Membership warehouse operator Costco Wholesale Corporation ( COST ) on Tuesday caught some positive commentary from analysts at JP Morgan.
The firm maintained its "Overweight" rating on COST and lifted its price target from $94 to $96. That new target suggests a nearly 14% upside to the stock's Friday closing price of $84.48.
Last week, analysts at Goldman Sachs made a similar move on COST.
Costco shares were mostly flat in premarket trading Tuesday.
The Bottom Line
Shares of Costco ( COST ) have a 1.30% dividend yield, based on Friday's closing stock price of $$84.48. The stock has technical support in the $79-$80 price area. If the shares can firm up, we see overhead resistance around the $87-$88 price levels.
Costco Wholesale Corporation ( COST ) is not recommended at this time, holding a Dividend.com DARS™ Rating of 3.4 out of 5 stars.
Be sure to visit our complete recommended list of the Best Dividend Stocks , as well as a detailed explanation of our ratings system here .
Wholesale Electricity Surges in New York - Businessweek
Wholesale electricity jumped in New York as hot, humid weather from Massachusetts to Maryland prompted households and businesses to crank up their air conditioners.
Spot power in New York City rose to an average of $706.33 a megawatt-hour for the hour ended at 12 p.m., after soaring as high as $1,647.56 at 10:55 a.m., according to the New York Independent System Operator Inc., which manages the state grid. Electricity traded yesterday for delivery in the 10 a.m.-to-noon period today was priced in the $50-range.
The high in New York today may be 88 degrees Fahrenheit (31 Celsius), 14 above normal, with humidity rising to as high as 87 percent, according to AccuWeather Inc. in State College, Pennsylvania. Baltimore’s high will be 12 above normal at 91 degrees.
“Today’s demand is expected to be up with the heat and humidity, but power supplies are more than adequate to meet that demand,” Michael Clendenin, a spokesman for Consolidated Edison Inc. in New York, said in an e-mail. A cold front expected to move in later today and tomorrow will “bring temperatures back to normal by the end of the week,” he said.
Most power for a given day is purchased the previous day in what is known as the day-ahead market. Spot prices can jump when demand exceeds the amount secured in trading a day earlier.
New York Grid
Hourly prices across the New York state grid have been above $100 a megawatt-hour since 7 a.m., when demand climbed with the start of the work day. Electricity use on the grid was 28,009 megawatts as of noon, 14 percent above yesterday’s forecast for that time.
Thunderstorms predicted for later today may result in transmission disruptions and surging prices at around 3 p.m. to 4 p.m., said Brendyn Brooks-Stocking, a Boston-based Northeast power analyst with Genscape Inc., which tracks real-time data at power plants.
Today’s spot-market price gains won’t affect bills for Con Ed customers, according to Clendenin. The utility has more than three million customers in New York City and Westchester County.
The high in Worcester, Massachusetts, may be 83 degrees, 13 above normal.
Spot power across New England was $205.81 a megawatt-hour as of 12:40 p.m., based on gains in Connecticut and Western Massachusetts, compared with the day-ahead price of $43.74 for the grid, according to the region’s grid operator. Electricity on the grid averaged $151.65 from 9 a.m. to 11 a.m., according to data from ISO New England Inc.
Mid-Atlantic
Demand on the mid-Atlantic grid operated by PJM Interconnection LLC, which spans 13 states from New Jersey to North Carolina and as far west as Illinois, was 120,911 megawatts as of 11:30 a.m., 4.8 percent more than the day-ahead forecast.
Prices have traded from lows that were mostly in the $20s and $30s per megawatt-hour to more than $400 in some of the more densely populated areas where transmission bottlenecks aren’t unusual, according to PJM data.
Public Service Enterprise Group (PEG) (PEG)’s territory in New Jersey averaged $278.58 a megawatt-hour for the hour ended at noon, after rising to a high today of $451.75. Spot power at Baltimore Gas & Electric Co.’s zone in Maryland averaged $314.68 for the same hour after rising as high as $431.58. Day-ahead prices were in the high $40s for both areas.
To contact the reporter on this story: Naureen S. Malik in New York at nmalik28@bloomberg.net
To contact the editor responsible for this story: Dan Stets at dstets@bloomberg.net
Shopping for land - Leicester Mercury
Fosse Park has expressed an interest in expanding onto the Everards Brewery site, situated next to the shopping centre.
The brewery plans to relocate from its Castle Acres site adjacent Fosse Park to nearby land it already owns, close to the Leicestershire Police HQ in Enderby.
Last year, bosses announced a proposal to create an 11-acre food and drink park at the new site and sell its existing 12-acre facility. They hope to receive tens of millions of pounds from the sale.
Stephen Gould, Everards' managing director, said: "The current owners of Fosse Park have approached us. We have kept them up to date. We have always had an open dialogue with them
"There's active interest in the site from a number of parties, mainly from retailers. However, at no stage have we put the site formally on the market.
"It's being handled very sensitively and we are consulting widely."
The 12-acre Castle Acre site is to the south of the shopping park, between Braunstone and junction 21 of the M1. Fosse Park, which opened in 1989, is the UK's leading out-of-town shopping centre. It contains 40 shops over 37 acres and attracts 12 million visitors a year. It is currently owned by a group of Irish investors.
The then owners of Fosse Park signed a special agreement with Everards Brewery more than 10 years ago giving the shopping centre first option to buy the Everards site.
This agreement was not renewed after a deadline was reached. However, the park's current owners are still thought to be interested.
Fosse Park manager Adrian Young declined to comment and its owners could not be contacted.
Everards plan to occupy five acres of the food and drink park and offer the remainder to other businesses. The site would also contain a visitor centre.
Mr Gould said if the development was approved by Blaby District Council, work could commence by the end of the year.
Mr Gould announced Everards made a pre-tax profit of £2.47 million in the year to September 24, 2011, down £1.44 million on last year. The fall reflected one-off profit gains of £1.6 million made last year from the sale of property and the closure of its final-salary scheme.
The company said a 6.1 per cent rise in operating profit to £3.93 million over the same period better reflected day-to-day trading. Turnover was down 2.5 per cent to £28.2 million. The company, founded in 1849, employs 106 people and runs 176 pubs.
US wholesale prices fell 0.2 percent in April - Yahoo Finance
WASHINGTON (AP) -- U.S. wholesale prices fell in April, reflecting a big decline in gas and energy costs. But outside that drop, inflation was tame.
The Labor Department says the producer price index, which measures price changes before they reach the consumer, dropped 0.2 percent in April. It was the first decline since December and the biggest drop since October.
Excluding volatile food and energy costs, the so-called core index rose 0.2 percent.
For the 12 months that ended in April, wholesale prices have risen just 1.9 percent, the smallest 12-month change since October 2009.
Modest wholesale inflation reduces pressure on manufacturers and retailers to raise prices. That helps keep consumer prices stable.
Gas prices spiked earlier this year. But they have dropped 5 percent since peaking last month.
Our culture of consumption glorifies compulsive shopping. It is time to treat the shopaholic like any other addict - Daily Mail
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Shopaholic. Even the word itself sounds faintly ridiculous, doesn’t it? It is a word frequently bandied affectionately by the most generous husband about a wife who has been on a spree, for as we all know it is usually women who feel most compelled to shop till they drop, don’t we?
It is a word which carries no particular stigma in our buy-with-one-click age of pile-it-high, throwaway fashion, next-day delivery and celebrity-endorsed and media-fuelled clamour for the next, must-have handbag, to-die-for designer sunglasses, or perfect pair of shoes. To say nothing of the coolest designer gadgets and top of the range tech which is practically obsolete the minute you take it out of the immaculate packaging and plug it in.
Consumer culture: Boxing Day sales crowds at the vast Westfield Stratford shopping centre
Yet compulsive shopping, or oniomania, to use its medical name, is as potentially devastating for the individual and their family as alcoholism, compulsive gambling or other addictions such as anorexia and related eating disorders, with which it shares many characteristics.
Aggravated by the rampant consumerism of the last decades, the problem is on the rise and I suspect we are now finally going to have to stop poking fun at the shopaholics and take their problem seriously.
Compulsive shoppers suffer from an inexplicable preoccupation with shopping and spending. They are generally thought to get a dopamine-related high or hit from their purchases. Yet few are ever even used or worn and, once they have their booty home, the post-purchase shopper often collapses in self-recrimination and anxiety about how they are going to pay for their next fix. Around 5.8 per cent of British adults are thought to be affected and cases are on the rise.
Treatment: Scientists have discovered that an Alzheimer's drug can help allay some symptoms of shopaholics
Now, psychiatrists have established that a drug called memantine, originally designed for patients with Alzheimers, may have a significant benefit for shopaholics. Clinical tests have shown improvement in many key symptoms, such as impulsive buying, anxiety and improvements in brain function linked to the impulsive urges and behaviour.
Speaking as someone who has witnessed the pernicious effects of a shopping addiction from extremely close quarters, I am pleased to hear about this breakthrough and equally glad to see the problem being treated seriously for a change, instead of being seen as a bit of a joke and used as a faintly misogynistic put-down.
What worries me is how and why we seem suddenly to be seeing so many cases of this kind of extreme addiction, from apparently simple shopping to the kind of horrific eating disorder which trapped 63 stone teenager Georgia Davis in her own home. Prescribing dementia medication to compulsive shoppers may indeed help, but aren't we simply replacing one addiction with another?
Shopaholic: Star Thompson, who spends 1,000 a week on clothes
Last week, the Daily Mail reported on another 19 year old, Star Thompson, from Wakefield, who had turned to glamour modelling and escort work to support her out of control shopping habit. The teenager spends 1,000 per week on clothes, although she already has wardrobes full of unworn garments, including 200 bras and 15 pairs of 250 Ugg boots.
She was recently given an extraordinary 6,000 as a birthday gift by her family, but she had spent 4,000 of the windfall within hours. 'You only live once', said Star, showing off her crammed cupboards to a tabloid newspaper. True, but what kind of a life can this really be?
Miss Thompson readily admitted that her shopping and spending makes her 'feel better'. Yet like every addict, it seems that she is caught in a tragic cycle of euphoric highs and guilt-ridden lows. Compulsive shopping is reportedly highly addictive, given that the rush and satisfaction of the purchase can disappear as soon as they leave the shop, meaning that they need to make yet another impulsive purchase or locate another trophy buy or bargain to maintain their good mood.
Extraordinarily, the problem was first documented more than 100 years ago but has only been seriously identified and acknowledged as a valid subject for psychiatric research in the last 15 years. Hardly a surprise when you consider the tandem rise of ever-multiplying possibilities for us to buy a whole new range of things we don’t really need and can often barely afford. We can now all shop in ever bigger mega-malls, we can shop on-line, we can even watch television shopping channels all through the night and we can now pay for it all with a swish of our smart phones.
Our culture revolves around consumption. Despite our straitened economic times, we are still surrounded, 24/7, by potent and relentless marketing and advertising which promotes impossibly high material aspirations, creating utterly artificial wants and needs, making young women like Star Thompson feel she is not valid or worthy if she does not possess a particular pair of shoes.
Perhaps Miss Thompson would respond well to the proposed new treatment with Alzheimers medication? She certainly needs some sort of intervention, not least from her parents who appear to be content, and certainly wealthy enough, to continue to underwrite her addiction. But for how much longer?
The sooner the Thompsons, and the rest of society, recognise that shopping in this way and on this scale constitutes a serious psychological problem, the sooner the sufferers will get the help they so clearly need.
Take pleasure from the things you have rather than yearning for things you have not. Be the ad- man's nightmare 'a self confident human being.
- ron, Cumbria, 30/5/2012 03:09
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