NEW YORK (TheStreet) -- TheStreet's Jim Cramer will be keeping an eye on Costco Wholesale (COST) - Get Report when it reports fiscal 2015 fourth quarter earnings before the market opens Tuesday. Cramer says he's watching the discount warehouse giant because "it's almost all domestic."
"When [companies are] almost all domestic, they're working," he explains, "whether it be Home Depot (HD) - Get Report , whether it be Lowe's (LOW) - Get Report , whether it be Kroger (KR) - Get Report , whether it be Costco, whether it be J.C. Penney (JCP) - Get Report . Here's a stock that, when the futures pull everything down, particularly when it comes out of Europe or China -- wherever the real hot spots are -- you have to default to these. It very much reminds me of 2000, where you had to get out of the dot-coms and you had to get in the S&P, the S&P being uniquely domestic. It doesn't matter right now, but that will matter, because everything is being taken down by international concerns."
Analysts polled by Thomson Reuters are expecting the company to post earnings of $1.66 a share on revenue of $36.33 billion for the quarter. Costco has beaten earnings expectations in the last three quarters, and investors will want to see if the company can extend that streak. Comparable-store sales growth slipped to 2% in August from about 4% in January, so investors also will be paying close attention to whether the company says it expects to stay on that downward trend.
Shares of Costco are up a little more than 2% year-to-date. Costco is a membership-only warehouse club that generates much of its income from membership fees. In 2014, those fees totaled $2.4 billion. The retailer operates in the United States, Canada, Mexico, the United Kingdom, Spain, Australia, Taiwan, South Korea and Japan.
At the time of publication, Jim Cramer's charitable trust Action Alerts PLUS held no positions in stocks mentioned.