Costco Wholesale Corporation (COST) stock was up by 16% over the past month. The stock has begun to rise after the company reported its operating results for the second quarter (twelve weeks) and the first 24 weeks of fiscal 2021 on March 4.
The company's net sales for the quarter increased 14.7%, to $43.89 billion from $38.26 billion last year. Net sales for the first 24 weeks increased 15.8%, to $86.23 billion from $74.49 billion last year.
The company's net income for the quarter was $951 million. Last year’s second quarter net income was $931 million. Net income for the first 24 weeks was $2.12 billion, compared to $1.77 billion last year.
It is worthy to note that sales growth of its e-commerce platform increased by 75.8% and 80.4% in the quarter and the first 24 weeks, respectively. Costco operates e-commerce sites in the U.S., Canada, the United Kingdom, Mexico, Korea, Taiwan, Japan, and Australia.
It is expected that the company's sales and revenue will continue to grow as the global economy is recovering and partly areas lifted restrictions. Yesterday, Oppenheimer analyst Rupesh Parikh gave a buy rating on the stock and a price target of $400, which is 10.42% upside potential.
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