Costco Stock Keeps Rising Despite Its Valuation. Should You Buy?

The stock of Costco Wholesale (NASDAQ: COST) continues to appear unstoppable. It has risen by more than 35% this year. Given the strength of its business and a recent membership price increase, the optimism surrounding this stock appears elevated.However, this situation leaves new investors wondering what to do. Are the continued increases a sign that the retail stock's valuation doesn't matter, or are investors who buy now setting themselves up for months or years of pain if the sentiment suddenly turns negative?Costco shares have risen over the years as it developed one of the most ingenious retail models. The company stocks its warehouses with high-quality products typically sold in bulk for little more than the cost of goods sold plus overhead.Continue readingWeiter zum vollständigen Artikel bei MotleyFool Weiter zum vollständigen Artikel bei MotleyFool