Costco price target raised to $725 from $619 at Truist

Truist analyst Scot Ciccarelli raised the firm’s price target on Costco to $725 from $619 and keeps a Buy rating on the shares as part of a broader research note previewing 2024 in Hardlines/Broadlines retail. The group could be poised for a solid outperformance for FY24, following slight and rare underperformance in FY23 as consumers continue to spend despite investor concerns over inflation and higher rates, and if the Fed is at or near the end of tightening, investors will lean into consumer-centric growth stocks, the analyst tells investors in a research note. The firm adds however that while Costco continues to gain share across categories and will eventually raise its membership fees, it prefers to look for pullbacks to buy the stock more aggressively.