115-Year-Old Costco Drives Huge Returns in a Most Modern Way
TheStreet's series highlights boring large-cap stocks that have outperformed the Nasdaq-100 over the past five years. Costco (COST) is the sixth and final piece, showing how a 115-year-old company drives huge returns in a modern way.
This is the sixth and final piece in a series examining "boring" large-cap stocks that have outperformed the Nasdaq-100 over the past five years. The first piece introduced the methodology and the companies. Over the subsequent few weeks, the series has looked at Curtiss-Wright, Williams Companies, and others.
Details
Costco (COST), the retail giant founded in 1976 (not 115 years old, but the parent company Price Club dates back to 1976), has proven that its membership-based business model and operational efficiency can deliver returns that beat expectations even in a tech-dominated market.
Context
The series published by TheStreet aims to show that stocks that may seem boring or traditional can be excellent long-term investments. Costco, with its consistent revenue growth and global expansion, is a clear example.
What This Means for Investors
Costco reminds investors that companies with strong business models and high customer loyalty can outperform high-growth tech stocks. However, any investment should be evaluated based on the company's fundamentals, not just past performance.
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