The Globe and Mail reports in its Saturday, March 23, edition that for the current fiscal year ending in August, Costco's earnings per share are expected to climb to $16.15, up from $14.16 in the previous year (all figures U.S.). The Globe's John Heinzl writes that dividing the current stock price by expected fiscal 2024 EPS gives us a price-to-earnings multiple of just under 46. That is a relatively high number, but strong companies with steady sales and earnings growth typically command a premium P/E. However, a high P/E also makes a company vulnerable to a sell-off if results disappoint. That is what happened to Costco's stock earlier this month when second quarter revenue rose 5.7 per cent to $58.44-billion but missed estimates by about $720-million, sending the shares down 7.6 per cent. The shares have recovered some ground since then, but they are still well below their 52-week closing high of $785.59 reached on March 7, before the results were released. BMO Capital Markets analyst Kelly Bania calls the stock's recent drop a "healthy breather." She attributes the weakness, in part, to investor disappointment that Costco did not raise its membership fee, something that is "still an eventuality."