Core Insights - Costco Wholesale Corporation (COST) demonstrated steady sales growth in July 2025, with comparable sales increasing by 6.4% year over year, following increases of 5.8% in June and 4.3% in May, indicating sustained momentum [1][8] - The growth was broad-based across regions, with U.S. comparable sales up 5.5%, Canada up 7.6%, and Other International markets up 9.5%. Adjusted for gasoline prices and foreign exchange, U.S. comps increased 6.5%, Canada jumped 9.1%, and Other International rose 7.5%, leading to a total company gain of 7% [2][8] - E-commerce sales saw a significant increase of 15.1%, reinforcing Costco's multi-channel growth strategy, building on previous months' gains of 11.5% in June and 11.6% in May [3][8] - July net sales rose 8.5% to $20.89 billion from $19.26 billion a year earlier, with total net sales for the first 48 weeks of fiscal 2025 reaching $248.35 billion, up 8.1% from the prior year [4][8] Competitor Analysis - Dollar General Corporation (DG) reported a 2.4% increase in same-store sales for the first quarter of fiscal 2025, driven by a 2.7% rise in average transaction amounts, despite a 0.3% decline in customer traffic. The company expects same-store sales to rise between 1.5% and 2.5% [5] - Target Corporation (TGT) experienced a 3.8% decline in comparable sales in the first quarter, attributed to a 5.7% fall in comparable store sales, offset by a 4.7% increase in comparable digital sales. Traffic dropped 2.4%, and average transaction amounts decreased 1.4% [6] Financial Metrics - Costco's stock has outperformed the market, with shares rallying 13.6% in the past year, compared to the industry's growth of 10.7% [7] - The forward 12-month price-to-earnings ratio for Costco stands at 49.49, higher than the industry average of 32.85, indicating a relatively high valuation [9] - The Zacks Consensus Estimate for Costco's current financial-year sales and earnings per share implies year-over-year growth of 8.1% and 11.6%, respectively [10]