Better Buy: Amazon vs. Costco
When looking at top stocks to buy, investors can put on their consumer caps to gain some valuable insights. Perhaps no two companies provide better customer experiences than tech behemoth Amazon (NASDAQ: AMZN) and warehouse club operator Costco (NASDAQ: COST). And both businesses have outperformed the Nasdaq Composite index in the past decade.
But which of these large-cap stocks is the better buy right now? Let's examine the investment merits of both.
Amazon undoubtedly spearheaded the secular trend of online shopping, as the company went from selling just books in the 1990s to basically selling everything imaginable on its incredibly popular website. Amazon.com had 2.8 billion visits in the month of July, indicative of its massive reach. In the most recent quarter (the second quarter of 2023, which ended June 30), the company's online stores and third-party seller services, which pertain to e-commerce operations, produced revenue of $85 billion. According to Statista, nearly four out of every $10 spent online in the U.S. happens on Amazon.
Source Fool.com
