The big-box retailer reports its second-quarter results early next month.Shares of Costco Wholesale (COST 0.28%) have been rallying to start 2026, as they're up 16% as of Monday's close. The retail stock is once again around the $1,000 price point, a level it hasn't been at since last summer. Investor sentiment has been rising as the stock approaches its all-time high of $1,078.The company's upcoming earnings results may play a big role in where the stock goes in the near term, and Costco is scheduled to re ...

Key Takeaways COST delivered 7.1% year-over-year total comparable sales growth for the four weeks ending Feb. 1, 2026.COST saw digitally enabled comparable sales surge 34.4% in January, following strong gains in December.COST reported January net sales up 9.3% to $21.33B, extending the sales momentum seen in December.Costco Wholesale Corporation (COST) kicked off calendar year 2026 on a solid note, delivering stellar comparable sales growth in January, which highlights its appeal to value-conscious consumer ...

Core Viewpoint - Costco's stock has risen 15% since the beginning of the year despite a decline over the last 12 months, indicating a potential recovery in investor sentiment [1][2]. Group 1: Stock Performance - Costco's stock price increased by 1.16% today, reaching $1,000.76, with a market capitalization of $444 billion [5][6]. - The stock has a 52-week range of $844.06 to $1,078.23, reflecting significant volatility [6]. Group 2: Financial Performance - In the first quarter of fiscal 2026, Costco's revenue rose by 6%, and net income surged by 11% to $2.0 billion, closely aligning with fiscal 2025 results where revenue increased by 8% and profit was $8.1 billion, 10% higher than the previous year [6]. - Costco maintains a gross margin of 12.88% and a dividend yield of 0.64% [6]. Group 3: Competitive Position - Costco enjoys a high membership renewal rate of around 92%, indicating strong customer loyalty [4]. - The company has successfully expanded internationally, particularly in Europe and Asia, where competitors like Walmart have struggled [7]. Group 4: Valuation Concerns - Costco's current P/E ratio stands at 52, significantly higher than that of Walmart, Target, and Amazon, raising concerns about its valuation relative to profit growth [8]. - Berkshire Hathaway closed its Costco position in 2020 due to valuation concerns, although Warren Buffett later acknowledged it might have been a mistake [10]. Group 5: Investment Outlook - While Costco is considered a high-quality company with a strong growth trajectory, the current stock price may not justify additional investments until its earnings multiple aligns more closely with peers [12].

Younger consumers have more experience with the subscription economy than older ones. People in their 20s and 30s are, for example, used to signing up for a streaming service to binge-watch a popular show, then dropping it for something else once they have finished consuming the desired content. Costco has protected itself from that type of quick churn by offering annual memberships. There's no monthly option, so once it locks someone in for $65 as a Gold member or $130 as an Executive membership, which co ...

Jim Cramer, the host of CNBC’s “Mad Money”, highlighted Costco Wholesale Corp.‘s (NASDAQ:COST) move to sell authentic Hermes Birkin bags and select Chanel products at a significant discount in Chinese warehouse display cases. “Love this stock but this one is just crazy!! wrote Cramer. He responded on a post on X reporting the development. The bags are being sold of around $14,000 in Chinese warehouses, far below typical average market price, stated the post. Don't Miss: The ‘ChatGPT of Marketing' Just O ...

Core Viewpoint - Costco's stock has significantly outperformed the market in 2026, with a year-to-date increase of approximately 15%, reflecting investor confidence in its consistent growth capabilities in various market conditions [3][4]. Sales Performance - Costco reported a 9.3% year-over-year increase in sales for January, driven by a 7.1% rise in same-store sales, which excludes the effects of gasoline prices and foreign exchange fluctuations [6]. - Adjusted same-store sales growth accelerated to 6.4% year-over-year, up from 6.2% in December, indicating robust sales momentum despite potential weather-related impacts [7]. - Digitally enabled sales, which account for 10% of overall revenue, surged by 33.1% year-over-year in January, a significant increase from 18.3% growth in December, showcasing the effectiveness of Costco's digital engagement strategies [8][9]. Historical Sales Growth - Sales growth has remained strong over the past few years, with fiscal year sales increasing by 7%, 5%, and 8% in 2023, 2024, and 2025, respectively, despite challenging comparisons to the high growth rates during the COVID-19 pandemic [10]. Valuation Concerns - Despite Costco's strong business performance, concerns about its current valuation arise, with a price-to-earnings ratio of 53, which implies expectations of 15% annual earnings-per-share growth, while actual growth was only 10% in fiscal 2025 [11][12][13]. - The high valuation presents a risk of potential re-rating, suggesting that even a well-performing business can face valuation risks if the stock price is deemed excessive [12].

Apple (NASDAQ: AAPL) is the undisputed leader in the world of consumer technology. Its products and services have fans all over the world. While not as exciting of a company, Costco (NASDAQ: COST) is still one of the top businesses in the retail sector. And it has a loyal customer base as well. Where to invest $1,000 right now? Our analyst team just revealed what they believe are the 10 best stocks to buy right now, when you join Stock Advisor. See the stocks » Between these two dominant consumer stocks, w ...

Costco Wholesale Corporation (NASDAQ:COST) is included among the 15 Best Wide Moat Dividend Stocks to Invest in. Mizuho Raises Costco (COST) Target as Membership Trends Rebound Niloo / Shutterstock.com On February 3, Mizuho lifted its price target on Costco Wholesale Corporation (NASDAQ:COST) to $1,065 from $1,000 and kept its Outperform rating in place. The firm expects the stock to keep finding support through the year as membership growth picks back up and the pace of consumer spending cools to more ...

The regular income that dividend stocks provide can be used to reinvest in the business, quietly and slowly build a retirement nest egg, or for other purposes. However, not every company that pays dividends will do so consistently for a long time without interruption. Those that are likely to do that are the ones dividend investors should consider adding to their portfolios. Let's consider two options today: Coca-Cola (NYSE: KO) and Costco Wholesale (NASDAQ: COST). Where to invest $1,000 right now? Our an ...

Core Viewpoint - Costco experienced a challenging year in 2025, with its stock declining by 6%, contrasting with a 16% gain in the S&P 500, indicating a rare and significant underperformance for the warehouse retailer [1] Company Performance - The decline in Costco's stock is notable as it marks a significant deviation from the overall market performance, highlighting potential concerns regarding the company's competitive positioning and operational challenges in the current economic environment [1] Market Context - The S&P 500's 16% gain during the same period underscores a broader market strength, suggesting that Costco's struggles may be more pronounced in comparison to its peers and the overall retail sector [1]