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Stock: COST
Book Value Per Share: $61.21
EPS: $21.03
Diluted EPS TTM: $16.98
Dividend Per Share: 1.16
Dividend Yield: 0.12 %
Dividend Payout Ratio: 6%
Price To Sales Ratio TTM: 1.735
Price To Book Ratio: 16.53
PEG Ratio: 5.37
EV To EBITDA: 34.14
P/E Ratio: 59.53
Forward P/E Ratio: 50
Ex Dividend Date: 2025-05-02
Dividend Date: 2025-05-16
Current Price: $990.21
Previous Close: $1,002.71
52 Week Low: $790.04
52 Week High: $1076.83
Earning Date (within 30 days): N/A
50 Day MA: $989.64
200 Day MA: $952.18
Link to Yahoo (Financial): COST
 
* Note: Prices are in Million (M) USD.
Description:
Costco Wholesale Corp (COST) ▼
Costco Wholesale Corporation (doing business as Costco Wholesale and also known simply as Costco) is an American multinational corporation which operates a chain of membership-only (needing a membership to shop there) big-box retail stores. As of 2020, Costco was the fifth largest retailer in the world, and the world's largest retailer of choice and prime beef, organic foods, rotisserie chicken, and wine as of 2016.
These criteria used Company’s Cash, EBITDA and Debt balance to determines its fair value:
Cash : $9,906 M
Debt : $5,794 M
EBITDA : $12,442 M

Since Cash is greater than Total Debt, 5 points assigned.
This criteria used industry in which company operates:
Sector: Consumer Defensive
Industry: Discount Stores

Based on industry, 3 points assigned.
This criteria used Company’s Price To Earning (P/E) Ratio to determines its fair value:
Forward PE Ratio: 47.09

Since Forward PE Ratio is greater than 35, 0 point assigned.
This criteria used Company's ability to convert Sales into free cash flow to determine fair value:
Average Free Cash Flow: $2,664 M
Average Revenue: $127,490 M
Free Cash Flow to Revenue : 2 %

Since Free Cash Flow (FCF) to Revenue percentage is less than 15, 1 point assigned.
This criteria used company's growth potential to calculate its fair value:
Latest Revenue (2024-08-31): $254,453 M
Revenue 4 Years Ago (2020-08-31): $166,761 M
Last 5 Years Average Revenue Growth: 11%

Since Revenue Growth is between 10 - 15, 3 points assigned.
This criteria used Company's ability to buy back its own share:
Latest Share Count (2024-08-31): $445 M
Share Count 5 Years Ago (2020-08-31): $444 M

Company is not buying back its own shares, 0 points assigned.
This criteria used Company's dividend payout ratio to determine its fair value:
Earnings Per Share (EPS): $21.03
Dividend Per Share (DPS): $1
Payout Ratio: 6%
Dividend Yield: 0%

Since company Payout Ratio is less than 50, 2 points assigned.

Since Dividend Yield is less than 1, 0 point assigned.
This criteria used Company's Return On Equity (ROE%) to determine its fair value:
Average ROE: 19%

Since Average ROE is between 10 - 20, 3 points assigned.
This criteria used Company's current price to its 52 week low price to determines its fair value:
Current Price: $990
52-Week Low: $790
Threshold Price (15% Above 52-Week Low): $909

Since Current price is not within 15% threshold, 0 point assigned.
This criteria used Company's Market Cap to determines its fair value:
Market Capitalization: $466,444 M

Since Market Cap is between 100B - 500B, 3 points assigned.
% Exposure to Total Portfolio
Based on the calculated score, we recommend do not exceed 4% exposure of Total Portfolio.
Value-Trade has assigned 20 points to above Costco Wholesale Corp (COST) stock.
Twenty Years Avg PE 41, Fair Value PE 15, Industry Based PE is 20 and Growth based PE is 10. Based on these all values average assigned is 21.50.
Value-Trades has assined P/E value 21.50. Since current year earning per share is $21.03.
The fair value of Costco Wholesale Corp (COST) stock should be (21.50 x $21.03) = $452.15

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