Costco Wholesale Corp. (NASDAQ:COST) CEO Ron Vachris offered inflation-weary shoppers a rare bit of stability this week, saying the retailer's iconic $1.50 hot dog and soda combo is not going up in price anytime soon.

Vachris Reassures Fans On Combo Price

In a video posted to Costco's Instagram on Wednesday, Vachris sat in a Costco food court eating the quarter-pound all-beef hot dog and, before taking a bite, said, "$1.50, for this hot dog?"

Asked if the price was going up, he replied, "The hot dog price will not change as long as I'm around." When prompted to describe it, he added, "Amazing. Amazing quality. Amazing value. That's $1.50 well spent."

Costco Defends A Near-Mythic Bargain

The reassurance matters because Costco has spent years defending the combo's near-mythic status even as prices climbed elsewhere. The company switched its food-court fountain business from Pepsi back to Coca-Cola, reversing a 2013 cost-control change that had helped preserve the combo's price.

In 2022, then-Chief Financial Officer Richard Galanti said after an earnings call that the hot dog and soda would stay at $1.50 "forever." But before leaving in early 2024, he told Bloomberg the deal was "probably safe for a while," briefly reviving fears that the bargain might finally budge.

Strong Results Back The Stable Message

Vachris’ social media hot dog update arrived just weeks after Costco posted another strong quarter. The company reported net sales of $68.24 billion for the second quarter ended Feb. 15, up 9.1% from a year earlier, and earnings of $4.58 per diluted share, according to Benzinga Pro.

Elsewhere, total revenue reached $69.60 billion, topping expectations of $69.29 billion, while membership fees rose to about $1.36 billion from $1.19 billion a year earlier. Costco said it now operates 924 warehouses, including 634 in the United States and Puerto Rico.

Price Action: Costco shares were down 1.63% on Wednesday, closing at $979.92, according to Benzinga Pro. The stock has been up approximately 15% year-to-date.

Photo Courtesy: ZikG on Shutterstock.com