Costco received $184 million in tariff refunds during its fiscal fourth quarter and has reinvested about half of that into lower prices on certain high-volume items, Mizuho Americas Director and Senior Analyst David Bellinger said on Market Domination. Costco is due for another $300 million plus in tariff refunds, which Bellinger expects will largely flow back into the membership experience through low prices and rewards. The warehouse retailer posted US same-store sales growth of about 7% and membership growth of just under 4%, a deceleration from the 7% to 8% heights of a few years ago, while earnings growth came in slightly above the published Street number. Bellinger said the in-line quarter should be rewarded even at a big valuation, given signs of a strained consumer, including AutoZone's earlier results and McDonald's reporting negative same-store sales growth in August. More than nine out of 10 members renew their Costco memberships, a rate that has picked up slightly over each of the past few quarters.
AutoZone Inc
McDonald’s CorporationCostco Wholesale CorpUS same-store sales grew about 7% and membership growth just under 4%, with over 90% renewal rates.
Mizuho Financial Group, Inc.