New York, February 10, 2026, 12:26 (EST) — Regular session
- COST slid roughly 2% by midday, dipping under $980 after an early move up to $997
- Bernstein bumped its price target up to $1,155 but stuck with its Outperform rating.
- Looking ahead, March 5 brings earnings and a February sales update. The dividend lands Feb. 13.
Costco Wholesale Corporation (COST) dropped roughly 1.9% to $978.97 on Tuesday, slipping $18.62 from its previous finish. Shares moved in a range from $977.18 up to $997.02.
Markets slipped after December’s retail sales numbers landed flat, hinting at softer U.S. consumer demand than many had expected. “The retail sales data … is indicating that maybe the economy wasn’t as strong as people expected,” said Charlie Ripley, vice president of portfolio management at Allianz Investment Management. “We’re seeing a continued rotation into a wider set of opportunities, and one would think that it’s healthy,” added Bill Fitzpatrick, managing director and portfolio manager at Logan Capital Management. Reuters
Costco’s shares are hovering close to $1,000 again, putting the stock at a premium compared to most major retailers. With that kind of valuation, even modest changes in sales or membership renewal patterns can pack an outsized punch on the price.
Bernstein SocGen Group bumped its price target on Costco to $1,155 from $1,146 on Monday, maintaining its Outperform call. The analysts pointed to plenty of international growth potential. According to the note, U.S. comparable sales—tracking locations open a year or more—have leveled off. InvestingPro data in the same report pegged Costco’s price-to-earnings ratio at 53.45. Bernstein also mentioned renewal rates could pick up in the back half, and highlighted a possible special dividend as another tailwind. Shares have climbed over 16% year-to-date, the report noted.
Costco’s January net sales climbed 9.3% year over year to $21.33 billion, the retailer disclosed last week. Comparable sales for the four weeks through Feb. 1 advanced 7.1%. Digital comps soared, surging 34.4%. The company noted that sales in its “other international” segment took about a four-point hit due to the later Lunar and Chinese New Year holidays. Costco Investor Relations
Warehouse clubs have managed to weather shifts in consumer spending more effectively than a lot of general merchandisers, with shoppers still watching costs on groceries and essentials. Costco goes head-to-head with Walmart’s Sam’s Club and BJ’s Wholesale. Its reliance on a membership fee structure usually helps soften the blow when discretionary spending cools.
Costco will report its fiscal second-quarter numbers and February sales on March 5, per its investor calendar. The update tends to be a bellwether, offering a clearer picture of post-holiday demand.
The company’s latest SEC filing put the quarterly cash dividend at $1.30 per share, set for payment on Feb. 13. Shareholders recorded by Jan. 30 will be eligible.
The valuation is a double-edged sword here. Should sales growth slow more sharply than investors have in mind, or if renewal rates slip, the market might waste no time hammering the multiple—and the stock could face plenty of turbulence on the way down.
Right now, traders are eyeing upcoming U.S. economic data for any hints about consumer demand. After that, focus swings back to Costco’s March 5 report to gauge the next move.
