Costco Wholesale Corp

LIM : COST
USA·Consumer Defensive·Retail - Defensive
$868.25
+0.00 (+0.00%)latest daily quote
Market Cap
$385.20B
Enterprise Value
$376.12B
P/E (TTM)
52.63
P/B
14.39
Net Cash / (Debt)
$10.07B
52-Week Range
$868 — $909
5-Year Range
$868 — $1,052
Avg Volume (3M)
35

Costco operates a chain of roughly 910 membership warehouse clubs across the US, Canada, and internationally. It sells groceries (~55% of revenue), general merchandise (~25%), and other goods in bulk at low markups. Customers pay an annual membership fee to shop there — that fee income is essentially what generates most of Costco's profit, since merchandise is priced near cost. Members are primarily households and small businesses. The model depends on high membership renewal rates (currently ~93% in North America) to sustain the fee revenue base.

Employees341,000IPOMay 10, 2024SIC5331HQ999 Lake Drive, Issaquah, WA, USA, 98027
to

Financials

Profitability

Metric
Current
Margins
Gross Margin
12.9%
Operating Margin
3.8%
EBITDA Margin
4.9%
Net Margin
3.0%
OCF Margin
—
FCF Margin
3.2%
Returns on Capital
ROE
30.4%
ROA
10.9%
ROIC
16.8%
ROCE
29.6%
ROC (Greenblatt)
33.6%
3Y ROIIC
21.4%
Consistency
Years Profitable / 10Y
10

Valuation

Metric
Current
Earnings Multiples
P/E (TTM)
52.63
Forward P/E
42.58
P/E ex-NRI
52.95
Shiller P/E (CAPE)
76.41
Cash Flow Multiples
P/FCF
48.53
P/OCF
29.60
P/Owner Earnings
47.03
FCF Yield
2.06%
Enterprise Value Multiples
EV / EBIT
37.97
EV / Forward EBIT
37.91
EV / EBITDA
31.12
EV / Forward EBITDA
30.78
EV / Revenue
1.52
EV / Forward Revenue
1.47
Asset / Sales
P/S
1.56
P/B
14.39
P/Tangible Book
14.39
Growth-Adjusted
PEG
4.14

Capital Returns

Metric
Current
Dividends
Dividend Yield (TTM)
0.60%
Forward Dividend Yield
0.60%
3Y Dividend Growth
13.3%
Payout Ratio
0.27
5Y Yield on Cost
1.11%
Buybacks & Dilution
3Y Buyback Ratio
0.00%
5Y Share Change
0.2%
Combined
Shareholder Yield
0.88%

Balance Sheet

Metric
Current
Leverage
Debt / Equity
0.27
Gross Debt / EBITDA
0.59
Cash / Debt
2.12
Equity / Assets
0.37
Coverage
Interest Coverage
70.07
Short-Term Liquidity
Current Ratio
1.04
Quick Ratio
0.53
Cash Ratio
0.41
Composite Scores
Piotroski F-Score
9
Altman Z-Score
9.25

5-Step DuPont Analysis

ROE %
29.65%
Net Margin %
2.99%
Operating Margin %
3.82%
Operating Income
$10.94B
÷
Revenue
$286.26B
×
Tax Burden
0.7503
Net Income
$8.55B
÷
Pretax Income
$11.39B
×
Interest Burden
1.0415
Pretax Income
$11.39B
÷
Operating Income
$10.94B
×
Asset Turnover
3.65
Revenue
$286.26B
÷
Average Total Assets
$78.43B
Begin Total Assets
$73.22B
End Total Assets
$83.64B
×
Equity Multiplier
2.72
Avg Total Assets
$78.43B
÷
Avg Stockholders Equity
$28.83B
Begin Equity
$25.58B
End Equity
$32.09B