"Shares of Costco (NASDAQ:COST) have been picking up momentum so far this year, now up close to 14% year to date. With the big-box retail giant now flirting with the $1,000 per-share mark again, investors might wonder what the next move is for the firm that the late, great Charlie Munger used to love. Undoubtedly, Costco came into 2026 in a bit of an oversold position. So, it shouldn't come as too big a surprise to see the new year act as a fresh slate for the firm."
"Undoubtedly, many younger consumers just love the convenience of having things delivered. And while such consumers are still going into physical Costco locations, I do think there's an opportunity to increase digital basket sizes as well as membership fees as Costco looks to make up for lost time on e-commerce. Additionally, there's a massive opportunity to go after that younger consumer who would have never signed up for a Costco membership had it stuck primarily with physical stores."
Costco's shares rose nearly 14% year to date as the stock approaches $1,000 per share following an oversold end to 2026. A recent large quarterly earnings beat and robust e-commerce performance support a potential rebound toward prior highs. The company is focusing on international expansion and digital initiatives to drive future growth and open the door to new members. Younger consumers' preference for delivery creates opportunities to increase digital basket sizes and raise membership fees. The warehouse shopping experience remains important, but a stronger online presence and agentic commerce strategies could unlock additional revenue and membership growth.
Read at 24/7 Wall St.
Unable to calculate read time
Collection
[
|
...
]