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Fly News Breaks for June 2, 2016
V, AXP, COST
Jun 2, 2016 | 07:56 EDT
Baird analyst Peter Benedict noted that Costco's traffic continues to slow and said it is worth monitoring, but expects it to pick up in the second half of the year. The analyst said the slowdown is somewhat concerning and has raised the risk profile on the shares, but sees improvement as the AMEX/Visa card transition plays out. Benedict also noted that Costco's relative valuation to Consumer Staples is near a five year low. Benedict reiterated his Buy rating and $175 price target on Costco shares.