With a market cap of $418.8 billion, Costco Wholesale Corporation (COST) operates membership warehouses and e-commerce websites focused on offering a limited selection of branded and private-label products at low prices. Its high sales volumes, rapid inventory turnover, and efficient purchasing and distribution model allow it to operate profitably with lower gross margins.
Shares of the warehouse club giant have lagged behind the broader market over the past 52 weeks. COST stock has fallen 5.1% over this time frame, while the broader S&P 500 Index ($SPX) has rallied 19.9%. Moreover, shares of the company are up 9.1% on a YTD basis, compared to SPX's 12.9% gain.
