TLDR
- Costco shares are trading close to $1,000, having increased approximately 15% in 2026, surpassing the S&P 500.
- Net sales for January reached $21.33 billion, marking a 9.3% rise year-over-year.
- E-commerce comparable sales saw a significant jump of 34.4% in January.
- Evercore ISI increased its price target to $1,050; Citi also raised its target to $1,000.
- With a valuation of 53 times earnings, one analyst suggests $830 as a more favorable entry point.
Costco Wholesale (COST) stock has returned to trading near the $1,000 level in 2026, achieving roughly a 15% gain year-to-date and significantly outperforming the S&P 500.
This upward trend has prompted investors to ponder a familiar question: does the stock still represent a good buying opportunity at its current price, or have the recent gains already factored in all the positive news?
The company’s underlying operations are not the concern. Costco consistently delivers stable and impressive financial results that most other retailers would find enviable.
January’s net sales amounted to $21.33 billion, an increase of 9.3% compared to the previous year. For the initial 22 weeks of the fiscal year, total net sales reached $123.2 billion, an 8.5% improvement.
Comparable sales grew by 7.1% in January. Excluding the impact of gas prices and foreign exchange rates, this figure adjusted to a still robust 6.4%.
E-Commerce Shows Strong Performance
The standout performance in January was undoubtedly from e-commerce. Comparable sales through digital channels surged by 34.4%, or 33.1% on an adjusted basis. This represents a notable acceleration from the 18.3% adjusted growth recorded in December.
For a retailer primarily known for its physical warehouse model, such strong online momentum is particularly significant.
Fiscal Q1 results (concluding November 23, 2025) presented a similar positive picture. Net sales climbed 8.2% to $66.0 billion. Revenue from membership fees increased by 14% to $1.329 billion. The total number of paid members reached 81.4 million, up 5.2%.
Executive memberships, which represent the highest tier, expanded by 9.1% to 39.7 million.
Analysts Offer Their Perspectives
Analysts took note after the company reported a slight beat on both same-store sales and earnings for fiscal Q2.
On February 10, Evercore ISI analyst Greg Melich adjusted his price target upwards to $1,050 from $1,025, maintaining an Outperform rating.
Subsequently, on February 20, Citi analyst Steven Zaccone raised his target to $1,000 from $990, though he kept a Neutral rating. He characterized the Q2 outcomes as a modest beat.
However, not all market observers are inclined to pursue the stock at its current valuation.
Trading at approximately 53 times earnings, Costco’s valuation offers minimal buffer for any potential missteps. Any deceleration in comparable sales growth or increased competition from rivals like Sam’s Club could severely impact the stock.
One analyst suggested an optimal entry point of around $830 per share, which is approximately 17% below the stock’s current trading price.
The membership-based business model continues to provide a resilient competitive advantage, generating high-margin, recurring revenue that few other retailers can replicate. Nevertheless, durability and intrinsic value are distinct concepts.
Citi’s $1,000 price target coupled with a Neutral rating effectively encapsulates this dynamic — a strong company, but at a premium price.
