Mar 13, 2021
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About this Deal
The membership fee looks poised to increase in the next 18 months and represents a potential catalyst for sales and earnings,” the analysts said.
The company did not respond to a request for comment from Fox Business.
Currently, Costco members pay $120 per year for membership on the Gold Star Executive level. The price of the package last increased in 2017, when they hiked by $10.
On average, the wholesale giant’s membership prices rise approximately between every five and five-and-a-half years, the analysts noted. This means that a potential increase could come for international customers in 2021, and for U.S. and Canadian customers in 2022.
On the whole, the financial forecast is positive for Costco, whose sales persisted even in the face of the coronavirus pandemic that shut down much of the country in March 2020.
In addition to its retail sales, which were bolstered by Americans trying to bulk up on supplies amid the uncertainty of COVID-19, the chain also saw a bump in online sales.
In February, Costco CEO Craig Jelinek said during a congressional hearing that the starting rate for hourly Costco store workers is going up to $16 an hour.
"We try to take care of our employees because they play such a significant role in our success," Jelinek said, speaking during a U.S. Senate Budget Committee hearing regarding wages at large corporations on Capitol Hill in Washington.