Costco price target raised by $30 at DA Davidson, here’s why

DA Davidson raised the firm’s price target on Costco to $600 from $570 and keeps a Neutral rating on the shares. The company’s Q1 results included a “number of positive” such as continued signs of lower inflation, a good start to holiday, and “crowding in” of discretionary items, the analyst tells investors in a research note. The firm adds however that “from here gets harder” for the stock, with most of its 38% appreciation this year having come from multiple expansion, which now sits at 41-times versus 30.9-times at the beginning of the year.