If you are someone who shops at Costco regularly, you already know the company is built on consistency. But if you had also invested in Costco stock ten years ago, your wallet would be looking a lot heavier today. Many Americans who took that chance have seen a return that far outpaced the broader market.
How much a $1,000 investment in Costco is worth today
Let us start with the numbers. If you invested $1,000 in Costco (COST) back in February 2015 and held on until February 2025, your investment would now be worth about $7,177.13. That means you would have gained roughly 617.7% in ten years—without even counting dividends.
To put that into perspective, the S&P 500 index, which tracks the largest U.S. companies, rose about 193% during that same period. Gold, a common safe-haven investment, returned about 127%. So if you had chosen Costco instead, you would have beaten both by a wide margin.
That kind of performance shows how well Costco has managed to grow over the past decade, even through market ups and downs.
Why Costco’s stock has grown so much
Costco’s business model is simple but powerful. The company operates on a membership system, meaning customers pay an annual fee to shop at its warehouses. That steady stream of membership income helps the company stay strong even when other retailers struggle.
Based in Issaquah, Washington, Costco runs nearly 900 warehouses worldwide, with more than 600 in the United States and Puerto Rico. You can also find its stores in Canada, Japan, Mexico, the United Kingdom, and several other countries.
Costco’s warehouses are known for selling food, household goods, and even electronics in bulk at low prices. Its mix of low costs, quality products, and loyal customers has helped it keep steady sales year after year.
The company earns about 98% of its revenue from store sales and 2% from membership fees, but those fees are key to its long-term success. Once people join, most of them renew their memberships often for years.
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Costco’s strength in uncertain times
When the economy gets tough, many people look for ways to stretch their dollars. Costco has benefited from that behavior. By offering bulk goods at discounted prices, it appeals to shoppers who want value without sacrificing quality.
Even during times of inflation or market volatility, Costco’s model tends to perform well. It is what investors call a “defensive stock,” a company that holds steady when others might drop.
Costco’s steady growth has also come from expanding its product mix. It sells fresh foods, groceries, appliances, and even gasoline. These different categories help balance its business so that if one area slows down, another can pick up the slack.
Analysts’ outlook for Costco stock
Analysts remain positive about Costco’s future. They expect the company to keep growing its earnings and revenue in the coming years. In fact, experts project an 11.5% rise in adjusted earnings per share for fiscal 2025, supported by 6.6% revenue growth.
Costco’s consistent results have also given investors confidence. In the past few months alone, thier stock price has climbed more than 15%. Analysts have even raised their earnings estimates, which is usually a good sign especially for shareholders.
That strong outlook reflects Costco’s ability to maintain high renewal rates, attract new members, and keep up steady traffic at its stores.
What this means for everyday investors
If you had invested $1,000 ten years ago, you would have seen firsthand how patience can pay off. Costco’s rise is a reminder that steady, reliable companies can often outperform flashier stocks over time.
You do not need to be a financial expert to see why Costco has succeeded. It focuses on value, consistency, and customer loyalty. Those same principles make it an attractive option for investors looking for long-term stability.
While no stock is ever guaranteed to rise, Costco’s track record over the last decade shows what can happen when you invest in a business built on trust and reliability.
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