Costco Wholesale (COST) Stock Fundamentals, Analysis & Risk Signals

Health score, price, valuation, risk signals, and key metrics at a glance.

Costco Wholesale

NasdaqGS•Consumer Defensive•Discount Stores

$893.93+0.19(<0.01%)After hours

Market Cap

$400.13B

P/E

45.3x

P/S

1.4x

P/B

11.9x

Costco Wholesale Corporation, together with its subsidiaries, engages in the operation of membership warehouses in the United States, Puerto Rico, Canada, Mexico, Japan, the United Kingdom, Korea, Australia, Taiwan, China, Spain, France, Iceland, New Zealand, and Sweden. It offers merchandise, including sundries, dry groceries, candies, coolers, freezers, deli, liquor, and tobacco; non-food merchandise comprising appliances, small electronics, health and beauty aids, hardware, lawn and garden, sporting goods, tires, toys and seasonal, automotive, stamps, tickets, apparel, furniture, domestics, housewares, special order kiosks, and jewelry; and fresh food, such as meat, produce, service deli, and bakery products. The company is also involved in warehouse ancillary operations, which include gasoline, pharmacies, optical, food courts, hearing-aid centers, and tire installation centers. In addition, it engages in e-commerce, business centers, travel, and other businesses. The company was formerly known as Costco Companies, Inc. and changed its name to Costco Wholesale Corporation in August 1999. Costco Wholesale Corporation was founded in 1976 and is based in Issaquah, Washington.

How this company scores

ExcellentMetricSide Score: 81/100

Strongest: Balance Sheet & Red Flags (25/25); weakest: Profitability (14/25).

Profitability14/25

Growth19/25

Balance Sheet & Red Flags25/25

Cash & Earnings Quality23/25

Strengths

Rising free cash flowHigh ROELow leverageInterest easily covered

No red flags in the last 8 quarters.

Valuation vs. 5-year range

Today's multiple positioned against its own trailing range — a visual premium/discount check.

P/E · 45.3x5y range 36.7x – 62.4x

Currently near its 20-quarter median.

P/S · 1.4x5y range 0.9x – 1.8x

Currently near its 20-quarter median.

P/B · 11.9x5y range 9.4x – 18.6x

Price & Volume

Market Cap $400.13B

Metrics at a Glance

as of May 2026

Revenue & Profit

Revenue, EBITDA, operating income, net income, EPS, and shares

TTM Revenue: $293.59B
Q. Revenue: $70.53B
TTM EBITDA: $14.89B
TTM Op. Income: $11.22B
Q. Op. Income: $2.81B
TTM Net Income: $8.84B
Q. Net Income: $2.19B
EPS: $4.94
Shares Out.: $443.92M

$293.59B in TTM revenue grew 9.2% YoY, reaching $70.53B last quarter. TTM EBITDA of $14.89B and TTM operating income of $11.22B show growth is flowing through to the bottom line. TTM net income of $8.84B means revenue is converting into profit. Across the last 8 quarters, TTM revenue has risen for 7 consecutive quarters — an improving trend.

Margins

Gross, EBITDA, operating, and net margin trends

Gross Margin: 12.8%
EBITDA Margin: 4.8%
Op. Margin: 4.0%
Net Margin: 3.1%

Op. margin of 4.0% is down 0.0% YoY — costs are rising relative to revenue. Net margin at 3.1% and gross margin of 12.8% show how much of each revenue dollar survives to profit. Across the last 8 quarters, operating margin has risen for 2 consecutive quarters — an improving trend.

Price Ratios

P/E, P/S, P/B, EV/EBITDA, FCF yield, and earnings yield

P/E Ratio: 45.3x
P/S Ratio: 1.4x
P/B Ratio: 11.9x

At 45.3x P/E, the stock trades above typical market levels — the market expects above-average growth. P/S of 1.4x and P/B of 11.9x provide additional context. Use the growth and margin sections to judge whether the multiple is justified. Over the past year, P/E is down 21% — an improving trend.

Assets & Liabilities

Total assets, cash, debt, book value, and leverage

Total Assets: $86.43B
Cash: $18.95B
Long-Term Debt: $5.67B
Book Value: $33.51B
D/E Ratio: 0.2
Debt/EBITDA: 1.7

With $86.43B in assets and $5.67B in long-term debt, D/E is 0.2and book value is $33.51B — a conservative capital structure with a cushion to weather downturns. Across the last 8 quarters, debt/equity has fallen for 7 consecutive quarters — an improving trend.

Cash Flow

Operating cash flow, free cash flow, FCF margin, and earnings quality

Op. Cash Flow: $3.45B
TTM Free Cash Flow: $8.81B
FCF Margin: 3.0%
FCF / Net Income: 1.0

TTM FCF of $8.81B on $3.45B in operating cash flow. The FCF / Net Income ratio of 1.0x means free cash flow covers net income — earnings are backed by cash. Over the past year, free cash flow is up 20% — a weakening trend.