COST Stock and Options Trade Setup — Costco Wholesale Corporation
Nasdaq 100 · S&P 500 · Warehouse Club & Membership Retail · High-liquidity options · Mega cap · ~$430B
Costco is a genuinely unique business: a retailer that generates almost no profit from merchandise, instead extracting ~80% of operating income from $65–130 annual membership fees paid by 75M+ cardholders. Renewal rates above 92% globally and 93% in the U.S. are proof of the membership moat — no rational consumer cancels access to bulk staples, premium gasoline, and a curated treasure-hunt assortment at 12–15% below market prices. E-commerce penetration is growing faster than the total company, adding a digital layer to the physical model. International expansion in China and Southeast Asia is in its early innings. Costco raises its membership fee every 5–7 years, and each increase flows almost entirely to the bottom line with minimal churn — the next fee increase is a predictable earnings catalyst. The stock is expensive on any traditional metric but has been expensive for 20 years and has rewarded patience every time.
Score History & Signal Changelog
Preview dataThis page is a living document — updated every 72 hours from the last scan. Each data point below represents one complete algorithmic snapshot.
Signal Breakdown
Today's Trade Card
Options Profile
Risks & Fundamentals
Every setup carries risk. Here's what could move COST against you, plus the key stats that frame any position.
- 1.Elevated valuation (~55× forward earnings) leaves limited margin of safety in a market downturn
- 2.Membership fee increases require careful timing — missteps could accelerate churn in tighter consumer environments
- 3.Private label (Kirkland Signature) success creates supplier concentration risk over time
COST Options Setup — Frequently Asked Questions
Is COST a good options trade today?+
Costco Wholesale Corporation (COST) currently has an Amora Edge Score of 79/100, ranking it top 15% of today's scan. This composite score is built from four sub-signals — EMA cross, RSI zone, relative strength vs SPY, and volume surge — each scored 0–25. The current read is a bullish setup, so the algorithm is positioned bullish (calls / call debit spreads). A score above 65 typically warrants a trade card with stop and target; below that, the setup is on the watchlist but not actionable.
What is COST's win rate on Stoptions.ai setups?+
COST's historical win rate on closed Stoptions setups is 74%. Win rate is calculated as the percentage of past COST trade cards that hit their target price before stopping out. Win rate is most meaningful once a ticker has 10+ closed trades — individual ticker rates can be noisy at smaller samples. Our portfolio-wide win rate across all closed trades is the more stable benchmark.
What strike and expiry does Stoptions.ai suggest for COST?+
The strike and expiry are shown on the trade card at the top of this page when the setup is active. Stoptions.ai algorithmically selects strikes targeting delta 0.35–0.45 and expirations 30–45 days out, adjusted for current implied volatility rank (IVR). When IVR is high, the system favors call debit spreads to limit vega risk; when IVR is low, single-leg long calls are preferred. The card includes the contract symbol, mid-price entry, stop, and target.
How often is the COST setup updated?+
Every 72 hours we refresh COST's Amora Edge Score and trade card. The underlying scan runs daily at 9:00 AM ET (pre-market) and 9:30 AM ET (post-open), so any new signal change is reflected within one trading session. If COST drops below the entry threshold or the regime shifts (e.g., SPY enters a confirmed bear), the trade card is replaced with a "no setup" notice automatically.
What does the Amora Edge Score measure for COST?+
The Amora Edge Score is a 0–100 composite of four technical sub-signals applied to COST: (1) EMA cross — is the 20-day above the 50-day with both trending up? (2) RSI zone — is momentum in the 50–70 sweet spot, or extended/weak? (3) Relative strength vs SPY — is COST outperforming the market over 20 sessions? (4) Volume surge — is participation above the 20-day average? Each sub-signal contributes 0–25 points. COST currently scores 79.
How does COST compare to other Warehouse Club & Membership Retail setups?+
COST's sector rank and percentile against other Warehouse Club & Membership Retail tickers we track is shown on the /tickers index — sortable by Amora Edge Score, win rate, or sector. For direct comparison, see the "Related Warehouse Club & Membership Retail Options Setups" panel above. When multiple tickers in the same sector are scoring 80+, the algorithm flags the cluster as a sector rotation signal and may upweight position sizing.
Educational content only — not personalized investment advice. Options carry substantial risk.
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