The Ultimate Growth Stock to Buy With $10,000 Right Now

When most people hear the term "growth stock," they may think someone is about to talk about a company connected to artificial intelligence (AI), like Micron Technology, or about a quantum computing company, like IonQ. But sometimes you can find a growth stock outside of typically classified high-risk/high-reward opportunities.

One such company is Costco Wholesale (NASDAQ: COST), which some may view as more of a mature operator. That said, for investors who understand the retailer is nowhere near finished increasing its revenue-boosting capacity, this could be a misunderstood opportunity turned to their advantage.

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The case for Costco

Costco's biggest strength is its brand loyalty. Customers often describe shopping there as a treasure hunt, and its in-store brand, Kirland Signature, has a following all of its own. That brand is so powerful, in fact, that just releasing a competing product was enough to contribute to the shares of energy drink maker, Celsius Holdings, falling by as much as 17% lower.

That loyalty for Costco and its products is reflected in renewal rates, with the company boasting a global renewal rate of 89.7%. That renewal rate is even better in North America at 92.2%. Costco also still steadily grew its paid membership by 4.1% to 82.9 million in its fiscal third quarter of 2026.

With the ability to capture that type of loyalty, more growth can then come from expanding to new locations. Costco is methodical in its expansion, which benefits shareholders, as being forced to close an underperforming store is a time- and money-drain. For fiscal 2026, Costco expects its warehouse count in the United States to expand from 629 at the end of the fourth quarter of 2025 to 648.

Its international expansion is lighter, with five additional stores expected in Canada and two new international locations up and running by the end of its fiscal 2026. That said, it's those international opportunities that could really supercharge revenue growth over the years and decades ahead. At the end of the fourth quarter of fiscal 2025, Costco had 110 warehouses in Canada and 175 other international locations, compared with 629 in the United States. On the company's 2026 third-quarter earnings call, Costco CEO Ron Vachris said he sees "very strong international expansion over the next five to 10 years."

One stock, three ways to make money

Trading at $933.51 as of this writing, a $10,000 investment will yield about 10.7 shares with fractional investing. That said, it is enough to start a foundational position. And going back to fractional investing, whether someone invests $500 every week or $500 once a month, establishing a recurring investment plan will build a larger stake over time.

What I like about Costco as an investment is its ability to generate shareholder returns through three avenues. One is through stock price appreciation, which Costco has proven it can offer. Over the last five years, shares rose more than 100%, outpacing the S&P 500's 72% return.

The second is Costco's quarterly dividend. At 0.6%, it's not the highest yield in the market, but that income helps boost total returns. And the third way Costco shareholders make money is through a special dividend that it pays every few years. In 2024, it paid a special dividend of $15 per share, and in 2020, it paid $10 per share.

It may not be the flashiest of companies in the age of AI, and investors who view it as a mature operator won't like its forward price-to-earnings ratio of 42.1. But Costco still stands as an investment to consider for its revenue growth opportunities through new store openings and the multiple ways shareholders make money.

Jack Delaney has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Costco Wholesale, IonQ, and Micron Technology. The Motley Fool recommends Celsius Holdings. The Motley Fool has a disclosure policy.