The platinum bars are for sale on Costco’s site for $1,089.99.
In April, Wells Fargo analysts estimated that Costco was generating between $100 million and $200 million monthly from sales of its one-ounce, 24-karat gold bars, which debuted in October 2023.
Now, Costco is further expanding its precious metals inventory by adding platinum bars to its lineup. The platinum bars are priced at $1,089.99 each, slightly above the current market value of around $1,000 per ounce, according to CNBC.
Along with gold and platinum, Costco introduced silver coins in March 2024. Customers can purchase a 25-pack of 2024 Canada Maple Leaf silver coins, each weighing one troy ounce and made of 99.99% pure silver, for about $849.99 on the retailer’s website.
What Is Platinum?
Platinum is a strong, precious metal, rarer than gold, with a distinctive white-silver appearance. Though it may resemble silver, platinum is heavier and highly resistant to corrosion and heat, making it ideal for various commercial applications, including jewelry, car parts (such as catalytic converters), and laboratory equipment.
Should You Buy Costco’s Platinum Bars?
Platinum’s use in catalytic converters and other industries means its demand could remain strong.
However, some financial experts advise against buying physical bars, suggesting that exchange-traded funds (ETFs) might be a more practical investment for precious metals. Holding physical platinum bars presents challenges such as secure storage and liquidity concerns when it comes time to sell.
Still, there’s an appeal for certain investors to own physical assets, particularly in times of economic uncertainty. Jimmy Lee, CEO of the Wealth Consulting Group, noted that “a certain segment wants to own some physical stuff,” as a tangible hedge against market volatility.