The Costco stock increases 7% as the shopper’s inventory of Coronavirus Fears

<p>The Costco portfolio (NASDAQ: COST) is rising higher on Monday after an increase in customers’ stockpiles as fears of coronavirus from China spread.

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Many customers who went to Costco over the weekend had to deal with long lines, as well as lack of supplies. Several posts on Twitter point out that the chain lacked many necessities, such as toilet paper and water.

The following quotes are the reactions from Twitter users trying to shop at Costco over the weekend.

I just talked to my mom and all of Kirkland, Washington is freaking out about Coronavirus deaths in the city. Apparently the lines at Costco went all the way across the store. “” Two new possible cases of Coronavirus in the SF Bay Area at two different Pali Alto schools. My son went to COSTCO to buy goods and had to stand in line for hours waiting to get in. Local CostCo, toilet paper, EVERY BIT, AWAY! SOLD OUT, NO LEFT. ZERO. Damn, people, give other people a chance too. ”

Costco shares get a good boost from the fear of coronavirus. The increased traffic means that the company definitely makes more money from affected customers. However, there is a potential downside to this. It is possible that sales in the next few months will be weaker when these customers go through their deliveries, reports The Motley Fool.

The COST share increased by 7.31% as of Monday afternoon.

At the time of writing, William White had no position in any of the above securities.

Article printed from InvestorPlace Media, https://investorplace.com/2020/03/costco-stock-spikes-on-coronavirus-fears/.

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