Costco’s (COST) earnings disappointed investors this week, but the long term bullish case for Costco is intact, according to Scott Berman a research analyst for TheStreet’s Action Alerts PLUS portfolio. Berman pointed out that Costco’s latest results were impacted by some non-recurring items and charges. He noted that the positives on Costco have not changed, including its industry-leading traffic trends, membership model, and opportunity for global growth. Those factors validate the premium multiple applied to Costco shares, according to Berman, who added that the shares will move higher going forward. Berman added that Costco’s core comps are increasing 6%, and traffic is growing by almost 3.5%.
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