Is Costco Wholesale a Healthcare Stock Now?
Some businesses defy classification as competing in a single industry, but most people probably didn't think that way about Costco Wholesale (NASDAQ: COST) until recently.
On Sept. 25, the giant warehouse retailer announced that it will be partnering with a company called Sesame to offer low-cost health services to its members, including both virtual and in-person primary care visits as well as telehealth for mental health. It has already offered pharmacy services for humans as well as for pets, a selection of healthcare goods in bulk, and even optometry services out of its warehouses -- not to mention its own health insurance marketplace.
Does this new move mean that the business is competing in healthcare at sufficient scale for it to siphon revenue from other diversified players like CVS Health? Let's break down how much money it might make from providing healthcare services today and in the future to figure it out.
Source Fool.com
