Costco at a 62 P/E is like a rocket burning through its last drop of fuel—momentum keeps it soaring, but gravity is patient.

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Costco’s stock price is a gravity-defying spectacle, but the laws of parabola always win. A grocery store, no matter how beloved, should not be trading at a P/E of 62. That’s not sustainable; that’s euphoria. Every bubble looks justified until it bursts, and when reality sets in, valuations will find their way back to sanity. Costco isn’t immune to market forces—it’s just enjoying the kind of high that history has humbled time and time again.

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