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How Costco quietly built a multibillion-dollar clothing empire

1. Costco's apparel sales rose nearly 40% from 2019 to 2024. 2. Men's apparel sales increased by double digits in Q4 2025. 3. Lululemon's lawsuit indicates growing scrutiny of Costco's clothing lines. 4. Costco's procurement strategy drives unique shopping experiences. 5. Apparel segment earnings surpass major retailers like Abercrombie & Fitch.

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FAQ

Why Bullish?

Costco's apparel sales growth and competitive market position may enhance investor confidence, similar to previous retail booms seen in companies like Target during their apparel expansions.

How important is it?

The article highlights significant sales growth in a key segment, which can affect overall earnings, making its insights directly relevant for investors and analysts considering Costco's market positioning.

Why Long Term?

Sustained growth in apparel sales indicates strategic positioning that could lead to prolonged positive performance, resembling Costco’s prior successes in other categories.

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