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Costco's Stellar Comparable Sales Growth Continues in January

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Costco Wholesale Corporation (COST - Free Report) continued with its decent comparable sales growth in January. The robust performance, driven by notable gains across key regions, reflects Costco’s ability to attract value-conscious shoppers with its competitive pricing and high-quality offerings. As consumer spending patterns evolve, the company’s strong sales growth reaffirms its operational excellence and adaptability in a dynamic retail landscape.

Decoding COST’s January Comps

COST’s comparable sales for January illustrate its market strength. For the four weeks ended Feb. 2, 2025, comparable sales in the United States grew 9.2%, while Canada and Other International markets saw increases of 5.7% and 1.1%, respectively. The total company comparable sales rose 7.5%. This follows consecutive increases of 7.4% and 3.1% in December and November, respectively.

When adjusting for the effects of gasoline prices and foreign exchange rates, Costco’s comparable sales paint an impressive picture. In the United States, comparable sales, excluding these factors, rose 9.2% in January, while Canada and Other International markets posted gains of 12.3% and 10%, respectively. The company’s total comparable sales, excluding these external factors, increased 9.8%.

Costco's e-commerce comparable sales jumped 13.6% or 15.2% when adjusted for gasoline prices and foreign exchange fluctuations. 

As a result, Costco's net sales for January increased 9.2%, reaching $19.51 billion, up from $17.87 billion in the same period last year. This follows a sales improvement of 9.9% and 5.6% reported in December and November, respectively, reflecting a strong and consistent sales performance in the past few months.

 

Zacks Investment Research
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Costco’s Consistent Growth Keeps Investors Optimistic

Costco’s resilient business model, centered around a membership-based structure, continues to be a major growth driver. The company’s high membership renewal rates, coupled with its efficient supply chain management and bulk purchasing power, ensure competitive pricing and customer loyalty.

Shares of this Zacks Rank #3 (Hold) company have advanced 44.5% in the past year compared with the Retail – Discount Stores industry’s rise of 22.8%.

3 Picks You Can’t Miss Out On

United Natural Foods (UNFI - Free Report) , which, together with its subsidiaries, distributes natural, organic, specialty, produce, and conventional grocery and non-food products in the United States and Canada, currently sports a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.

The Zacks Consensus Estimate for United Natural Foods’ current financial-year sales and earnings calls for growth of 0.3% and 442.9%, respectively, from the year-ago reported numbers. UNFI has a trailing four-quarter earnings surprise of 553.1%, on average.

US Foods Holding Corp. (USFD - Free Report) , which is engaged in the marketing, sale and distribution of fresh, frozen, and dry food and non-food products, currently carries a Zacks Rank #2 (Buy). 

The Zacks Consensus Estimate for US Foods’ current financial-year sales and earnings suggests growth of 6.4% and 18.6%, respectively, from the year-ago reported numbers.

TreeHouse Foods (THS - Free Report) , a leading private-brand snacking and beverage manufacturer in North America, currently carries a Zacks Rank #2. THS has a trailing four-quarter earnings surprise of 20.4%, on average. 

The Zacks Consensus Estimate for TreeHouse Foods’ current financial-year sales and earnings indicates a decline of 4.3% and 20.7%, respectively, from the prior-year reported levels.

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