1, 2011, I purchased shares in Costco (COST) for my "Buy and Hold Value" model in my Covestor account. The shares were purchased with a cost basis of $80.14. Costco closed today (10/4/11) at a price of $81.65, up $.02 or .02% on the day. With the economy continuing to teeter on the edge of a 'double-dip' recession, I have along with other investors found a small amount of hoped-for safety in the companies that can do well when times are rough for many Americans. Some of the stocks I hold include Costco that is a leading warehouse store providing discounted goods to members when bought in bulk; McDonald's (MCD), which remains a staple value fast-food outfit that seems to be recession-resistant; TJMaxx (TJX), which with its occasional high-end brands that it stocks at close-out prices may be competing with Target (TGT) for the distinction of "cheap chic", and Perrigo (PRGO) which provides the cash-strapped consumer an opportunity to buy knock-off products in the form of house brands at cheaper prices at stores like Walgreen (WAG).
September 'same-store sales' results should be released shortly, but the latest results from August, 2011, found Costco with same-store sales growth of 6 percent.
On May 25, 2011, Costco reported 3rd quarter results with earnings of $324 million, or $.73 per share compared with earnings of $306 million or $.68 per share the prior year. Analysts however, were expecting earnings of $.77 per share, but the continued solid reports of same-store sales growth have supported the continued stock price appreciation since.