Is Costco (COST) a Buy Right Now?
A plain-English read on Costco stock — what the chart and the numbers are saying today, with no jargon and no hype.
What this means, in plain English
Costco is currently priced at $949.58. While this sits slightly above its 50-day average of $948.8, it remains below the 200-day average of $958.3. This trend suggests the stock is struggling to maintain its momentum, which is why we are taking a cautious approach right now.
The stock is trading within a 52-week range of $844.06 to $1096.5. With a P/E ratio—a measure of the price paid for each dollar of earnings—at 52.1, the stock is historically expensive. When the price is this high relative to earnings, there is often less room for error.
Should you buy Costco stock?
Buying now carries risks because the price is trending downward and sits at a high valuation. It is often better to wait for a clearer trend rather than jumping in while the stock is struggling to find its footing.
Is COST a good stock for beginners?
Costco is a massive company, but its high P/E ratio of 52.1 makes it a volatile choice for those just starting out. Beginners should be wary of paying a premium price for a stock that is currently showing downward momentum.
What's driving COST right now
The stock price is currently sitting below its 200-day average of $958.3.
A P/E ratio of 52.1 indicates that investors are paying a high price for the company's earnings.
The recent support level, or the price floor where buyers historically step in, sits at $916.76.
The stock faces a ceiling, known as resistance, at $978.8 that it has yet to break through.
What Costco actually does
Costco Wholesale Corporation, together with its subsidiaries, engages in the operation of membership warehouses in the United States, Puerto Rico, Canada, Mexico, Japan, the United Kingdom, Korea, Australia, Taiwan, China, Spain, France, Iceland, New Zealand, and Sweden. It offers merchandise, including sundries, dry groceries, candies, coolers, freezers, deli, liquor, and tobacco; non-food merchandise comprising appliances, small electronics, health and beauty aids, hardware, lawn and garden, sporting goods, tires, toys and seasonal, automotive, stamps, tickets, apparel, furniture, domestics, housewares, special order kiosks, and jewelry; and fresh food, such as meat, produce, service deli, and bakery products. The company is also involved in warehouse ancillary operations, which include gasoline, pharmacies, optical, food courts, hearing-aid centers, and tire installation centers. In addition, it engages in e-commerce, business centers, travel, and other businesses. The company was formerly known as Costco Companies, Inc. and changed its name to Costco Wholesale Corporation in August 1999. Costco Wholesale Corporation was founded in 1976 and is based in Issaquah, Washington.
Costco by the numbers
Wall Street consensus on COST is Buy. That is the analyst community's view, shown for context — it is not our read and not a recommendation.
Costco's earnings history
Earnings per share for Costco's last 4 reported financial years, as filed — EPS has risen over that span. We don't hold analyst consensus estimates for these periods, so no beat-or-miss judgement is shown.
| Period end | EPS reported |
|---|---|
| 2025-08-31 | 18.24 |
| 2024-09-01 | 16.60 |
| 2023-09-03 | 14.18 |
| 2022-08-28 | 13.17 |
Who owns Costco?
Institutions — pension funds, asset managers, index providers — hold 74.0% of COST, and the concentration matters: the largest single holder alone controls 7.88% of the company.
| Holder | Shares | % held |
|---|---|---|
| 34.95M | 7.88% | |
| 28.85M | 6.50% | |
| 18.15M | 4.09% |
Names withheld — plus 3 more records not shown.
See who owns itWhat Costco insiders have been doing
Executives and directors must disclose their own trades in company stock. Of the last 6 disclosed transactions we hold for Costco, 3 were sales and 0 were open-market purchases; the other 3 were awards, vesting or option exercises rather than a decision to buy or sell. Insiders sell for many ordinary reasons — scheduled plans, tax, diversification — so a sale is not by itself a signal.
| Insider | Date | Type | Shares | Value |
|---|---|---|---|---|
| 2026-07-10 | AWARD / VEST | 5.2K | — | |
| 2026-06-23 | SELL | 885 | $847.3K | |
| 2026-04-01 | SELL | 700 | $695.1K |
Names withheld — plus 3 more records not shown.
See which insidersThe numbers behind the read
Who in Washington has been trading COST?
Members of Congress must disclose trades over $1,000 within 45 days under the STOCK Act. At least 25 disclosures name COST — filed by 15 separate members or more and worth $137K–$580K combined (filings report bands, never exact amounts). 18 purchase-side, 7 sale-side, most recently on 2026-07-10.
| Member | Date | Action | Amount filed |
|---|---|---|---|
| 2026-07-10 | BUY | $1,001 - $15,000 | |
| 2025-11-05 | BUY | $1,001 - $15,000 | |
| 2025-03-17 | BUY | $1,001 - $15,000 |
Names withheld — plus 22 more records not shown.
See which membersWith a high valuation and a downward trend, the risks currently outweigh the potential for immediate gains.
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Beginner questions about COST
Should I buy COST stock?+
Given the price is below the 200-day average and the P/E ratio is high at 52.1, it is best to exercise caution before buying.
Is COST a good long-term investment?+
While Costco is a large company, the current valuation of 52.1 times earnings suggests that long-term investors should wait for a better entry point.
Is COST a buy or a sell?+
The data shows a downward trend and a high P/E ratio, which leads us to a 'be careful' stance rather than a buy signal.
Is COST overvalued?+
With a P/E ratio of 52.1, the stock is trading at a high multiple compared to its earnings, which suggests it is currently expensive.
Is COST a good stock for beginners?+
Beginners should be careful, as the stock is currently trading below its 200-day average and carries a high valuation that can lead to increased volatility.
Important disclaimer
This page is for educational and informational purposes only and is not financial, investment, tax, or legal advice, nor a recommendation, offer, or solicitation to buy, sell, or hold Costco (COST) or any other security. The Money GPS is not a registered investment adviser, broker-dealer, or financial planner, and no content here should be relied upon to make an investment decision.
The verdict, indicators, and commentary are generated automatically — in part using AI — from third-party market data (via Yahoo Finance) that may be delayed, incomplete, or inaccurate, and is provided “as is” without any warranty. Figures reflect the market as of 2026-08-12 and change constantly; the read above may already be out of date. A “Buy,” “Hold,” or “Be Careful” label is a simplified, rules-based signal for beginners — not a price target or a guarantee of any outcome.
All investing involves risk, including the possible loss of your entire principal. Past performance and historical patterns do not guarantee future results. Always do your own research and consult a licensed financial professional who knows your personal circumstances before investing. You are solely responsible for your own investment decisions. The Money GPS and its authors may hold positions in the securities discussed and accept no liability for any loss arising from the use of this information.