Why I'm Still Not Buying Costco Stock

Costco Wholesale (NASDAQ: COST) has always been an excellent retailer, and the coronavirus pandemic only added to its position in the industry. Still, I am not buying Costco stock.

While the company has performed incredibly well in the middle of a challenging operating environment, that has been no secret to the market. Investors have piled into Costco stock, making it one of the most expensive among its rivals.

Moreover, Costco's earnings in its most recently completed fiscal year were significantly higher than usual, buoyed by the advantages it gained at the onset of the COVID-19 outbreak, creating a risk that earnings will pull back in the next few years.

Source Fool.com