COST about to learn what happens when you charge people $9 for 14 strawberries and call it “value.” Everyone acting like this thing is a recession-proof infinity money glitch meanwhile the stock is trading like they invented capitalism.
$1000P 5/29.
Membership hikes already priced in. AI already priced in. Boomers panic-buying 40 gallon mayo tubs already priced in. You know what’s NOT priced in? Consumers finally realizing they don’t actually need a 96 pack of croissants and a kayak every weekend.
Every earnings thread is the same:
“Bro Costco parking lot was packed.”
Yeah no shit. So was Blockbuster at one point.
Margins are stretched, valuation is schizophrenic, and this thing moves like a tech stock while selling rotisserie chickens at a loss. One soft guidance comment and this drops faster than my GPA after discovering options.
Everyone calling for $1100 after earnings which means naturally this thing tanks 8% because market makers feed on optimism and financial ruin.
Not financial advice. I’m just a guy who believes PE ratios eventually matter and who may or may not have stared at a red options position long enough to achieve enlightenment.