#6 - Costco (NASDAQ:COST)
The question that might come to mind with Costco Wholesale Corp. (NASDAQ: COST) is how many hot dogs (or gold bars) a company can sell. The warehouse club has been an unstoppable force with a loyal customer base. As evidence of that loyalty, the company reported a new record renewal rate in its most recent quarter.
The company is also overdue to raise its membership fee (based on historical norms). That doesn't mean a hike is imminent. But if the company were to raise its membership fee while keeping a retention rate of over 92%, it would please investors.
COST stock is up 52% in the past 12 months, but short interest has increased considerably in 2024, even though it's still a low 1.54% of the company's float. One item from the company's earnings report that is likely attracting short sellers is that consumers were scaling back on discretionary purchases to focus on staple items.
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
- $954.07
- Consensus Rating
- Moderate Buy
- Ratings Breakdown
- 19 Buy Ratings, 8 Hold Ratings, 0 Sell Ratings.
- Consensus Price Target
- $1,011.74 (6.0% Upside)
