The stock market has been in a painful correction for almost six weeks.

While these periods are not pleasant for your portfolio, as a trader, they can present some tremendous opportunities.

We are seeing some of the best of the best companies start to sell off to a degree where they become very interesting.

For today's HX Income issue, we recommend one of these companies.

A company that has been one of the best stocks of ALL TIME.

It has now sold off enough that we think there is a great income opportunity.

Here is the idea…

The company is wholesale club retail juggernaut, Costco Warehouse Corporation (NASDAQ: COST).

We are sure you are familiar with the company and have probably had one of their cheap hot dogs…

The company opened its first warehouse club in Seattle in 1983, although its predecessor (which they acquired), Price Club, was founded in 1976. Today, Costco employs over 165,000 people across 890 stores in fourteen countries.

They are the third largest retailer in the entire world!

This stock seldom gets oversold enough to land on our radar screen, but we dug in when it did a couple of years ago, and their track record blew us away.

This table shows their earnings per share or "EPS" results over the last decade…

Over the last ten years, they have grown consistently and at a double-digit pace.

This is an extremely impressive track record of results for a company of this size. Few companies on the planet can match this kind of performance.

They also have an excellent track record of exceeding analysts' estimates for EPS results. Here is that table over the last five years…

They have missed only one quarter since the COVID period and far outperformed their retail peers. Again, this is an impressive performance for a company of this size.

As they have consistently beat analysts' expectations for EPS, those analysts have had to raise those estimates. As our readers know, rising earnings estimates are the most potent driver of stock prices in the intermediate term.

Here is a chart showing the analyst estimates for Fiscal Year 2025 EPS for COST (green) and the stock price (black)…

The numbers moved consistently higher throughout 2024, and COST stock almost doubled over the same period.

As we mentioned in our introduction, COST is among the most outstanding stock "winners" of all time. Here is the chart showing the performance of the stock over the last decade…

This is a fantastic performance. The stock is up tenfold over this period. That is three times better than the performance of the S&P 500 and – again – impressive for a company the size of COST.

At the end of the chart, though, you can see that it had recently sold off.

Here is a shorter-term chart with the stock price and our key technical indicator – the relative strength index or “RSI” – at the bottom…

While the stock did not trigger our “buy” RSI level of 30, it did trade below 31.

This is a relatively rare occurrence for the stock. Stocks with this kind of track record seldom get this oversold.

What is going on with COST stock?

The honest answer is nothing.

The company's last earnings report in December was strong, and the shares hit a new all-time high just a few weeks ago. The stock was overbought at that point, leaving it vulnerable to a correction.

As the stock market has begun to undergo its own correction, it has brought the stock down.

As mentioned above, the stock has seldom reached these oversold levels. Here is how it has performed in the future when it has traded below the 31 RSI level over the last ten years…

If you bought the stock after it had traded below that RSI level (and then back above it), you would have made money over three-quarters of the time in the next 90 days—an almost double-digit return.

That is not a huge return, but remember, with our income strategy, we don't need the stock to increase to make money. We just need it not to go down any further.

We think the opportunity to buy one of the best businesses (and stocks) of all time and rarely seen oversold levels is too good to pass up.

Pull out your membership card and put this income opportunity in your cart!