Costco Rises 1.37% as $2.79B Trading Volume Pushes It to 25th in Daily Liquidity Amid Market Slide

On August 1, 2025, Costco (COST) rose 1.37% to $952.36, outperforming broader market declines. With a trading volume of $2.79 billion, the stock ranked 25th in daily liquidity, reflecting strong investor interest despite a 1.6% drop in the S&P 500 and a 1.23% decline in the Dow. Costco’s recent performance followed a 4.8% monthly decline, contrasting with the Retail-Wholesale sector’s 2.64% gain. Analysts highlighted the retailer’s upcoming earnings report, with projected EPS of $5.8 and revenue of $85.83 billion, signaling 12.62% and 7.7% year-over-year growth, respectively.

Costco’s valuation metrics remain elevated, trading at a forward P/E of 52.3 and a PEG ratio of 5.84, both above industry averages. The stock carries a Zacks Rank of #3 (Hold), reflecting recent downward revisions to consensus estimates. Despite its premium valuation, Costco’s business model has shown resilience, supported by robust e-commerce growth and international expansion. However, analysts caution that short-term volatility persists, with the Retail-Discount Stores industry ranked in the bottom 32% of all sectors by Zacks.

A backtested strategy of purchasing the top 500 stocks by daily trading volume and holding for one day generated a 166.71% return from 2022 to the present, outperforming the benchmark’s 29.18% by 137.53%. This highlights the potential of liquidity concentration in short-term gains, particularly in volatile markets.