It's pretty clear that today's economic woes are weighing on stocks. Major indexes have slipped into a bear market in recent times. And retailers, which are dependent on customer spending at a time when consumers' wallets are hurting, haven't escaped the gloom. But there are some exceptions, and one of those is warehouse giant Costco Wholesale (NASDAQ: COST).

Costco has continued to grow profit and revenue. Its shares aren't rising, but they're still outperforming the S&P 500, having slipped 15% year to date while the index has dropped 21%. Does this mean now is the time to buy Costco stock?

Like other retailers, Costco is encountering higher inflation. In the recent fiscal fourth-quarter earnings report, management mentioned higher commodity prices, wages, and transport costs in particular. But it is still faring better in today's climate than many other retailers, for two reasons.

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Source Fool.com