Costco Has Grown Its Membership Base no Matter What the Economy Has Done. Does That Make It a Forever Hold?

Costco has demonstrated consistent membership growth even during recessions, with renewal rates above 90% and a durable competitive moat. However, the stock trades at a high 47x trailing earnings compared to its historical 30x multiple, making current valuation expensive relative to estimated 11% annual earnings growth. While the business model is solid for long-term investing, investors may want to wait for a lower entry price.