Costco Stock in 2026: Strong Buy for Long-Term Investors Despite Premium Valuation
NEW YORK — Costco Wholesale Corp. (NASDAQ: COST) remains one of the most resilient retail investments in 2026, with analysts largely recommending shares as a Moderate Buy amid robust membership growth, digital sales momentum and ambitious warehouse expansion plans, even as the stock trades near all-time highs around $1,012.
As of early May 2026, Costco shares hover near $1,012, up modestly year-to-date but reflecting strong underlying fundamentals. Wall Street's consensus leans bullish: 22 Buy ratings, 11 Hold and just 1 Sell among 34 analysts, with an average 12-month price target of approximately $1,046 to $1,078 — implying 3% to 7% upside from current levels. High-end targets reach $1,315.
Q2 2026 Earnings Strength
Costco delivered another solid quarter in fiscal Q2 2026 (ended February 15). Net sales rose 9.1% to $68.24 billion, while net income increased nearly 14% to $2.035 billion, or $4.58 per diluted share. Comparable sales grew 7.4%, with digitally-enabled sales surging 22.6%. Membership fee income climbed 13.6% to $1.355 billion, underscoring the power of its recurring revenue model.
Executive memberships reached a record 40.4 million, up 9.5%, while global renewal rates held steady near 90%. These metrics highlight exceptional customer loyalty even after the 2024........
