Costco Wholesale Corporation (NASDAQ:COST) stock rose about 2% on Thursday as investors responded to strong monthly sales results and a rebound from a key technical support area.
The move came despite weakness in the broader market. The Nasdaq Composite was down 0.90%, while the S&P 500 slipped 0.18%.
Strong May Sales Add Support
Costco reported May net sales of $24.01 billion for the four weeks ended May 31, up 14.5% from $20.97 billion a year earlier. U.S. comparable sales rose 13.7%, while total company comparable sales increased 12.5%.
Digitally enabled comparable sales jumped 21.1%. Excluding gasoline price and foreign exchange impacts, U.S. comparable sales increased 8.7%, and total company comparable sales rose 8.0%.
For the first 39 weeks of fiscal 2026, net sales climbed 10% to $221.19 billion. U.S. comparable sales increased 7.6%, while total company comparable sales rose 8.3%.
The strong operating performance helped reinforce investor confidence as the stock attempted to stabilize following a pullback from its May highs.
Costco Technical Analysis
Costco is trading 2.6% below its 20-day simple moving average of $1,015.25 and 1.7% below its 50-day simple moving average of $1,006.42, suggesting near-term momentum remains under pressure despite Thursday’s bounce.
The longer-term trend remains intact. Shares continue to trade 3.3% above the 200-day simple moving average of $957.10.
Momentum indicators remain cautious. The MACD sits below its signal line, while the histogram remains negative, indicating fading upside momentum.
However, the broader trend remains constructive because the 20-day moving average remains above the 50-day moving average, and the golden cross established in March remains in place.
Key resistance sits near $1,031.50, while traders continue to monitor support around $985.
Costco Benzinga Edge Rankings
Costco earns a strong Quality score of 88.72, reflecting the company’s durable business model and consistent execution.
Momentum remains weaker, with a score of 24.26, while Value scores 44.45 and Growth scores 61.29.
The combination suggests investors continue to favor Costco’s fundamentals, but the stock may need stronger price momentum before establishing a sustained advance.
COST Stock Price Activity: Costco Wholesale shares were up 2.09% at $981.96 at the time of publication on Thursday, according to Benzinga Pro data.
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