Cramer Says Tito’s Refused Costco on Price and Kirkland Made Vodka for Half

Key points

• Jim Cramer described Costco's supplier-pressure tactic during a Mad Dash segment, suggesting the retailer would press a supplier into creating a Kirkland-branded version at half the price; the example cited Tito's vodka, though Costco has not commented on any specific supplier and the clip ends mid-sentence.
• Costco executive assertions emphasize Kirkland as a pricing tool: CEO Ron Vachris noted the brand broadening and continued use to fight pricing, while CFO Gary Millerchip pegged Kirkland’s savings at 15%–20% versus national brands with equal or better quality; price reductions on Kirkland items are an ongoing practice, including a cut for Kirkland walnuts.
• Costco declared a $30 per share special dividend, its largest ever and double the prior payout, accompanied by a new $4 billion buyback; the move was announced the day before Cramer’s remarks and is expected to cost about $13.3 billion.
• Fiscal 2026 results show revenue of $303.154 billion, up 10.14% year over year, and free cash flow of $9.39 billion; member loyalty remained strong with 150.4 million cardholders and an 89.8% worldwide renewal rate, underscoring sustained demand.
• Costco’s stock moved higher, with shares around $1,075.53, up 5.52% in a week and 13.75% over the past month, reflecting investor confidence in the company’s trajectory and dividend strategy.
• Competitive context includes Sam’s Club delivering 4.4% U.S. comparable sales growth (excluding fuel) and Target cutting prices on more than 10,000 items; Walmart remains the closest rival format, highlighting the broader value-driven retail landscape.