Costco stock rose 1.16% to $958.71 on August 24, 2026, as analysts maintain a bullish outlook on the membership retailer, with consensus price targets hovering around $1,100 to $1,102 per share.
The stock’s strength reflects confidence in Costco’s underlying business momentum. In its fiscal third quarter 2026, the company reported net sales of $69.15 billion, up 11.6% year over year, marking the company’s strongest 12-week sales figure on record, according to Investing.com reporting on July 28, 2026.
Even more striking is the outpacing growth of Costco’s membership fee revenue. Membership income climbed 10.7% year over year to $1.37 billion in the third quarter, surpassing the overall sales growth rate, according to Motley Fool analysis published July 11, 2026. This divergence signals the strength of Costco’s recurring revenue model—a key factor behind analyst optimism.
Membership renewal rates have also hit exceptional levels. During the Q3 2026 earnings call, Costco reported global renewal rates of 93%, the highest the company has achieved, underscoring customer loyalty and willingness to maintain subscriptions despite economic headwinds. The membership base itself continues to expand, supporting both near-term revenue and long-term growth prospects.
Costco analyst Kate McShane at Bernstein maintained a Buy rating while raising her price target from $1,087 to $1,102, reflecting confidence in the company’s ability to sustain its growth trajectory. Across Wall Street, consensus remains solidly bullish: MarketWatch reported a median analyst price target of $1,100, with 39 analysts polled by S&P Global assigning an average target of $1,077.
Earnings expectations also underpin the positive outlook. For fiscal 2026, analysts expect Costco to deliver earnings per share of $20.42, implying 13.5% year-over-year growth compared with the prior fiscal year, according to Barchart reporting on August 12, 2026. This pace of earnings expansion, combined with the company’s defensive characteristics as a necessity-focused retailer, positions Costco favorably in a volatile market.
The membership model—which generates predictable, recurring revenue independent of transaction volume—has long been a differentiator for Costco. As membership income growth outpaces merchandise sales growth, the company is diversifying its earnings stream and building a more resilient business less exposed to retail cyclicality. Analysts view this structural shift as a key driver of sustainable long-term returns.
At current levels, the stock trades at a premium to the broader retail sector, reflecting the market’s confidence in Costco’s execution and growth prospects. The combination of record sales, accelerating membership income, and near-peak renewal rates has given analysts reason to maintain their constructive stance heading into the remainder of 2026 and beyond. Costco’s recent entry into the Medicare market through a partnership also signals management’s focus on expanding addressable markets and revenue streams.
Sources
- MarketWatch — Real-time stock price ($958.71, +1.16%) and median analyst price target ($1,100) as of August 24, 2026.
- Investing.com — Q3 FY2026 net sales of $69.15 billion, up 11.6% year over year, as of July 28, 2026.
- Motley Fool — Q3 FY2026 membership fee revenue growth of 10.7% year over year to $1.37 billion, published July 11, 2026.
- Barchart — Fiscal 2026 consensus EPS of $20.42, implying 13.5% year-over-year growth, as of August 12, 2026.
- Bernstein (via Facebook) — Analyst Kate McShane’s Buy rating and raised price target from $1,087 to $1,102.
- S&P Global consensus — 39 analysts with average price target of $1,077.
