Charging low prices, moving large amounts of volume and paying high wages are all components in Costco‘s secret sauce to return value to shareholders, CEO Craig Jelinek told CNBC in an interview that aired Tuesday.
The stock has risen almost 110 points within the past year. An Oppenheimer analyst upgraded the stock earlier that day, assessing a double-digit rise ahead.
“One of the things about low prices, you generate a lot of volume. When you generate a lot of volume, you generate cash, and you have a responsibility to your shareholders and, you know, the stock has appreciated,” Jelinek said in the “Mad Money” interview.
Costco Wholesale shares jumped 2.8% in Tuesday’s session to a new…
Source cnbc.com