Prediction: This Big-Box Retailer Will Follow Walmart and Split Its Stock in 2024

Group 1: Stock Splits Overview - Stock splits have gained popularity, particularly in the retail sector, with notable companies like Nvidia, Amazon, and Tesla having completed splits recently [1] - A stock split increases the number of outstanding shares while proportionally decreasing the stock price, leaving the overall market capitalization unchanged [2] - Stock splits are often initiated when a company's share price has risen significantly, making shares less accessible to average investors [2][3] Group 2: Costco's Potential for a Stock Split - Costco has not had a stock split since 2000, and its shares have increased nearly 600% over the last decade, currently priced around $795 [4][6] - The company is viewed as a strong candidate for a stock split due to its high share price and significant returns [6] - Costco's P/E ratio of 52 is the highest among its peers, indicating a premium valuation, yet it remains a compelling investment opportunity [10] Group 3: Market Position and Investment Outlook - Despite challenges from e-commerce, Costco's business model focuses on essential consumer goods, positioning it well in various economic conditions [10] - The company is expected to perform well even amid inflation and high borrowing costs, reinforcing its status as a leading retailer [10][11] - Investors are encouraged to consider purchasing Costco shares now rather than waiting for a potential stock split, as the company's fundamentals remain strong [11]