Costco Wholesale (NASDAQ: COST) has trounced the market over almost any period you can check. It has a differentiated operating model that breeds loyalty and high sales and is resilient during challenging times.

Some investors think that Costco stock is too expensive to buy right now, and valuation should certainly be a factor in your investing decisions. But before you get to that, evaluate Costco's business, and you'll see why this is a no-brainer buy-and-hold stock.

Costco, as opposed to traditional retailers like Walmart or , charges shoppers an annual fee for the privilege of shopping in its huge warehouses. Customers pay up because they benefit from Costco's low markups and their savings more than make up for the price of the membership.

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Source Fool.com