Jim Cramer on Costco: "I Am Concerned I Might Sell the Rest"

Costco Wholesale Corporation (NASDAQ:COST) is one of the stocks Jim Cramer shared his take on. During the episode, a caller asked if the stock is back, and Cramer replied:

“I was at Costco this weekend, trying to check it out, trying to figure out what the heck is wrong. I think… what’s wrong is the stock got too high. I would’ve thought at 41 times earnings, it’s done going down. That was wrong. We did sell half the position, I can’t believe I sold any of it, for the Charitable Trust. We had to. I don’t like the re-ups… what we call the people going back to the club and getting a… replacement card. I’ve gotta tell you, I don’t like it still. I had a great time at Costco yesterday with my wife, but that doesn’t necessarily translate into people re-upping at a better rate. I am concerned I might sell the rest… and yeah, I know that’s big.”

Costco Wholesale Corporation (NASDAQ:COST) operates membership warehouses and provides groceries, fresh food, household goods, electronics, and more. In addition, the company offers various services through pharmacies, gas stations, optical centers, and e-commerce options. During the episode that was aired on December 17, Cramer mentioned the stock and remarked:

“Stock buyers will not check to see how much these companies might save with the tariffs gone. They’ll just buy, buy, buy. And Costco has joined a list of companies suing the Trump administration for a refund. I don’t know how much that would be and who would get it, but a victory against tariffs may break the company’s stock from its continued, and endless, and terrible tailspin.”

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