Costco makes hundreds of millions on 24-karat gold bar sales

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Costco makes hundreds of millions on 24-karat gold bar sales
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Costco members have struck gold at the big box retailer, which sells 24-karat 1-ounce gold bars.

Costco may be known for exclusive pricing on everything from high-end spirits to food court hot dogs, but an influx of members are going for gold.

"This is a currency that has been around for thousands of years. It is one thing that holds its value and increases its value over a duration of time," Hitha Herzog, retail analyst and chief research officer at H Squared Research, told ABC News. "We view the addition of gold/silver as a smart move for Costco, as it only reinforces its value position," the report stated. "That being said, pricing at that level and shipping costs suggests it's a very low-profit business at best."

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