Costco’s Valuation Dilemma: Strong Fundamentals Clash With Market Skepticism

While major market indices continue their upward trajectory, Costco Wholesale Corporation finds itself in a contrasting position. The wholesale giant’s shares are grappling with significant valuation concerns and bearish technical indicators, creating a puzzling disconnect between its stock performance and underlying business strength.

Beneath the surface of stock market skepticism, Costco’s business operations demonstrate remarkable vigor. The company’s most recent sales figures reveal sustained growth momentum, with net sales climbing 8.6% to $21.75 billion during October 2025. Particularly impressive was the 16.6% surge in e-commerce revenue, highlighting the company’s successful digital transformation.

This operational success stems from Costco’s unique business model, anchored by an exceptionally loyal membership base Read more...