Costco .... Ouch
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Costco .... Ouch
I visited a Costco store in Iceland last year that they setup a couple of years ago. Something like 35-40% of the +18 population now has a membership. A friend who runs icecream and takeaway shops tells me he now buys almost all his ingredients from there, rather than wholesalers. Significantly cheaper. It has caused a major change on the retail scene, including fuel. I suspect something similar can happen in NZ, starting in Auckland.
WHS down, how low will they go before it is starting to look like a BUY.
Some questions are just not answerable https://invst.ly/b0f35 here's a monthly chart going back to July 2004, what do you see, apart from massive sustained capital destruction? Maybe a floor in the SP back to 2017? Is there any reason why that support will hold this time like it has for a couple of years? Who knows.
Sometime it's best just to avoid a wealth destruction machine, maybe reconsider when or if it ever returns to an up trend? Personally I reckon WHS is seriously in trouble, the short term sell off coincides with the Cost Co. announcement. We haven't seen yet how IKEA and Amazon shipping from Australia will work out.
Anyway, back to that chart.