Costco's stock hits a valuation last seen in 1999, raising concerns over potential overvaluation.

Costco's stock is currently trading at 55 times earnings, a level last seen in 1999 before the dot-com bubble burst, leading to a 50% drop by 2002. Despite this warning from history, Costco has shown resilience, gaining over 1,900% since 2000. Financial experts suggest that while the stock may be overvalued, long-term investors could consider dollar-cost averaging to minimize risks and capitalize on the company's strong business model.

November 24, 2024
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