Is Costco Stock a Buy Now?
Many stocks took a hit along with the broader market in September, but Costco Wholesale (NASDAQ: COST) shareholders eluded that fate. The warehouse retailer's stock is up 22% compared to the 12% increase in the S&P 500 so far this year.
On one hand, that rally has pushed Costco's shares further into premium-valuation territory, potentially limiting investors' returns from here. On the other hand, the stock's jump reflects the company's recession-resistant business and its formidable competitive advantages. The value of these assets becomes clearer when worries are spiking about slowing consumer-spending trends.
Investors considering Costco stock right now have to weigh those opposing factors against each other when determining whether to add the successful retailer to their portfolios.
Source Fool.com
