The warehouse club has seen a spike in sales ever since it began selling 1-ounce bars of 24-karat gold last September.
With the gold bullion selling out faster than the store could replenish its stock, the discount giant in January added silver coins to its offerings of precious metals.
Sales have climbed partly because of “Costco’s aggressive pricing and high level of customer trust,” Edward Kelly, a Wells Fargo equity analyst, said in a research note.
“The accelerating frequency of Reddit posts, quick online sell-outs of product, and Costco’s robust monthly eCommerce sales suggests a sharp uptick in momentum since the launch.”
But the shiny metal is also a traditional hedge against inflation, which remains stubbornly persistent, as well as stock market volatility.
“Pricing at that level and shipping costs suggests it’s a very low-profit business at best,” Kelly wrote.
The original article contains 378 words, the summary contains 138 words. Saved 63%. I’m a bot and I’m open source!
This is the best summary I could come up with:
The warehouse club has seen a spike in sales ever since it began selling 1-ounce bars of 24-karat gold last September.
With the gold bullion selling out faster than the store could replenish its stock, the discount giant in January added silver coins to its offerings of precious metals.
Sales have climbed partly because of “Costco’s aggressive pricing and high level of customer trust,” Edward Kelly, a Wells Fargo equity analyst, said in a research note.
“The accelerating frequency of Reddit posts, quick online sell-outs of product, and Costco’s robust monthly eCommerce sales suggests a sharp uptick in momentum since the launch.”
But the shiny metal is also a traditional hedge against inflation, which remains stubbornly persistent, as well as stock market volatility.
“Pricing at that level and shipping costs suggests it’s a very low-profit business at best,” Kelly wrote.
The original article contains 378 words, the summary contains 138 words. Saved 63%. I’m a bot and I’m open source!