Costco's Fiscal Q1 Sales Grew, but Not Enough to Please Investors
Traders are bidding down Costco Wholesale's (NASDAQ: COST) share prices this morning, a trend that began yesterday before market close, despite positive sales figures in the company's fiscal first-quarter 2021 earnings report. The retailer and warehouse club operator's comparable sales and other metrics still rose year over year, but didn't grow as strongly as in the previous quarter, prompting the current minor stock market retreat.
The quarter, which saw net sales grow 16.9% compared to 2019, ended on Nov. 22, while the retail month of November's net sales rose 15.1% year over year. Wall Street consensus expected comparable sales or comps to grow by 13.8% for the month, whereas actual comp growth was slightly lower at 13.4%. With comps growing 15.4% for the quarter as a whole, Costco's sales do appear to be decelerating slightly as early winter arrives.
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Source Fool.com
