Can This Unstoppable Stock Join the $1 Trillion Club in 5 Years?

Group 1 - Costco's share price has increased by 171% over the past five years, reflecting its strong position in the retail sector with a current market cap of $434 billion [1] - The company is expected to expand significantly in the next five years, with management planning to open 25 to 30 new warehouses annually, which will contribute to revenue growth [2] - Costco has consistently achieved same-store sales (SSS) growth, with a 6.4% increase in the first quarter of fiscal 2026 and a further 7% increase in December, indicating resilience despite economic challenges [3] Group 2 - The net income of Costco has risen by 102% from fiscal 2020 to fiscal 2025, supported by a growing membership base that enhances spending at its stores [4] - Currently, Costco's market cap would need to increase by 129% to reach the $1 trillion mark by late January 2031, a target that appears achievable based on historical growth trends [7] - However, Costco's valuation is high, with a price-to-earnings ratio of 52.7, which is approximately double that of the S&P 500, suggesting potential pressure on its stock valuation in the coming years [8]