Core Insights - Costco Wholesale Corporation is expanding its global presence by increasing the number of warehouses and driving membership growth to meet rising demand for value-driven retail [1] Expansion Strategy - The company opened eight new locations in the first quarter of fiscal 2026, including a third warehouse in France, four new U.S. locations, and two additional Canadian business centers [2] - Management plans to open 28 net new warehouses during fiscal 2026 and aims for 30 or more annual openings in subsequent years [2] Real Estate and Site Acquisition - To support expansion, Costco has expanded its real estate team and adopted creative site acquisition methods, including refurbishing existing structures [3] - The strategy includes relocating high-volume warehouses to larger sites with expanded parking and fuel stations, with five relocations planned for fiscal 2026 [4] Sales Performance - New warehouses are reaching maturity faster, with fiscal 2025 openings generating an annualized $192 million in sales per location during the first year, up from $150 million two years prior [5] Competitive Positioning - Costco's shares have increased by 1.6% over the past year, compared to the industry's growth of 11.9%, while Dollar General shares have rallied by 106.7% and Target's shares have dropped by 19% [6] Financial Metrics - Costco's forward 12-month price-to-earnings ratio is 46.30, higher than the industry average of 31.93, indicating a premium valuation compared to Target and Dollar General [9] - The Zacks Consensus Estimate for Costco's current financial-year sales implies a year-over-year growth of 7.6%, with earnings per share expected to grow by 11.7% [10] Sales and Earnings Estimates - Current quarter sales estimate is $68.90 billion, with a year-over-year growth estimate of 8.12% [11] - Current year earnings per share estimate is $20.09, reflecting an 11.67% year-over-year growth [12]