Costco Wholesale Corp. (NASDAQ: COST) this morning reported a better-than-expected rise in October same-store sales, due in part to higher gasoline prices and a weak dollar.
The company said its net sales in October increased 9% year-over-year to $7.67 billion.
Same-store sales, or those sales at locations open for more than a year, in October came to 7% for the United States and 9% internationally. Analysts had expected a rise of 6.6% domestically. Excluding inflation in fuel prices and strength of foreign currencies, same-store sales were 5% both domestically and internationally.
In a prerecorded conference call, Costco’s director of finance and investor relations, David Sherwood, said several Costco warehouses has closed due to power outages caused by Hurricane Sandy. “None of the warehouses suffered extensive damages,” he said. These closures are expected to have a marginal impact on November sales.
Costco shares are inactive in premarket trading, after closing last night at $98.43, in a 52-week range of $78.81 to $104.43. The mean price target before this news was $102.64.
Get Ready To Retire (Sponsored)
Start by taking a quick retirement quiz from SmartAsset that will match you with up to 3 financial advisors that serve your area and beyond in 5 minutes, or less.
Each advisor has been vetted by SmartAsset and is held to a fiduciary standard to act in your best interests.
Here’s how it works:
1. Answer SmartAsset advisor match quiz
2. Review your pre-screened matches at your leisure. Check out the advisors’ profiles.
3. Speak with advisors at no cost to you. Have an introductory call on the phone or introduction in person and choose whom to work with in the future
Get started right here.
Thank you for reading! Have some feedback for us?
Contact the 24/7 Wall St. editorial team.