Earnings Beat, Analyst Price Targets, Tariff Risks, and What Comes Next
December 12, 2025 — Costco Wholesale Corporation (NASDAQ: COST) is back in the spotlight after posting a fiscal first-quarter 2026 earnings beat, renewing debate over whether the warehouse giant’s premium valuation is still justified as growth normalizes and tariff uncertainty hangs over parts of retail.
The headline numbers were strong: Costco said first-quarter net sales rose 8.2% year over year to $65.98 billion, with net income of $2.00 billion (or $4.50 per diluted share). [1] Investors, however, didn’t respond with the kind of enthusiasm Costco used to spark after a beat—an outcome that multiple analysts and market commentators attribute to a mix of high expectations, valuation, and macro/policy crosscurrents. [2]
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