Costco Wholesale Corporation (COST) recently posted October net sales of $5.68 billion, a 7% increase over last year's $5.30 billion. Comparable sales spiked 5% year-over-year.

Company Description

Costco Wholesale Corporation operates an international chain of membership warehouses, mainly under the "Costco Wholesale" name. The company currently operates 562 warehouses, including 409 in the United States and Puerto Rico, 77 in Canada, 21 in the United Kingdom, 7 in Korea, 6 in Taiwan, 9 in Japan, 32 in Mexico and 1 in Australia. Costco also operates Costco Online at www.costco.com and at www.costco.ca in Canada. The company plans to open an additional five new warehouses (including the relocation of one warehouse to a larger and better-located facility), prior to the end of calendar 2009.

Recent Events

In recent news, it was reported that Costco will stop carrying Coke products due to a dispute over prices as the retail giant is trying

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[Editor's Note: Money Morning Investment Director Keith Fitz-Gerald is currently in Mainland China. Look for additional installments of his investment travelogue later this week.] By Keith Fitz-Gerald Investment Director Money Morning/The Money Map Report XIAN, People’s Republic of China – During the politically charged period in the late 1980s and early 1990s – when China believed it really needed friends – a small number of Western companies ignored the controversies and refused to abandon the market. Global investors will recognize some of the names: The Coca-Cola Co. (NYSE: KO), Johnson & Johnson (NYSE: JNJ), and ABB Ltd. (NYSE ADR: ABB). In the years since, their courage and commitment has been rewarded with hefty market shares, growing profits, and a position of trust that’s very tough for an outside firm to obtain. These firms also …

Coca-Cola Co. (KO) and its bottlers are planning to invest more than $5 billion in Mexico over the next five years. The investment is primarily targeted at developing infrastructure, technology, social and environmental programs, marketing, training and products with special emphasis on employment generation.   The new investment is expected to revive Mexico’s economy, which is facing the brunt of the recession due to reduction in imports by the U.S., its primary trade partner. Further, a decrease in tourism due to the swine-flu epidemic has worsened the condition.   Recently, Coca-Cola established a new plant for a juice company Jugos del Valle in Tepotzotlan , Mexico . The total investment for this plant amounted to $200 million, which is expected to generate employment opportunities for about 1,500 people. In addition, the plant is expected to have 20 bottling lines and an annual production capacity of 140 million beverage crates. 

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Today we are featuring top-performing "Growth/Income" equity mutual funds, which primarily invest in equity securities of companies and place equal weight on capital growth and current income objectives.

Investors can find such funds by checking out the entire list of the Zacks #1 Rank Growth/Income Equity Funds.3 Solid Options

Yacktman Fund (YACKX) was incepted in July 1992 and seeks long-term capital appreciation and, to a lesser extent, current income. It may invest in companies of any capitalization.

The fund invests primarily in equities, including convertibles, of growth companies at what it believes to be low prices. It may also invest in short-term money markets for income and long-term, high-quality debt for growth.

The fund's key holdings include Microsoft Corp. (MSFT), AmeriCredit Corp. (ACF) and Coca-Cola Co. (KO).

JPMorgan Investor Conservative Growth

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U.S. stocks rose on Thursday, underpinned by a rebound in technology shares, while renewed concerns about the economy boosted defensive stocks.

Investors snapped up shares of technology bellwethers a day after the semiconductor index <.SOXX> fell for a fifth straight day. Apple Inc led the Nasdaq higher, climbing 1.8 percent to $121.59, while the semiconductor index gained nearly 2 percent.

Stocks in defensive sectors such as consumer staples and health care also advanced, with Coca-Cola Co (KO) up 1.6 percent to $44.34 and Pfizer Inc adding 0.8 percent to $15.39.

“What we’ve seen the past three days is not that money’s leaving the market, but just flowing in that (defensive) direction and trying to find the better deal,” said Marc Pado, U.S. market strategist at Cantor Fitzgerald & Co in San Francisco.

The Dow Jones industrial average <.DJI>

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Coca Cola Co. (KO) reported first-quarter earnings per share of 65 cents, excluding items, which was in-line with the consensus estimate.

Sales declined 3% year-over-year to $7.2 billion, due to bottling divestitures coupled with strengthening of the US dollar.

The beverage giant's worldwide case volumes declined 2% year-over-year, as it tackled one of the worst recessions in several decades.

Analysts have adopted a wait-and-see approach with the company as the full-year consensus has remained stagnant at $3.09 over the past 30 days.

Meanwhile, archrival PepsiCo (PEP) reported first-quarter earnings of 71 cents per share yesterday, topping the consensus by 4 cents. The world's second-largest soft drinks maker has also offered $6 billion for sole control of its two largest bottlers.

KO, a Zacks #3 Rank ("Hold") stock, has declined more than 2% so far today amid higher-than-usual volume of more than 10 million, compared to average volume

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Chinese regulators rejected Coca-Cola Co.’s (KO) $2.3 billion bid for China Huiyuan Juice Group Ltd., China’s largest juice company.

The move surprised many analysts, as it will make it easier for Western countries to prevent Chinese companies from acquiring overseas targets and discourage other large corporations from pursuing mergers in China.

China’s Ministry of Commerce blocked the deal saying the biggest takeover of a Chinese company failed to meet the country’s anti-monopoly law and would be “negative for competition.”

“If the acquisition of Huiyuan went into effect, Coca-Cola is very likely to take a dominating position in the domestic market and the consumers may have to accept the high price fixed by the company as they don’t have more choices,” the Ministry of Commerce said in a statement.

Huiyuan Juice is a household name in China, and controls 42% of the country’s pure-fruit-juice market. Coca-Cola controls 54%

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In this feature, we turn our attention to General Motors (GM), Johnson & Johnson (JNJ), Wal-Mart (WMT), Chevron (CVX) and Home Depot (HD).

One of the hallmarks of this bear market has been how indiscriminate it has been.  Companies that are likely to be absolutely devastated by the economic slowdown are getting whacked almost as much as those that should do just fine.  To illustrate this, one needs go no further than the Dow 30.

Below we present the 30 blue chips sorted by how much they have declined over the last year.  All but one of them is down.  Yes, two of the firms that are likely to suffer the most are at the top of the list, General Motors (GM) and Citigroup (C).  However, the relative positions of many of the others simply

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William Patalon III says the US economy is heading into recession, and there is little the Fed or Treasury can do to stop it.

But that doesn't mean contrarian investors can't make a profit. History is littered with examples of investors that made a fortune during the darkest days for the economy.

William has a four-point plan to beat the bear this time round: 1) Load up on high dividend stocks; 2) Buy gold; 3) Stick to 'global titan' companies; and 4) Stay relaxed...

Three unlikely catalysts have been driving the U.S. economy off a cliff. This FREE report tells you how long the U.S. economy will suffer before it recovers… That sound you hear… it’s millions of Americans cracking their nest eggs. Inflation is at a 27-year high while personal incomes are down 1.6% from last month. And the results are twofold: We have less money to spend. And we’re spending more for less. Worse, that’s just one reason why one Wall Street analyst believes we’re "facing the prospect of a depression and the end of the American Dream." This exclusive report reveals the two other economy-crashing catalysts and how they will drive the U.S. into recession. More importantly, it also gives four ways any investor can protect their money - even profit - before and during the fallout. It’s a must-read for anyone who owns property, stocks or is just plain ...