Here's how much money you'd have if you invested $1,000 in Costco 10 years ago

Costco's hot dog price hasn't budged in decades, but the same can't be said for its soaring stock.

While the wholesale retailer's iconic hot dog and soda combo has sold for $1.50 since 1985, the total return on the company's stock has grown by an astronomical 59,152%, according to CNBC calculations. In contrast, the total return on the S&P 500 has increased in value by about 6,000% in that time.

Costco has long been a favorite stock for investors due to its consistent growth, strong business model and regular cash dividends

The brand is also popular with younger Americans for its affordable prices, iconic food court and exclusive Kirkland Signature products. The company has confirmed a growing number of young people, including Gen Z, have been signing up for Costco memberships in recent years.

DON'T MISS: How to master your money and grow your wealth

The one drawback of Costco's stock is its high valuation, suggesting that it might be overly popular with investors, according to some analysts. Its price-to-earnings ratio has been in the 50s for much of 2024, above the typical threshold of 25, which many analysts consider the point where a stock may be overvalued.

Either way, the stock's performance has rewarded investors over the years. Ahead of the company's release of its fourth quarter earnings after Thursday's market close, here's a look at the stock performance over the years, based on an initial investment of $1,000. 

How much an investment in Costco is worth

Costco's shares are up by about 38% so far in 2024, and were trading at $908 per share as of Wednesday's market close.

• If you had invested $1,000 in Costco a year ago, your investment would have grown by about 66% in value and be worth $1,661 as of Sept. 25.
• If you had put $1,000 in Costco five years ago, your investment would have grown 230% in value and be worth $3,295 as of Sept. 25.
• If you had invested $1,000 in Costco 10 years ago, it would have soared in value by more than 674% and be worth $7,738 as of Sept. 25.
• If you were fortunate enough to purchase $1,000 worth of Costco stock when the company went public in 1985, your investment would be worth $592,512 as of Sept. 25, according to CNBC's calculations.

If you're thinking about purchasing Costco stock, remember that all investments carry risk, and past performance doesn't guarantee future returns.

For many investors, index funds are a simpler, lower-risk way to invest in the market without picking individual stocks. But with any investment, it's essential to evaluate your own financial goals and risk tolerance before parting with your money.

Want to master your money this fall? Sign up for CNBC's new online course. We'll teach you practical strategies to hack your budget, reduce your debt, and grow your wealth. Start today to feel more confident and successful. Use code EARLYBIRD for an introductory discount of 30% off, now extended through September 30, 2024, for the back-to-school season.

Plus, sign up for CNBC Make It's newsletter to get tips and tricks for success at work, with money and in life.