Shares have fallen more than 20% from their 52-week high as Costco prepares to report fiscal fourth-quarter results Sept. 24
Costco Wholesale Corp. shares head into Thursday’s fiscal fourth-quarter earnings report trading well off their highs, with investors watching to see whether the warehouse retailer can arrest a monthslong slide ahead of one of its most closely watched releases of the year.
Shares closed at $895.31 on Friday, down 0.15% on the day but off nearly 7% over the past month and more than 20% below their 52-week high above $1,100. The stock remains up 3.82% year to date but has fallen nearly 6% over the past 12 months, and it continues to trade well below both its 50-day moving average of $936.89 and its 200-day moving average of $960.50.
Costco is scheduled to report fiscal fourth-quarter 2026 results Thursday, Sept. 24. In its most recent quarter, reported in May, the company posted earnings of $4.93 per share, narrowly missing analyst estimates of $5.00, a 1.4% shortfall. Revenue for that quarter came in at $70.53 billion, topping estimates of $69.83 billion by about 1%.
Wall Street remains broadly optimistic on the stock’s longer-term prospects despite the recent pullback. Of the 59 analysts covering Costco, 39 rate the stock a “buy,” 19 rate it “hold” and just one rates it “sell,” for a consensus rating of “buy.” The average price target stands at approximately $1,100, with estimates ranging from $1,000 to $1,270 — implying meaningful upside from current levels if the stock were to close that gap.
Costco’s financial fundamentals have remained relatively stable even as the stock has struggled. The company’s gross margin has hovered in the 12.7% to 13% range over recent quarters, while its operating margin has stayed in the high-3% to low-4% range. Costco’s balance sheet remains strong, with $18.95 billion in cash and equivalents as of its most recent quarter and total debt of $8.23 billion, leaving the company in a net cash position.
Institutional investors showed mixed positioning heading into the report. Norway’s sovereign wealth fund, Norges Bank, opened a new $6.06 billion position in the second quarter, the largest new stake among major holders, while firms including BlackRock, Fidelity Investments and T. Rowe Price Associates trimmed their holdings during the same period. Options market activity showed put positioning outweighing call positioning among tracked funds, with puts valued at $9.98 billion compared with $9.02 billion in calls, a gap that widened from the prior quarter.
Costco’s business remains geographically diversified, with the United States accounting for roughly $49.93 billion of revenue in its most recent quarter, Canada contributing $9.29 billion and other international operations adding $10.38 billion. Membership fee revenue, a key profitability driver for the warehouse model, totaled $1.35 billion in the same quarter.
Investors heading into Thursday’s report will be watching closely for updates on comparable sales trends, membership renewal rates, and management commentary on consumer spending patterns as the company closes out its fiscal year.