Costco Wholesale Corporation (COST), Target Corporation (TGT), Wal-Mart Stores, Inc. (WMT): Have Everyday Low Prices Trickled Down To Its Shares?

Another big box store, Costco Wholesale Corporation (NASDAQ:COST), has also come out with increased earnings, to the tune of more than 30% increase in just the second quarter of 2013 alone, due in large part to a more than 10% rise in its membership fees.

One big incentive for membership is that only members are allowed to purchase gasoline through the Costco pumps. And, as fuel prices have continued to bump up, the savings that can be obtained, even just one gallon at a time, all tend to add up. This can be great news for investors as, in addition, Costco Wholesale Corporation (NASDAQ:COST) has recently posted impressive numbers in terms of earnings per share, net income growth, and return on equity.

Similar to with Wal-Mart Stores, Inc. (NYSE:WMT), though, both Target Corporation (NYSE:TGT) and Costco Wholesale Corporation (NASDAQ:COST) have had to alter, at least somewhat, the way they offer their products in order to continue to successfully compete in the low price arena. Even consumers who are not brand loyal need a reason to choose between the many discount retailers competing for a share of their dollar.

The bottom line

While consumers won’t likely praise Wal-Mart Stores, Inc. (NYSE:WMT) for its happy or lucrative employment practices, the truth is that this big box retailer has a tremendous following of loyal shoppers, primarily due to its huge variety of products and its undeniably competitive pricing on goods and services. Although the company’s share price is currently close to its 52-week high, there is still room for equity growth, along with dividend income of $1.88 per share, while investors hold on to their shares.

The article Have Everyday Low Prices Trickled Down To Wal-Mart’s Shares? originally appeared on Fool.com.

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