|
|
|
|
|||||
|
|
|
Walmart recently moved from the New York Stock Exchange to the Nasdaq, a move showing it wants to be seen a tech-forward company.
Costco continues to cultivate loyalty, with more than 81 million members.
Shares of Walmart are up over 25% year to date.
Two of the most dominant forces in retail have had very different years in the stock market. Walmart (NASDAQ: WMT), the world's largest company by revenue, is up an impressive 25% since the start of 2025. Costco Wholesale (NASDAQ: COST) is down more than 6.5% as of Dec. 18.
Costco and Walmart have distinct business models. Costco focuses on higher-value items and a warehouse membership model. Walmart offers a broader, lower-cost product mix and is heavily focused on expansion of its online business.
Where to invest $1,000 right now? Our analyst team just revealed what they believe are the 10 best stocks to buy right now. Continue »
Image source: Getty Images.
Both companies boast strong customer loyalty and global scale. The better buy depends on whether you're leaning more toward growth or value.
Costco's latest quarterly earnings were strong, and the company's growth continues in a slow but reliable fashion. Costco reported first-quarter 2026 net sales growth of 8.2%. Costco also offers investors a quarterly dividend of $1.30 per share. Costco's memberships have grown to more than 81 million, with nearly half opting for the more expensive Executive Membership. Costco is predictable in both its cash flow and steady growth, making it a bonafide blue chip value stock.
Walmart has ambitious e-commerce plans. In its most recent quarter, Walmart reported a 27% increase in e-commerce sales, a growth bright spot. The company also recently moved to the Nasdaq, signaling its intention to be taken seriously as a tech-forward omniretailer.
Walmart's greatest strengths include its online expansion and growing appeal to low- and higher-income households. With technological advances and tightening consumer wallets, Walmart is likely to benefit more than most retailers.
Both stocks trade at a premium. Walmart has a price-to-earnings ratio of just under 40, and Costco is over 45. Still, both stocks offer a lot, but if you're prioritizing growth over value, Walmart's push to overtake Amazon in e-commerce market share is a compelling story. For that reason, Walmart is currently the better buy.
Before you buy stock in Costco Wholesale, consider this:
The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Costco Wholesale wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years.
Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $509,039!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,109,506!*
Now, it’s worth noting Stock Advisor’s total average return is 972% — a market-crushing outperformance compared to 193% for the S&P 500. Don't miss the latest top 10 list, available with Stock Advisor, and join an investing community built by individual investors for individual investors.
*Stock Advisor returns as of December 22, 2025.
Catie Hogan has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Amazon, Costco Wholesale, and Walmart. The Motley Fool has a disclosure policy.
| 2 hours | |
| Dec-21 | |
| Dec-21 | |
| Dec-21 | |
| Dec-21 | |
| Dec-21 | |
| Dec-21 | |
| Dec-21 | |
| Dec-20 | |
| Dec-20 | |
| Dec-19 | |
| Dec-19 | |
| Dec-19 | |
| Dec-19 | |
| Dec-19 |
Join thousands of traders who make more informed decisions with our premium features. Real-time quotes, advanced visualizations, backtesting, and much more.
Learn more about FINVIZ*Elite