Gold Rush at Costco: Iconic Warehouse Club Continues to Sell Out of Bullion Bars
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The Costco shopping experience is now a global phenomenon
The Costco shopping experience is now a global phenomenon, with consumers now able to enjoy the wholesale chain’s bulk-shopping discounts and $1.50 hot dogs across the U.S. and in places like Taiwan, Japan and Australia.
Costco shakes up the experience
The company continues to shake up that experience, too. Not only does it manufacture many of its own goods under the Kirkland Signature brand, but two years ago, it began selling gold bars. And since the price of the precious metal hit its all-time high in October 2024, demand for the product offering has remained strong among members.
Costco’s foray into precious metals generates eye-popping results
In fact, Costco’s foray into precious metals has generated eye-popping results. The company is allegedly pulling in six figures in sales each month since its decision to begin selling gold, demonstrating that members have taken to buying gold bars alongside rotisserie chickens and bulk toilet paper. In its 2025 first-quarter report, Costco listed gold among its top sales categories. But for investors looking to gain exposure to the yellow metal, is this the best way?
Costco shoppers home in on gold buying
During the summer of 2023, Costco made the move to start selling one-ounce gold bars at its wholesale locations. The rollout has been so successful that in 2024, the company added silver coins and platinum bars to its offerings. But so far, its gold bars have been the clear winner.
Buying gold at Costco: pros and cons
In a note to clients, Wells Fargo analysts said they expect revenue from Costco’s gold sales to fall between $100 million and $200 million monthly. The Swiss-made gold bars have repeatedly been selling out since they were first offered. However, this doesn’t mean the venture is profitable for Costco. The store receives a low premium on gold purchases, and it offers cash back to certain buyers who use credit cards, meaning gold sales are not contributing to any significant uptick in profits.
Investing in gold: is buying from Costco a good idea?
As for investors, now is a good time to own gold. The price of the precious metal reached its all-time high of $2,781 per ounce last October. The principal drivers for gold’s current bull run are twofold. First, the surge in gold prices can be partially attributed to the Federal Reserve’s interest rate policy. Gold historically has an inverse relationship with interest rates, and with the Fed cutting rates throughout the second half of last year, investors saw the precious metal’s price surge.