Here are Rogue Funds’ Comments on Costco (COST)

Rogue Funds, an investment management company, has released an investor letter in the first quarter of 2025. A copy of the message can be downloaded here. The box decreased from the net graphics by 12.4 % in the quarter. The company expects great fluctuations in the near future. Because of the concentration of the fund, the large decreases as well as a significant increase in the total revenue throughout the year are not unusual. In addition, you can check the 5 best holdings of the box to determine its best choices for 2025.

In the investor’s speech in the first quarter of 2025, Rogue Funds highlighted shares like Costco Whomesale Corporation (NASDAQ: COST). Costco Whilesale Corporation (NASDAQ: COST) runs the organic -based warehouses that offer a range of goods. Costco Whilesale Corporation (NASDAQ: COST) was a month for -2.75 %, and its shares have gained 11.44 % of its value over the past 52 weeks. On July 03, 2025, Costco Whilesale Corporation (NASDAQ: COST) closed at $ 987.02 per share, with a marketing of a market of $ 437.72 billion.

Rogue Funds mentioned the following regarding Costco Whilesale Corporation (NASDAQ: COST) in the investor’s speech in the first quarter 2025:

COSTCO Corporation (NASDAQ: Cost): I think with the customs tariff that Costco is hardly affected, but very vulnerable to recession scenarios, not defensive, as individuals believe. First, their consumer base is no longer the purely upper middle -class that it was and will be more partial of the retail nature. Their “sale in Paul” makes this exposure much worse. Unlike Walmart, if you just lay off, you do not need to buy 50 rolls of toilet paper and this makes it less defensive than Walmart and more regular for low -income consumers (which was formed more slowly and more than their consumer base due to a very slow increase in annual fees). They are currently trading with 55X+ profits, and I do not usually like to correct stocks, but with 11 % expected growth (I am very skeptical of this number because they have only growed in one numbers since 2022) and the economic shrinkage on the horizon, it is very likely that they are able to make this evaluation for a much longer period. If we take into account that Canada boycott American goods (the second largest footprint in Costco outside the United States, with more than 100 stores) and perhaps about 8 % -10 % of goods coming from China along with a 10 % tariff on 30 % of the goods, it is unlikely that this is good for Costco over the next nine months. With the combination of this with the noble evaluation (not Charlie Monger’s tension), we can see serious clouds. This has been prepared as a hedge of the wallet and we will be fine if its validity is over. “