Why Costco Is Poised to Keep Poppin'

Based on the aggregated intelligence of 180,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, discount warehouse giant Costco Wholesale (NASDAQ: COST  ) has earned a coveted five-star ranking.

With that in mind, let's take a closer look at Costco and see what CAPS investors are saying about the stock right now.

Costco facts

 

 

Headquarters (founded)

Issaquah, Wash. (1976)

Market Cap

$47.9 billion

Industry

Hypermarkets and supercenters

Trailing-12-Month Revenue

$104.9 billion

Management

CEO Craig Jelinek (since 2012)

CFO Richard Galanti (since 1985)

Return on Equity (average, past 3 years)

14.2%

Cash/Debt

$6.5 billion / $4.9 billion

Dividend Yield

1.1%

Competitors

Amazon.com

Target

Wal-Mart Stores 

Sources: S&P Capital IQ and Motley Fool CAPS.

On CAPS, 96% of the 4,698 members who have rated Costco believe the stock will outperform the S&P 500 going forward.

Just last week, one of those Fools, TMFTailwind, succinctly summed up the Costco bull case for our community:

Love the business model -- COST leverages its scale to achieve lower prices and draw in customers, then profits off those customers via membership fees. Renewal rates on membership have been stellar AND stable over the business cycle, so COST enjoys strong cash flow visibility. Steady as she goes.   

Costco's low prices haven't just benefited customers -- shareholders have walloped the market, returning 11,000% over the past two decades. However, with prices near all-time highs, is the ride over for Costco investors? To answer that and more, The Motley Fool's compiled a premium research report with in-depth analysis on Costco. Simply click here now to gain instant access to this valuable investor's resource.


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