Costco's Q2 earnings wrap up major retailers' reporting cycle.

Are consumers trading big hauls for smaller, more frequent grocery trips? Pablo Garces, Retail Director, S&P Global Ratings joined Diane King Hall on Schwab Network to discuss Kroger’s earnings and how shifting consumer behavior is reshaping the grocery landscape. Watch the interview here: https://okt.to/C3WOSf

Costco once again proved its one of retail's most resilient players.   Q2 delivered +8.0% net sales to $84.4B and US comps +6.0%, with margin expansion despite tariff headwinds. Still, traffic, eCommerce growth, and renewal rates all showed signs of moderation - keeping investors cautious and stock movement limited.   From tariff-driven assortment changes to a younger member base and evolving retail media, Costco continues to adapt while outperforming the broader retail sector. Flip through our 4 key takeaways to keep on your radar 👉   Download the full Harvest Group recap for the full story and implications for suppliers: https://lnkd.in/egehjhru *Costco’s fiscal year runs from September to August, making their fiscal Q4 which ended August 31, 2025, comparable to other retailers’ Q2 2025 results.

📢 What’s It Worth? - Week #6: Costco (COST) 🛒 Costco trades at a steep premium, but is it justified? As part of my weekly “What’s It Worth?” series, I break down companies into simple one-page valuations. This week, I analyzed Costco Wholesale (COST), the membership-driven retailer with 880+ warehouses worldwide. Key findings: • Intrinsic Value (DCF): $961/share • Current Price: $943/share • Upside: +1.9% • Membership fees ($4.6B) make up most of Costco’s operating profit, with renewal rates >90%. • Exceptional efficiency: ROE ~30%, asset turnover 3.6x, cash conversion cycle just 2.9 days. • Risks: razor-thin margins (EBIT margin ~3.9%), macro sensitivity, and reliance on membership renewals. 📊 Peer comps show Costco trades at 55x P/E and 36x EV/EBITDA, roughly 2x industry averages. Investors clearly pay up for resilience and scale. 👉 Swipe through the one-pager for revenue mix, ratio analysis, peer comps, and valuation assumptions. ❓ Would you pay a 2× premium multiple for Costco’s consistency, or is the stock priced for perfection? #WhatsItWorth #Valuation #EquityResearch #Finance #Retail #Costco

Costco crushes Q4 fiscal 2025 earnings with 8% sales growth to $84.4B and EPS at $5.87—beating forecasts amid tariff risks and savvy consumer shifts. Membership fees up 14%, e-commerce soaring 13.6%. As a retail journalist, this resilience highlights Costco's unbeatable value moat in a tough economy. Dive into the full Costco earnings 2025 analysis! Read more: https://lnkd.in/d-FM2JFU #Costco #RetailNews #EarningsReport #ConsumerTrends #WarehouseClub #BusinessInsights #thesuccessdigest

Costco’s forthcoming quarterly earnings report offers a timely opportunity for professionals across the retail and investment sectors to reassess market strategies and broader industry sentiment. The blog recently published on our site examines how analysts expect strong revenue performance underpinned by an effective membership model and bulk purchasing strategy. At the same time, market participants remain cautious about potential stock price fluctuations driven by macroeconomic pressures and evolving consumer spending habits. The analysis outlines how Costco’s stable gross margins, resilient supply chain management and successful e-commerce expansion contribute to a robust operating framework. These factors, alongside heightened institutional interest as the earnings date approaches, reinforce the narrative that despite short-term volatility, the company is well positioned to maintain long-term growth trends. The discussion contextualises Costco’s performance within the broader spectrum of consumer defensive stocks, underscoring its role as a key indicator for retail sector health and shaping investment flows across related equities. For portfolio managers and retail sector analysts, the implications extend beyond individual earnings performance. The anticipated volatility suggests a careful review of risk management and hedging strategies, while the underlying growth story encourages a balanced perspective on market positioning. This examination invites industry debate on how best to navigate earnings season in an environment where operational excellence coexists with uncertain market reactions. How do you see the impact of these earnings dynamics influencing broader retail sector strategies over the coming months? #RetailInsights #EarningsSeason #InvestmentStrategy #MarketTrends #BusinessAnalysis

Costco’s forthcoming quarterly earnings report offers a timely opportunity for professionals across the retail and investment sectors to reassess market strategies and broader industry sentiment. The blog recently published on our site examines how analysts expect strong revenue performance underpinned by an effective membership model and bulk purchasing strategy. At the same time, market participants remain cautious about potential stock price fluctuations driven by macroeconomic pressures and evolving consumer spending habits. The analysis outlines how Costco’s stable gross margins, resilient supply chain management and successful e-commerce expansion contribute to a robust operating framework. These factors, alongside heightened institutional interest as the earnings date approaches, reinforce the narrative that despite short-term volatility, the company is well positioned to maintain long-term growth trends. The discussion contextualises Costco’s performance within the broader spectrum of consumer defensive stocks, underscoring its role as a key indicator for retail sector health and shaping investment flows across related equities. For portfolio managers and retail sector analysts, the implications extend beyond individual earnings performance. The anticipated volatility suggests a careful review of risk management and hedging strategies, while the underlying growth story encourages a balanced perspective on market positioning. This examination invites industry debate on how best to navigate earnings season in an environment where operational excellence coexists with uncertain market reactions. How do you see the impact of these earnings dynamics influencing broader retail sector strategies over the coming months? #RetailInsights #EarningsSeason #InvestmentStrategy #MarketTrends #BusinessAnalysis

During his keynote yesterday, Ocado Group's CEO Tim Steiner shared one of the biggest mistakes he sees Grocery retailers make: assuming online and physical shopping are the same.

Costco warehouse club wins over younger members Costco’s Earnings Beat Estimates on Steady Consumer Demand : profit that was better than expectations, a sign that spending remains healthy as shoppers prioritize essentials and seek value attracting consumers with its deals, ever-changing assortment and popular Kirkland brand, and tends to be more resilient to macroeconomic swings than other companies

Costco's latest earnings reveal a powerful truth: adaptability drives success in challenging environments. 📈 Despite rising inflation and supply chain pressures, Costco has outperformed expectations. – Membership income soaring 14% – E-commerce sales up by 13.5% 💻 – Stronger appeal to younger consumers – Successful launch of new product lines to tackle tariff impacts What’s their secret? A relentless focus on adding value. By introducing new Kirkland Signature products and shifting towards U.S.-made goods, they're keeping costs manageable while offering members more. The results? – Revenue spiked to $275 billion, a healthy growth of 8.1% 📊 – 27 new warehouses opened this quarter, with 35 more planned for next year – Membership renewal rates on the rise 🏷️ As Costco shows, in times of uncertainty, innovation and customer focus pave the path to growth. Food for thought: Can companies in other sectors learn from Costco’s playbook? With evolving consumer needs, how can they innovate while controlling costs? #Retail #Earnings #Innovation #BusinessStrategy #Costco Link to article: https://lnkd.in/ePzs-txu

When approximately 52% of general merchandise purchases are made on impulse, how can you bring the success of seasonal displays to the digital realm? 📲 It starts with knowing when the urgent needs arise. Learn how to turn timely moments into sales with our seasonal success playbook for grocery retailers. https://ubr.to/45SlFm5 FMI- The Food Industry Association