William Blair Maintains Bullish Stance on Costco Wholesale (COST) Stock

Costco Wholesale Corporation (NASDAQ:COST) is one of the Best Fundamentally Strong Stocks to Buy. On November 6, William Blair analyst Phillip Blee maintained the bullish stance on the company’s stock. The analyst’s rating is backed by the company’s impressive performance in October, highlighting Costco Wholesale Corporation (NASDAQ:COST)’s robust merchandising capabilities.

Notably, the company reported net sales of $21.75 billion for the retail month of October, 4 weeks to November 2, 2025. This reflects a rise of 8.6% from $20.03 billion last year. As per the analyst, Costco Wholesale Corporation (NASDAQ:COST) strategically changed its product focus from seasonal items to more enduring categories, including apparel and home goods.

This has been effective in maintaining customer interest and sales. This adaptability, together with a limited SKU assortment as well as a skilled team of merchants, places the company well for the holiday season. Furthermore, the analyst believes that Costco Wholesale Corporation (NASDAQ:COST) is a market leader, thanks to its curated product mix, robust value proposition, and appeal to higher-income consumers.

Despite the international markets demonstrating softer-than-expected performance, Costco Wholesale Corporation (NASDAQ:COST)’s valuation is justified considering its consistent performance in the consumer sector, added Blee.

While we acknowledge the potential of COST as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you’re looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.

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Disclosure: None. This article is originally published at Insider Monkey.