Costco Shares Dip Despite Earnings Beat as Market Reacts to Mixed Performance Metrics

Costco Wholesale Corporation reported fiscal fourth-quarter earnings that surpassed analyst expectations, yet shares edged lower in after-hours trading. The retailer posted $4.28 per share on $63.2 billion revenue, exceeding consensus estimates of $4.24 and $63.1 billion respectively. Year-over-year sales grew 8%, while comparable-store sales ROSE 5.7%—a slight miss against the projected 6% increase.

The market’s tepid response highlights investor focus on growth sustainability amid tariff pressures. Costco has implemented mitigation strategies including supply chain rerouting, accelerated shipments, and domestic sourcing shifts. While absorbing tariff costs on essential items, the company passed price increases to discretionary products—a balancing act that preserved margins but may signal future pricing pressures.