Deutsche Bank Raises PT On Costco

Deutsche Bank has published a research report on Costco Wholesale COST after the company reported another solid quarter, but the repurchasing of shares may slow after these results. In the report, Deutsche Bank writes "Following a better-than-expected FQ1, strong momentum entering the holidays, and a healthy and growing cash balance ($12/shr), we are adjusting our estimates higher. We are raising our FY11 EPS est to $3.33 (+13.6% y/y) from $3.30; our new FY12 EPS est is $3.79 (+13.8% y/y) from $3.68. We are not expecting any increase in membership fees over the FY11 – FY12 period. We do expect share buybacks to continue. We are raising our PT to $69 from $67." Deutsche Bank maintains its Hold rating and has raised the price target from $67 to $69. Costco Wholesale closed yesterday at $69.25.