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Costco's October Net Sales Jump 12.6% as Digital Growth Accelerates
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Key Takeaways
Costco's October net sales rose 12.6% to $24.50 billion, while total comparable sales increased 11.1%.
COST's digitally enabled sales surged 22.5%, while U.S. comparable sales climbed 12.6% in October.
Costco's forward P/E of 46.11 exceeds the industry's 30.10, while downward earnings revisions limit upside.
Costco Wholesale Corporation (COST - Free Report) maintained its strong sales momentum in October 2026, supported by healthy comparable sales across its operating regions and continued growth in its digitally enabled business. This solid performance reflects the resilience of its membership-based model and its appeal to value-conscious shoppers.
Costco reported net sales of $24.50 billion for the four weeks ended Nov. 1, 2026, representing a 12.6% increase from $21.75 billion in the year-ago period. This followed net sales growth of 13% in September and 9.9% in August.
Total comparable sales increased 11.1%, reflecting broad-based growth across the company’s geographic markets. This followed comparable sales growth of 11.4% in September and 8.4% in August, highlighting the company's strengthening sales momentum.
Costco's Comparable Sales Remain Strong Across Regions
U.S. comparable sales increased 12.6% in October, while Canada posted 4.9% growth. Comparable sales in Other International markets rose 9.4%, reflecting healthy demand across Costco's global warehouse network.
Excluding the effects of gasoline price changes and foreign exchange fluctuations, total comparable sales advanced 7.3%. On the same basis, comparable sales jumped 8.1% in the United States, 3.5% in Canada and 6.9% in Other International markets.
The positive comparable sales trends across regions underscore Costco's ability to sustain customer demand through its value-oriented merchandise. The company's focus on competitive pricing and a differentiated warehouse shopping experience remains central to attracting consumers seeking savings on everyday essentials and discretionary merchandise.
Costco’s Digitally Enabled Sales Continue to Gain Momentum
Costco's digitally enabled business remained a notable growth driver in October. Digitally enabled sales increased 22.5% year over year on a reported basis and 22.6% after excluding foreign exchange fluctuations.
These sales include transactions initiated through digital devices, irrespective of whether orders are fulfilled through warehouses, distribution centers or Costco Travel.
The strong performance highlights the growing importance of digital capabilities in Costco's broader retail strategy. By integrating digital shopping options with its established warehouse operations, the company can offer members greater convenience while reinforcing its value proposition.
How Does Costco Stack Up Against Its Industry?
Costco, which competes with Dollar General Corporation (DG - Free Report) and Target Corporation (TGT - Free Report) , has seen its shares jump 12% over the past three months compared with the industry’s 3.3% rise. While Dollar General shares have advanced 8.6%, Target has risen 5.6% over the same period.
Image Source: Zacks Investment Research
What Does Costco’s Current Valuation Suggest?
From a valuation standpoint, Costco's forward 12-month price-to-earnings ratio stands at 46.11, higher than the industry’s ratio of 30.10. The stock is also trading above its 12-month median level of 44.12, indicating a premium valuation that reflects strong investor confidence in its growth prospects but leaves limited room for upside.
Costco is trading at a premium to Target (with a forward 12-month P/E ratio of 16.26) and Dollar General (16.64).
Image Source: Zacks Investment Research
What Do Earnings Estimates Signal for Costco?
The Zacks Consensus Estimate for Costco’s current fiscal-year sales and earnings per share implies year-over-year growth of 8.5% and 11%, respectively. For the next fiscal year, the consensus estimate indicates a 7.2% rise in sales and 9.8% growth in earnings.
The Zacks Consensus Estimate for earnings for the current fiscal year has declined by 17 cents to $22.70 per share, while the estimate for the next fiscal year has fallen by a penny to $24.93 per share over the past 30 days.
Image Source: Zacks Investment Research
Costco’s Investment Case
Costco’s resilient membership model, strong comparable sales, expanding digital capabilities and warehouse growth support its long-term prospects. Sustained customer loyalty and value-focused merchandising reinforce its competitive position. However, premium valuation, downward earnings estimate revisions and lingering cost pressures limit near-term upside potential. Strong operating fundamentals appear largely reflected in the stock’s current valuation, warranting a cautious investment approach. Costco currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
View the Zacks #1 Rank List
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Costco's October Net Sales Jump 12.6% as Digital Growth Accelerates
Key Takeaways
Costco Wholesale Corporation (COST - Free Report) maintained its strong sales momentum in October 2026, supported by healthy comparable sales across its operating regions and continued growth in its digitally enabled business. This solid performance reflects the resilience of its membership-based model and its appeal to value-conscious shoppers.
Costco reported net sales of $24.50 billion for the four weeks ended Nov. 1, 2026, representing a 12.6% increase from $21.75 billion in the year-ago period. This followed net sales growth of 13% in September and 9.9% in August.
Total comparable sales increased 11.1%, reflecting broad-based growth across the company’s geographic markets. This followed comparable sales growth of 11.4% in September and 8.4% in August, highlighting the company's strengthening sales momentum.
Costco's Comparable Sales Remain Strong Across Regions
U.S. comparable sales increased 12.6% in October, while Canada posted 4.9% growth. Comparable sales in Other International markets rose 9.4%, reflecting healthy demand across Costco's global warehouse network.
Excluding the effects of gasoline price changes and foreign exchange fluctuations, total comparable sales advanced 7.3%. On the same basis, comparable sales jumped 8.1% in the United States, 3.5% in Canada and 6.9% in Other International markets.
The positive comparable sales trends across regions underscore Costco's ability to sustain customer demand through its value-oriented merchandise. The company's focus on competitive pricing and a differentiated warehouse shopping experience remains central to attracting consumers seeking savings on everyday essentials and discretionary merchandise.
Costco’s Digitally Enabled Sales Continue to Gain Momentum
Costco's digitally enabled business remained a notable growth driver in October. Digitally enabled sales increased 22.5% year over year on a reported basis and 22.6% after excluding foreign exchange fluctuations.
These sales include transactions initiated through digital devices, irrespective of whether orders are fulfilled through warehouses, distribution centers or Costco Travel.
The strong performance highlights the growing importance of digital capabilities in Costco's broader retail strategy. By integrating digital shopping options with its established warehouse operations, the company can offer members greater convenience while reinforcing its value proposition.
How Does Costco Stack Up Against Its Industry?
Costco, which competes with Dollar General Corporation (DG - Free Report) and Target Corporation (TGT - Free Report) , has seen its shares jump 12% over the past three months compared with the industry’s 3.3% rise. While Dollar General shares have advanced 8.6%, Target has risen 5.6% over the same period.
Image Source: Zacks Investment Research
What Does Costco’s Current Valuation Suggest?
From a valuation standpoint, Costco's forward 12-month price-to-earnings ratio stands at 46.11, higher than the industry’s ratio of 30.10. The stock is also trading above its 12-month median level of 44.12, indicating a premium valuation that reflects strong investor confidence in its growth prospects but leaves limited room for upside.
Costco is trading at a premium to Target (with a forward 12-month P/E ratio of 16.26) and Dollar General (16.64).
Image Source: Zacks Investment Research
What Do Earnings Estimates Signal for Costco?
The Zacks Consensus Estimate for Costco’s current fiscal-year sales and earnings per share implies year-over-year growth of 8.5% and 11%, respectively. For the next fiscal year, the consensus estimate indicates a 7.2% rise in sales and 9.8% growth in earnings.
The Zacks Consensus Estimate for earnings for the current fiscal year has declined by 17 cents to $22.70 per share, while the estimate for the next fiscal year has fallen by a penny to $24.93 per share over the past 30 days.
Image Source: Zacks Investment Research
Costco’s Investment Case
Costco’s resilient membership model, strong comparable sales, expanding digital capabilities and warehouse growth support its long-term prospects. Sustained customer loyalty and value-focused merchandising reinforce its competitive position. However, premium valuation, downward earnings estimate revisions and lingering cost pressures limit near-term upside potential. Strong operating fundamentals appear largely reflected in the stock’s current valuation, warranting a cautious investment approach. Costco currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.