If You’d Invested $10,000 in Costco Stock 15 Years Ago, Here’s How Much You’d Have Today

[Pelican Press 0]

This is the hidden content, please

• Sign In
• or
• Sign Up

If You’d Invested $10,000 in Costco Stock 15 Years Ago, Here’s How Much You’d Have Today

Costco Wholesale (NASDAQ: COST) has long remained one of the most successful retailers in the U.S. and much of the world. However, this did not make the company invulnerable 15 years ago during the financial crisis.

At that time, its rapid growth briefly turned negative as consumers reined in unnecessary spending. Nonetheless, it was also a retailer that recovered quickly as the crisis receded. Additionally, the improvements led to massive gains for the

This is the hidden content, please

• Sign In
• or
• Sign Up

as its expansion continued.

Costco’s gains over 15 years

In August 2009, a $10,000 investment would have bought 206 shares at around $48.50 per share. Today, at a price of just over $881 per share, that investment would be worth just over $180,000. Also, if accounting for the total return, which includes dividends, an investor would have more than $250,000.

As mentioned before, despite its recession-resistant business, Costco did not escape the effects of the financial crisis. In fiscal 2009 (ended Aug. 30, 2009), its net sales of $70 billion fell by almost 2% from year-ago levels. This was quite a change considering the 13% increase in net sales in 2008.

However, disciplined investors saw the opportunity as the crisis took Costco’s

This is the hidden content, please

• Sign In
• or
• Sign Up

to just 19 times earnings, far below today’s 54 earnings multiple.

Moreover, the 2009 net sales decline became an anomaly, as net sales rose 9% in fiscal 2010 and 14% in fiscal 2011. Such growth rates set off a steady rise in the stock price that continues to this day.

Lessons for today

Admittedly, Costco’s success is likely more than priced into the stock today. At the aforementioned 54 times earnings, investors may hesitate to pay such a price when net sales rose by only 7% in the first three quarters of fiscal 2024 (ended May 12).

Nonetheless, the state of Costco in 2009 is a reminder of how buying opportunities in high-quality companies can appear in tough economic times. Knowing that, one should learn to put negative feelings aside and begin accumulating top-notch stocks during such times.

Should you invest $1,000 in Costco Wholesale right now?

Before you buy stock in Costco Wholesale, consider this:

The Motley Fool Stock Advisor analyst team just identified what they believe are the 

This is the hidden content, please

• Sign In
• or
• Sign Up

for investors to buy now… and Costco Wholesale wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years.

Consider when Nvidia made this list on April 15, 2005… if you invested $1,000 at the time of our recommendation, you’d have $792,725!*

Stock Advisor provides investors with an easy-to-follow blueprint for success, including guidance on building a portfolio, regular updates from analysts, and two new stock picks each month. The Stock Advisor service has more than quadrupled the return of S&P 500 since 2002*.

Story continues

This is the hidden content, please

• Sign In
• or
• Sign Up

*Stock Advisor returns as of August 22, 2024

This is the hidden content, please

• Sign In
• or
• Sign Up

has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Costco Wholesale. The Motley Fool has a

This is the hidden content, please

• Sign In
• or
• Sign Up

.

This is the hidden content, please

• Sign In
• or
• Sign Up

was originally published by The Motley Fool

This is the hidden content, please

• Sign In
• or
• Sign Up

#***** #Invested #Costco #Stock #Years #Heres #***** #Today

This is the hidden content, please

• Sign In
• or
• Sign Up

This is the hidden content, please

• Sign In
• or
• Sign Up

For verified travel tips and real support, visit: https://hopzone.eu/