12 Stocks That Could Split in the Near Future

4. Costco Wholesale Corp. (NASDAQ:COST)

Share Price as of January 19: $943.19

Surge in Share Price in 5 Years: 209.57%

Stock Split Confirmed: No

Number of Hedge Fund Holders: 75

Costco Wholesale Corp. (NASDAQ:COST) is a membership-only big-box retailer that offers a variety of products at bulk prices. Its membership models allow the company to provide lower prices to its members, which makes it a popular destination for shoppers seeking value and convenience. The product offerings include groceries, electronics, clothing, and household goods, among others.

The company’s growth in FQ1 2025 was primarily fueled by its expansion of new warehouses, with seven locations opened in FQ1 alone. This includes a record-setting $2.9 million in sales at its 897th warehouse in Pleasanton. With 29 total openings planned for the year, including 10 internationally, this expansion is a major contributor to Costco Wholesale Corp.’s (NASDAQ:COST) 7.5% increase in net sales in FQ1.

E-commerce also continues to grow, with nearly one million deliveries in FQ1 through Costco Wholesale Corp. (NASDAQ:COST) Logistics, which boosts online sales. Membership growth remains strong, with 7.6% more paid members, totaling 77.4 million. Innovations like prescription delivery and expanded travel services further support its sustained growth, positioning the company for long-term success.

Telsey Advisory Group maintained an outperform rating for the company with a price target of $1,100 as of January 9, due to expectations of strong sales growth, robust e-commerce performance, and strategic store expansions. Parnassus Core Equity Fund stated the following regarding Costco Wholesale Corporation (NASDAQ:COST) in its Q2 2024 investor letter:

“Costco Wholesale Corporation (NASDAQ:COST) posted strong results for the third quarter of fiscal 2024, with a robust increase in net sales and strength in both U.S. and international markets. Bucking the trend of weakening demand for discretionary items that has pressured many other retailers, Costco reported growth in nonfood sales.”