I would choose Costco (COST) a

I would choose Costco (COST) as one of the strongest examples of a durable economic moat.

What makes Costco special is not simply its low prices, but its membership business model. Customers pay an annual fee for access, giving Costco a recurring revenue stream while encouraging repeat purchases. This creates a powerful combination of customer loyalty, economies of scale and cost advantages.

The numbers support this argument. In FY2025, Costco generated $5.32 billion in membership fee revenue, up 10% year over year. Its renewal rate reached 92.3% in the US and Canada. That is not just customer satisfaction; it is evidence of a business model customers are willing to keep paying for.

However, even an excellent business can become a poor investment if purchased at an excessive valuation.

My takeaway: A strong moat protects future earnings, but the purchase price determines our potential returns. Quality matters, but valuation still matters.

@TigerClub [龇牙]

Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.

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Customers pay an annual fee for access, giving Costco a recurring revenue stream while encouraging repeat purchases. This creates a powerful combination of customer loyalty, economies of scale and cost advantages.\nThe numbers support this argument. In FY2025, Costco generated $5.32 billion in membership fee revenue, up 10% year over year. Its renewal rate reached 92.3% in the US and Canada. That is not just customer satisfaction; it is evidence of a business model customers are willing to keep paying for.\nHowever, even an excellent business can become a poor investment if purchased at an excessive valuation.\nMy takeaway: A strong moat protects future earnings, but the purchase price determines our potential returns. Quality matters, but valuation still matters.\n<a href=\"https://ttm.financial/U/3527667671414981\"> @TigerClub </a> [龇牙]</body></html>","htmlText":"<html><head></head><body>I would choose Costco (COST) as one of the strongest examples of a durable economic moat.\n\nWhat makes Costco special is not simply its low prices, but its membership business model. Customers pay an annual fee for access, giving Costco a recurring revenue stream while encouraging repeat purchases. This creates a powerful combination of customer loyalty, economies of scale and cost advantages.\nThe numbers support this argument. In FY2025, Costco generated $5.32 billion in membership fee revenue, up 10% year over year. Its renewal rate reached 92.3% in the US and Canada. That is not just customer satisfaction; it is evidence of a business model customers are willing to keep paying for.\nHowever, even an excellent business can become a poor investment if purchased at an excessive valuation.\nMy takeaway: A strong moat protects future earnings, but the purchase price determines our potential returns. Quality matters, but valuation still matters.\n<a href=\"https://ttm.financial/U/3527667671414981\"> @TigerClub </a> [龇牙]</body></html>","text":"I would choose Costco (COST) as one of the strongest examples of a durable economic moat. What makes Costco special is not simply its low prices, but its membership business model. Customers pay an annual fee for access, giving Costco a recurring revenue stream while encouraging repeat purchases. This creates a powerful combination of customer loyalty, economies of scale and cost advantages. The numbers support this argument. In FY2025, Costco generated $5.32 billion in membership fee revenue, up 10% year over year. Its renewal rate reached 92.3% in the US and Canada. That is not just customer satisfaction; it is evidence of a business model customers are willing to keep paying for. However, even an excellent business can become a poor investment if purchased at an excessive valuation. My takeaway: A strong moat protects future earnings, but the purchase price determines our potential returns. Quality matters, but valuation still matters. @TigerClub [龇牙]","highlighted":1,"essential":1,"paper":1,"likeSize":0,"commentSize":0,"repostSize":0,"favoriteSize":0,"link":"https://ttm.financial/post/626097914323512","repostId":0,"isVote":1,"tweetType":1,"viewCount":196,"commentLimit":10,"likeStatus":false,"favoriteStatus":false,"reportStatus":false,"symbols":[],"verified":2,"subType":0,"readableState":1,"langContent":"EN","currentLanguage":"EN","warmUpFlag":false,"orderFlag":false,"shareable":true,"causeOfNotShareable":"","featuresForAnalytics":[],"commentAndTweetFlag":false,"andRepostAutoSelectedFlag":false,"upFlag":false,"length":819,"optionInvolvedFlag":false,"subscribersOnly":false,"subscribersOnlyAccessible":false,"xxTargetLangEnum":"ORIG"},"commentList":[],"isCommentEnd":true,"isTiger":false,"isWeiXinMini":false,"url":"/m/post/626097914323512"}