Latest news with #membership
Yahoo
11 hours ago
- Business
- Yahoo
Costco's Wide Moat: Saving Money Builds Loyalty
Costco Wholesale Corporation (NASDAQ:COST) is one of the Best Wide Moat Dividend Stocks to Invest in. A customer in a warehouse aisles, browsing the wide range of branded and private-label products. Costco Wholesale Corporation (NASDAQ:COST) stands out from other retailers in several key ways. One of its biggest strengths is its massive membership base. Over 130 million people pay an annual fee just to shop there. These members are highly loyal, with renewal rates typically exceeding 90%. Thanks to the steady income from these membership fees, Costco can operate with much lower profit margins than most competitors. The company also keeps a limited range of products on its shelves, which gives it more leverage when dealing with suppliers. Vendors are aware that getting their products into Costco Wholesale Corporation (NASDAQ:COST) means facing less competition and benefiting from the trust shoppers place in the company's product selection. This bargaining power extends to payment processing as well. Unlike most major US retailers that accept a wide range of credit cards, Costco Wholesale Corporation (NASDAQ:COST) only takes Visa. In exchange for this exclusivity, the company enjoys significantly lower payment processing fees. In addition, Costco Wholesale Corporation (NASDAQ:COST) is a strong dividend payer. The company has raised its payouts for 21 years in a row. Currently, it pays a quarterly dividend of $1.30 per share for a dividend yield of 0.52%, as of June 24. 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. READ NEXT: and . Disclosure. None. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
2 days ago
- Entertainment
- Yahoo
Ariana Grande, Brandi Carlile & Andrew Watt Among 534 People Invited to Join Motion Picture Academy
Ariana Grande, Brandi Carlile, Andrew Watt, Branford Marsalis, Conan O'Brien, Jimmy Kimmel and Raj Kapoor are among 534 individuals who were invited to join the Academy of Motion Picture Arts & Sciences on Thursday (June 26). Of the 2025 invited class, 41% are women, 45% belong to what the academy calls 'underrepresented communities' and 55% are from outside the U.S. The list of invitees includes 91 Oscar nominees, including 26 winners, and three Scientific and Technical Award recipients. More from Billboard Here Are the Key Dates for 2026 Oscars, Including an Earlier Submission Deadline in the Best Original Song Category Katy Perry & Orlando Bloom Split After 9 Years Together Why Latin Music Needs Louder Pro-Immigrant Voices & Defenders (Guest Column) If all of these invitees accept membership, the total number of members (including Emeritus) in the academy will be 11,120 and the number of voting members will be 10,143. Furthermore, if all 2025 invitees accept membership, the academy will consist of 35% women, 22% individuals from underrepresented communities and 21% individuals from outside the U.S. The academy notes that demographic information is provided by the candidate when possible or projected through publicly available research and will be confirmed by members upon acceptance. It also pointedly notes: 'The academy's membership process is conducted by sponsorship, not application. …Those who accept the invitations will be the only additions to the academy's membership in 2025.' It adds: 'Membership selection is based on professional qualifications, with an ongoing commitment to representation, inclusion and equity remaining a priority.' Candidates must be sponsored by two academy members from the branch or category to which the candidate seeks admission. Academy Award nominees are automatically considered for membership in the year in which they are nominated and do not require sponsors. Branch executive committees review candidates, and recommendations for membership are considered and approved by the academy's board of governors. Twelve individuals were invited to join the academy by multiple branches. These individuals must select one branch upon accepting membership. Grande, whose film credits include Wicked and Don't Look Up, was invited to join the actor's branch. She was nominated for an Oscar in January for best supporting actress for Wicked. Clément Ducol and Camille, who won an Oscar for best original song on March 2 for co-writing 'El Mal' from Emilia Pérez, and Daniel Blumberg, who won an Oscar for best original score for The Brutalist, were invited to join the music branch, as were such other current or past Oscar nominees as Carlile and Watt, who were nominated for co-writing 'Never Too Late' for the documentary Elton John: Never Too Late; Abraham Alexander and Adrian Quesada, who were nominated for co-writing 'Like a Bird' from Sing Sing; and Linda Thompson, who was nominated for co-writing 'I Have Nothing' from the 1992 film The Bodyguard. In addition, two past nominees for best sound, Jack Dolman (Wicked) and Maxence Dussère (Emilia Pérez), were invited to join the music branch. O'Brien, who is set to host the Oscars on March 15, 2026, and four-time past host Kimmel were among those invited to join the academy as associate members. Associate membership is extended by invitation only through the membership committee and the board of governors to recognize service to the academy and commitment to the film industry. Associates are not eligible to vote for the Oscars or serve on academy governance committees. Others who were offered associate memberships include Kapoor, who currently serves as an executive producer of both the Oscars and the Grammys; Eric Esrailian, Ray Halbritter, Molly McNearney, Katy Mullan, Dominic Ng and Rob Paine. Here are the individuals who have been invited to join the music branch or as associate members. Segun Akinola – The Bayou, Girl You Know It's True Abraham Alexander – Sing Sing Chris Bacon – Heretic, Men in Black: International Diego Baldenweg – In the Land of Saints and Sinners, The Reformer. Zwingli: A Life's Portrait Andranik Berberyan – Yasha and Leonid Brezhnev, Amerikatsi Daniel Blumberg – The Brutalist, The World to Come René G. Boscio – Lake George, Emergency Camille – Emilia Pérez, Corsage Brandi Carlile – Elton John: Never Too Late, Onward Kwong Wing Chan – Peg O' My Heart, The Dumpling Queen Toby Chu – The Monkey King, Found Lorenz Dangel – September 5, Dying Jack Dolman – Wicked, Bones and All Clément Ducol – Emilia Pérez, Chicken for Linda! Maxence Dussère – Emilia Pérez, Le Principal Stephanie Economou – My Big Fat Greek Wedding 3, Ruby Gillman, Teenage Kraken Wei San Hsu – Invisible Nation, Another Woman Amanda Delores Patricia Jones – Mea Culpa, Moving On Siddhartha Khosla – A Family Affair, The Idea of You Tom Kramer – Chupa, Captain Marvel Michael A. Levine – Outbreak, Atypical Wednesday Branford Marsalis – Rustin Ma Rainey's Black Bottom Nami Melumad – Thor: Love and Thunder, The Adventures of Thomasina Sawyer Youssou N'Dour – Youssou N'Dour: I Bring What I Love, Kirikou and the Sorceress Ré Olunuga – Drift, Girl Adrian Quesada – Home Free, Sing Sing Nic Ratner – Bottoms, The Humans Carlos Rafael Rivera – Ezra, Chupa Linda Thompson – The Bodyguard, Pretty Woman Amritha Vaz – Little Stones, Miss India America Isobel Waller-Bridge – Magpie, Wicked Little Letters Andrew Watt – Elton John: Never Too Late, Barbie Anthony Willis – M3GAN, Saltburn Rihards Zaļupe – Flow, Kaka, Pavasaris un Draugi Eric Esrailian Ray Halbritter Raj Kapoor Jimmy Kimmel Molly McNearney Katy Mullan Dominic Ng Conan O'Brien Rob Paine Best of Billboard Chart Rewind: In 1989, New Kids on the Block Were 'Hangin' Tough' at No. 1 Janet Jackson's Biggest Billboard Hot 100 Hits H.E.R. & Chris Brown 'Come Through' to No. 1 on Adult R&B Airplay Chart
BBC News
2 days ago
- Automotive
- BBC News
Council to end free bike parking at Leicester Town Hall
Cyclists will be required to pay a membership charge to leave their bikes in a secure parking area at Leicester Town Hall, the city council has authority made the facility free in 2020 as a part of a strategy to encourage cycling around the city during the Covid a £10 annual fee to use the 200-place bike park is to come in from 7 July. More than 30,000 bikes were left at the facility in 2024, the council said. Assistant city mayor Geoff Whittle said the fee represented "excellent" value for money."Secure and reliable bike parking is a really important element of encouraging more people to cycle into the city centre," he said."The new membership scheme will make parking quicker and easier."Users of the new scheme will be required to swipe a membership card when they deposit their bike with a member of who does not collect their bike on the same day will face a £5 charge, the council added. The authority said members of its Active Leicester leisure centre membership scheme would be able to add bike park use to their existing accounts with no further charge.
Globe and Mail
3 days ago
- Business
- Globe and Mail
Costco vs. BJ's Wholesale: Which Membership Retailer Looks Promising?
Costco Wholesale Corporation COST and BJ's Wholesale Club Holdings, Inc. BJ are two prominent players in the membership-based retail warehouse sector. Costco, with a market capitalization of approximately $444.3 billion, has built a global presence and is known for its pricing power, operational efficiency and loyal customer base. The company manages a network of 905 warehouses globally, including 624 in the United States. In comparison, BJ's Wholesale holds a market capitalization of around $15.1 billion and operates about 255 clubs and 190 BJ's Gas locations. While smaller in scale, BJ's has been expanding its footprint and refining its value proposition through localized assortments, private label offerings and growing digital capabilities. Amid shifting consumer preferences and a focus on value-driven retail, comparing these two membership warehouse giants helps gauge which is better positioned for sustained growth. The Case for Costco Costco's resilient business model, built around its membership-based structure, remains a major growth driver. High membership renewal rates — 92.7% in the United States and Canada and 90.2% globally — combined with efficient supply-chain operations and bulk purchasing power, allow Costco to offer competitive pricing. This robust model has enabled Costco to thrive, even during economic downturns. Members pay an annual fee for access to Costco's warehouses, where they enjoy significant discounts on a wide range of products. This structure not only ensures a reliable revenue stream but also fosters a sense of value and exclusivity. In the third quarter of fiscal 2025, membership fee income rose 10.4% year over year, aided by a recent fee hike, which added approximately 4.6% growth in the quarter. The company ended the quarter with 79.6 million paid household members, marking a 6.8% increase year over year. Costco continuously adapts to market trends and consumer preferences. The company regularly updates its product offerings to include a mix of everyday essentials and unique, high-demand items. Through market analysis and tailored offerings, Costco has expanded its presence, both domestically and internationally. For fiscal 2025, the company expects 27 total openings (24 net new), bringing its global warehouse count to 914. Digitization also plays a key role in Costco's expansion. E-commerce comparable sales rose 14.8% in the third quarter, reflecting growing online demand. Costco Logistics saw a 31% increase in items delivered, driven by the success of big-ticket product categories. The recent launch of a Buy Now, Pay Later program in partnership with Affirm is another step toward enhancing convenience and flexibility for members. For the four weeks ended June 1, 2025, e-commerce comparable sales jumped 11.6%. That said, challenges do linger. Currency headwinds and potential tariffs on key imports could pressure margins. Meanwhile, consumer spending is shifting toward essentials, with discretionary spending seeing weaker demand. The Case for BJ's Wholesale Club BJ's Wholesale Club's commitment to bolstering marketing and merchandising capabilities, coupled with its foray into high-demand categories and expansion of its own-brand portfolio, has yielded results. The company has been steadily increasing its footprint, targeting high-growth regions and underserved markets. This approach ensures maximum return on investment and helps BJ's tap into new customer bases. The company's core strength is its robust membership base, a key pillar of its business model. In the first quarter of fiscal 2025, BJ's achieved an 8.1% increase in membership fee income, reaching $120.4 million. The company maintains an impressive 90% tenured renewal rate, with high-tier membership penetration surpassing 40%. BJ also benefited from a membership fee increase effective January 2025. BJ's Wholesale Club's focus on expanding digital capabilities is another key aspect of its growth trajectory. Offering members convenient options such as same-day delivery, curbside pick-up, and buy online and pick up in-club, the company ensures an engaging and seamless digital shopping experience. Digitally enabled comparable sales climbed 35% in the first quarter, supported by investments in technologies like AI-assisted pick-route optimization. Real estate expansion further supports BJ's growth strategy, as the company opened five new clubs and four new gas stations in the first quarter and remains on track to add 25-30 clubs over the next two years. The company's Fresh 2.0 initiative, initially launched in produce, has yielded high-single to low-double-digit comps and has now been extended to meat and seafood. These initiatives are not only driving frequency and basket size but also increasing member engagement and retention. However, BJ's Wholesale does face some headwinds. While BJ's had a strong first quarter, its outlook for the full year looks a bit conservative. The company expects comparable club sales (excluding gas) to grow only 2% to 3.5% for the year, with the first quarter likely being the strongest. This suggests that growth may slow in the second half due to tougher comparisons and changing economic dynamics. Rising costs from labor, occupancy and depreciation — driven by new store openings — are contributing to SG&A deleverage. Tariff-related volatility adds another layer of complexity, while a decline in general merchandise comps highlights ongoing softness in discretionary spending. COST vs. BJ: How Do Estimates Stack Up? The Zacks Consensus Estimate for Costco's current fiscal year sales and EPS implies year-over-year growth of 8.1% and 12%, respectively. The consensus estimate for EPS for the current fiscal year has risen by 8 cents to $18.04 over the past 30 days. (See the Zacks Earnings Calendar to stay ahead of market-making news.) The Zacks Consensus Estimate for BJ's Wholesale's current fiscal year sales and EPS suggests year-over-year growth of 5.5% and 6.2%, respectively. The consensus estimate for EPS for the current fiscal year has increased by 3 cents to $4.30 over the past 30 days. COST vs. BJ: A Look at Past Three-Month Stock Performance Shares of Costco have advanced 7.7% over the past three months. BJ's Wholesale shares have risen 3.2% during the same period. COST vs. BJ: A Peek Into Stock Valuation Costco is trading at a forward 12-month price-to-earnings (P/E) ratio of 51.19, higher than its one-year median of 50.79. Meanwhile, BJ's Wholesale's forward P/E ratio stands at 25.62, above its median of 22.83. COST vs. BJ: Which Stock Looks More Promising Now? When compared with BJ's Wholesale Club, Costco appears to be the more compelling choice in the membership-based retail space. Its global scale, unmatched customer loyalty, proven pricing power and consistent performance through economic cycles provide a solid foundation for continued growth. Meanwhile, BJ's is showing meaningful progress through expansion, digital innovation and private label growth, making it a promising contender in its own right. However, given Costco's proven track record and broader market presence, it holds a stronger position for investors seeking stability and long-term growth potential. Both COST & BJ stocks carry a Zacks Rank #3 (Hold). You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. Only $1 to See All Zacks' Buys and Sells We're not kidding. Several years ago, we shocked our members by offering them 30-day access to all our picks for the total sum of only $1. No obligation to spend another cent. Thousands have taken advantage of this opportunity. Thousands did not - they thought there must be a catch. Yes, we do have a reason. We want you to get acquainted with our portfolio services like Surprise Trader, Stocks Under $10, Technology Innovators, and more, that closed 256 positions with double- and triple-digit gains in 2024 alone. See Stocks Now >> BJ's Wholesale Club Holdings, Inc. (BJ): Free Stock Analysis Report Costco Wholesale Corporation (COST): Free Stock Analysis Report
Forbes
4 days ago
- Business
- Forbes
Fear Costco At $980?
CHONGQING, CHINA - MAY 25: In this photo illustration, the logo of Costco Wholesale Corporation is ... More displayed on a smartphone screen, with the latest stock market chart of the company in the background, reflecting investor sentiment and recent trading activity, on May 25, 2025, in Chongqing, China. (Photo Illustration by) Note: Costco FY'24 concluded on September 1, 2024. Costco's (NASDAQ: COST) shares have experienced significant growth, increasing by 40% in 2024 (calendar year) and tacking on another 7% so far in 2025, easily surpassing the S&P 500's 2% increase. What's fueling this momentum? Robust performance supported by its membership model. In fiscal Q3 2025 (which ended on May 11), Costco generated $63.2 billion in revenue and $2.5 billion in operating profit. Of that amount, $1.2 billion was derived from membership fees alone—accounting for nearly half of the operating profit, and primarily recurring. With inflation putting pressure on household budgets, Costco's value-oriented model is resonating well with consumers. In May 2025, sales experienced a year-over-year increase of 7%—more than twice the 3% growth across the broader U.S. retail industry. At first glance, it seems like a retail paradise. However, here's the drawback: Costco is trading at 55 times earnings and 59 times free cash flow, resulting in a meager 1.7% cash flow yield. For perspective, Amazon (NASDAQ: AMZN), which enjoys faster top-line growth and exposure to high-margin sectors like cloud and advertising, trades at a lower multiple. While Costco may claim scale, strategic position, and market affection, it comes at a hefty cost. Refer to Buy or Sell Costco Stock? Costco's valuation assumes perfection, and even a minor deceleration could lead to turbulence. To put it in perspective, this stock is not immune to volatility. Shares plummeted nearly 49% during the 2008 financial crisis, 20% during the Covid-19 crisis in early 2020, and 32% during the inflation-driven pullback of 2022. Investors should remain aware of that history, even as the current fundamentals appear strong. What's Causing the Premium? Costco's high valuation is based on its consistently strong performance. In fiscal Q3 2025, the company achieved earnings per share of $4.28, reflecting a 13% year-over-year increase, on $63.21 billion in revenue, an 8% rise. Comparable-store sales increased by 8% year-over-year, while e-commerce grew by nearly 15%, excluding fuel and currency impacts. Membership renewal rates remained exceptional, at 92.7% in the U.S. and Canada, and 90.2% globally, with total household memberships rising by 6.6%. In the latest quarter, Costco's U.S. same-store sales surpassed Walmart's (NYSE: WMT) 4.5% and significantly outperformed Target's (NYSE: TGT) 3.8% decline, highlighting the warehouse model's attractiveness to value-oriented shoppers. The company's high-margin, recurring membership revenue has shown remarkable resilience during economic hardships, contributing to the stock's recent surge. Operating 905 warehouses worldwide, including 624 in the U.S., Costco leverages its pricing advantage through extremely thin margins and the efficacy of its private-label brand, Kirkland Signature. In Q3, shopping frequency increased by 5.2%, while the average transaction size only rose by 0.4%, showing that foot traffic—not price inflation—is driving the growth. Costco's adaptable supply chain has allowed it to manage increasing tariffs by redirecting shipments and altering sourcing strategies. With two-thirds of its merchandise sourced domestically and merely 8% of U.S. sales connected to China, its exposure to trade risks is limited. The company is also localizing Kirkland production and experiencing steady demand for essentials such as groceries and fuel. Its scale enhances pricing power, which is vital for maintaining its premium valuation. Exceptional Business, Elevated Valuation Costco continues to be a premier operator, but its high valuation seems detached from its fundamentals. Revenue growth is solid, yet not explosive, lingering in the low teens. Store expansion has slowed—less than 3% for this fiscal year—and some new locations may eat into existing sales, indicating a maturing presence. The current premium assumes that elevated growth will persist. If comparable sales trend towards mid-single digits, investor confidence—and Costco's valuation multiple—could come under pressure. Investing in a single stock carries inherent risks. In contrast, the Trefis High Quality (HQ) Portfolio, which consists of 30 stocks, has a history of comfortably outperforming the S&P 500 over the last four-year period. Why is that? As a collective, HQ Portfolio stocks have provided superior returns with reduced risk compared to the benchmark index, resulting in less volatile performance as demonstrated in HQ Portfolio performance metrics.
