#2 - Costco (NASDAQ:COST)
Costco Wholesale Corporation (NASDAQ: COST) is another winner in the retail sector. The company’s business model centers around keeping its loyal membership base, and that’s reflected in a retention rate that stays above 90%. Every year, those membership/renewal fees go almost directly to Costco’s bottom line.
In 2024, Costco increased its membership fee for the first time in seven years. The company has committed to continuing to add brick-and-mortar locations and expand its e-commerce business.
Over the past five years, COST stock has delivered a total return of over 209%. But before you dismiss this as an anomaly, you have to consider that over the last 20 years, COST stock has delivered a total return of over 1,800%.
That’s the kind of consistency that long-term investors look for with any stock, defensive or not. And as part of that return, investors get a generous dividend that has increased for the last 21 years.
About Costco Wholesale
Costco Wholesale Corporation, together with its subsidiaries, engages in the operation of membership warehouses in the United States, Puerto Rico, Canada, Mexico, Japan, the United Kingdom, Korea, Australia, Taiwan, China, Spain, France, Iceland, New Zealand, and Sweden. The company offers branded and private-label products in a range of merchandise categories.
Read More - Current Price
- $921.52
- Consensus Rating
- Moderate Buy
- Ratings Breakdown
- 19 Buy Ratings, 8 Hold Ratings, 0 Sell Ratings.
- Consensus Price Target
- $1,013.59 (10.0% Upside)
