Costco's Sales Sizzled Again in September
Just two weeks ago, Costco Wholesale (NASDAQ: COST) reported strong earnings results for the final quarter of its fiscal 2020, which ended Aug. 30, beating the analysts' average estimate by 7%. On Wednesday, the warehouse retailer confirmed that its momentum is intact, reporting excellent sales growth for September. The company's rapid market share growth is creating plenty of long-term upside for Costco stock.
In September, Costco's net sales jumped by 16.9% to $16.84 billion on a 15.5% increase in comparable sales. Excluding the impact of gasoline price changes and foreign currency fluctuations, adjusted comp sales soared 16.9% year over year -- the best result the company has achieved in recent memory. For comparison, adjusted comp sales rose by 14.1% last quarter and 9.2% for fiscal 2020 as a whole.
Management noted that Costco got a sales lift of nearly 1 percentage point from holiday timing. That would put its underlying comp sales increase at around 16%.
Source Fool.com
