Loading...Loading...Costco Wholesale Corp COST has been on a stellar run, gaining 71.22% over the past year and 31.81% year-to-date. Trading around $870 per share Thursday morning, the stock reached a new high of $873.96 during intraday trading on June 18.This impressive performance has caught the attention of investors and analysts alike, prompting a closer look at the stock’s technical indicators to determine if it’s still a bullish opportunity.Technical Indicators Suggest A Bullish TrendCostco’s stock is ...

Core Viewpoint - Costco Wholesale has a history of stock splits that have contributed to its strong market performance and accessibility for investors, leading to speculation about a potential future split due to its high current stock price [1][12][14] Company History and Stock Splits - Costco has executed several stock splits since going public in 1985, including a notable 2-for-1 split in 2000, aimed at maintaining an affordable share price and attracting retail investors [3][4][6] - The company merged with The Price Club in 1993, enhancing its market position and operational efficiencies, which has been reflected in its stock performance [3] Current Stock Performance - As of June 20, 2024, Costco's stock is trading at approximately $870.75, with a year-to-date increase of nearly 32% and a quarterly revenue of $58.52 billion, showing a 9.1% year-over-year growth [6][7] - The company's membership strategy, with renewal rates exceeding 90%, provides a stable revenue stream despite low margins [6][7] Market Conditions and Trends - Current market trends favor Costco due to retail sector consolidation, the rise of e-commerce, and a focus on sustainability, which aligns with Costco's initiatives [9] - Analysts suggest that a stock split could enhance liquidity and attract more retail investors, as the current share price is considered too high [11][12] Expert Opinions - Financial analysts rate Costco as a Moderate Buy, indicating strong performance and potential benefits from a stock split to broaden its investor base [11][12] - Despite the high share price, management has focused on customer satisfaction rather than share price movements, leading to speculation about the timing of a potential split [13][14]

This dominant low-cost retailer operates a successful membership model.Shares of Costco (COST 0.33%) have rewarded investors as they've skyrocketed 234% in the past five years. And in 2024, their 31% gain (as of June 17) is easily outpacing the broader S&P 500.Clearly, this top retail stock has been a wonderful investment in the past. But I think the business is about to make a big strategic move that can further boost its financial performance. Let's take a closer look at Costco's operations.Asking custome ...

Costco's share prices are up more than 600% over the past decade. Is it too expensive to buy?Costco Wholesale (COST -0.22%) has an impressive record behind it, with the business growing strongly for years and the stock price rising along with it. At this point, share prices have soared over 600% in just 10 years compared to a far less impressive 170% gain for the S&P 500 index.All that growth has some investors wondering if perhaps they have missed their opportunity to take a ride. Is this rocket ship headi ...

Traders and other investors looking to take short positions in trending stocks with momentum on their side should consider this list. It covers seven equities that have maintained positive trajectories over the past month and in many cases, the entirety of this year and beyond. There are also many ways to measure momentum. Stock market momentum is much like the momentum we learned about in sciences classes. Everything depends on the principle that objects, or stocks in this case, tend to continue in the sam ...

Investors don't appear to be concerned with Costco's high valuation, at least for now.One of the most versatile and adaptable retail stocks to own over the years has been Costco Wholesale (COST 0.11%). There's a lot to like about the business, which attracts value-focused shoppers and bargain hunters alike. Consumers can stock up on essentials and splurge on discretionary purchases while in its massive warehouses. The business thrived during the pandemic, and it has continued to do well even amid inflation. ...

jetcityimage Investment Thesis Costco (NASDAQ:COST) delivered a robust performance in its fiscal third quarter, surpassing analysts' expectations on both revenue and earnings. The warehouse giant reported net sales of $58.52 billion, exceeding estimates of $57.98 billion. This translates to a 9.1% YoY, showcasing continued customer demand for Costco's bulk offerings. Strength wasn't limited to just overall sales. Comparable store sales, a key metric that excludes the impact of gasoline prices and FX fluctua ...

Core Viewpoint - Costco Wholesale Corp. has historically delivered exceptional investment returns, with a total return of approximately 760% over the past decade, significantly outperforming the S&P 500 and the retail sector [1][7]. Company Overview - Costco operates around 878 member-only warehouse stores, primarily in the U.S., which accounts for nearly 73% of total revenue, followed by Canada at approximately 14% [2]. - The company has demonstrated efficiency in a competitive retail industry, consistently generating returns on invested capital above its cost of capital, benefiting from economies of scale and a loyal customer base [2]. Valuation Comparisons - Costco's current price-earnings ratio is about 50, which is at the top end of its historical valuation range, compared to an average of roughly 34 over the past decade [3]. - In comparison to Walmart, which trades at approximately 27 times forward earnings, Costco's valuation appears excessive despite expected higher growth rates [3][4]. - Costco's valuation is also high relative to other high-quality companies like Microsoft and Mastercard, both trading at around 31 times forward earnings [4]. Growth Potential - Costco plans to open 12 new stores in fiscal 2024, with a focus on international expansion, particularly in China, which could provide long-term growth opportunities [6]. - The company has historically maintained gross margins around 14%, and while increasing margins could enhance earnings, the CEO indicated no plans to change this strategy [6]. Takeaways - Costco's strong historical performance is attributed to earnings growth and multiple expansion, but the current valuation of approximately 50 times earnings is significantly above historical averages and peers [7]. - International growth presents a long-term opportunity, but is unlikely to provide the near-term earnings growth necessary to justify the high valuation [7].

General Motors is turning to Costco's Auto Program to help it sell more EVs. The wholesaler partners with automakers and dealers to offer discounted vehicle prices for members.An executive told CNBC selling EVs to Costco's 50 million members was a "huge opportunity" for GM. Sign up to get the inside scoop on today’s biggest stories in markets, tech, and business — delivered daily. Read preview Thanks for signing up! Access your favorite topics in a personalized feed while you're on the go. Ema ...

Market Overview - The market rally is uneven, with technology and AI-related stocks performing well, while blue-chip and value stocks lag behind [1] - Growth stocks have outperformed value stocks since the current bull market began 18 months ago [1] - This uneven performance presents a buying opportunity for investors to acquire quality stocks at lower prices [1] Lululemon (LULU) - Lululemon's stock rose after reporting Q1 EPS of $2.54, exceeding the expected $2.38, and revenue of $2.21 billion, beating the consensus of $2.19 billion [2] - Quarterly sales increased by 10% year-over-year, but North American sales growth has slowed, with a 3% increase compared to a 17% rise a year earlier [2] - For 2024, Lululemon forecasts earnings of $14.47 per share and revenue of $10.80 billion, aligning with Wall Street expectations [3] Costco Wholesale (COST) - Costco reported an 8.1% year-over-year sales increase in May, reaching $19.60 billion, with e-commerce sales rising 15.3% [5] - Same-store sales grew by 6.4% in May, following a 5.6% increase in April, and Q1 revenue was $57.40 billion, a 9.1% year-over-year increase [5] - COST stock has gained approximately 30% in 2024 and 62% over the last 12 months [6] Lowe's (LOW) - Lowe's stock has remained relatively flat year-to-date, down about 1%, and trades at 13 times future earnings estimates [7] - Q1 EPS was $3.06, surpassing the expected $2.94, with revenue of $21.36 billion, slightly above the forecast of $21.12 billion [7] - Sales declined by 4% year-over-year, marking the fifth consecutive quarter of decline, but sales to professional contractors and online sales continue to grow [8]