2 Stocks You Can Still Buy at All-Time Highs
All-time high prices are not a bearish indicator. In fact, when stocks and the markets are at all-time highs, it is almost always a bullish sign.
Adding to your winners, even if they are trading at all-time highs can be a way of compounding your gains faster than buying low and waiting for the price to rise. Here are 2 stocks that recently hit all-time high prices that are still worthy of buying.
Meta Platforms ($502.3|2.48%)
Well, what a difference a year makes. Back in 2022, this stock was left for dead. Nobody uses social media anymore and the Metaverse is a waste of time and money. While the Metaverse might have been a waste of time and money, there is no doubting Meta’s incredible turnaround. Meta’s most recent quarter was one for the ages. Literally. It was the single largest gain to a company’s market cap in history. Meta blew away Wall Street estimates again, added a $50 billion share buyback program, and even added a quarterly dividend that will start at $0.50 per share. Meta is an animal right now and even though it hit an all-time high price, the company is still reasonably cheap compared to its other big tech siblings. Even after gaining 20% after earnings, Meta is still only trading at about nine times sales with a peg ratio of just over one. Don’t overthink it and I wouldn’t rule out a stock split at some point for the company as well. Meta is firing at all cylinders and I believe it will continue to make all-time highs in the coming years.
Costco Wholesale Corporation (NASDAQ: COST)
This is how strong Costco has been performing as of late: the stock is up by more than 11% this year, 45% over the past 52 weeks, and more than 234% over the past five years. Even with all that price increase, Costco is still trading at a price-to-sales ratio of 1.3. That is incredible and consistent sales growth that matches the ever-rising price of Costco’s stock. Now, shares might seem expensive at more than $700 as of the time of this writing. You certainly might be right on a price-to-earnings basis. But I can see Costco vying for a spot in the Dow Jones Industrial Average eventually which means a stock split could precede that. Add in consistent quarterly growth, both a quarterly and special dividends, and it’s easy to see why Costco’s stock is a great one to own even at all-time highs!