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Costco Wholesale Corp

Exchange: NASDAQSector: Consumer DefensiveIndustry: Discount Stores

Costco Wholesale currently operates 803 warehouses, including 558 in the United States and Puerto Rico, 102 in Canada, 39 in Mexico, 29 in the United Kingdom, 27 in Japan, 16 in Korea, 14 in Taiwan, 12 in Australia, three in Spain, and one each in Iceland, France, and China. Costco also operates e-commerce sites in the U.S., Canada, the United Kingdom, Mexico, Korea, Taiwan, Japan, and Australia.

Did you know?

Pays a 0.48% dividend yield.

Current Price

$1014.96

+1.85%

GoodMoat Value

$2043.26

101.3% undervalued
Profile
Valuation (TTM)
Market Cap$450.51B
P/E52.70
EV$418.58B
P/B15.45
Shares Out443.87M
P/Sales1.57
Revenue$286.26B
EV/EBITDA30.63

Costco Wholesale Corp (COST) Company Profile

GoodMoat Analysis

Based on data as of March 26, 2026

Costco operates a high-volume, low-margin membership warehouse model, generating most of its profit from membership fees. It demonstrates a strong competitive moat through scale, brand loyalty, and a unique value proposition, but its current valuation at a P/E of 50.6x is extremely high by traditional value investing standards.

Read full analysis
Costco Wholesale Corp operates a membership-based warehouse club business. It sells a limited selection of branded and private-label goods in bulk at deeply discounted prices to members who pay an annual fee. The company's primary customers are individual consumers and small businesses. Its profit model is unique: with a gross margin typically around 11-13% (far below traditional retailers), it aims to break even on merchandise sales. The vast majority of its net income comes from membership fees, which are high-margin, recurring revenue. This aligns member and company interests, as Costco's success depends on delivering such compelling value that members renew annually. Applying the GoodMoat framework, Costco exhibits several durable advantages. Its **Scale Privilege** in purchasing and logistics is immense. High **Switching Costs** exist as members forfeit access to savings if they cancel. Its **Brand & Culture** of trust and value is a significant asset, evidenced by >90% renewal rates in core markets. It also benefits from **Pricing Power** with suppliers due to its volume. However, the framework highlights a **High Confidence Red Flag: Extreme Valuation**. A P/E of 50.6 and a Free Cash Flow Yield of only 1.8% suggest the market prices in near-perfect execution far into the future, leaving little margin of safety. While the business is high-quality with a strong moat, a value investor would likely find the current price unfavourable, requiring a very high conviction that growth can justify the premium. Analysis based on data as of 2024-05-15.

COST Company Information

Costco Wholesale currently operates 803 warehouses, including 558 in the United States and Puerto Rico, 102 in Canada, 39 in Mexico, 29 in the United Kingdom, 27 in Japan, 16 in Korea, 14 in Taiwan, 12 in Australia, three in Spain, and one each in Iceland, France, and China. Costco also operates e-commerce sites in the U.S., Canada, the United Kingdom, Mexico, Korea, Taiwan, Japan, and Australia.

Sector

Consumer Defensive

Industry

Discount Stores

Exchange

NASDAQ

Country

Washington, USA

COST Key Officers

Key officers data coming soon

COST Company Profile

Costco Wholesale Corp (COST) is a Consumer Defensive company in the Discount Stores industry, listed on NASDAQ. Headquartered in Washington, USA.

Costco Wholesale currently operates 803 warehouses, including 558 in the United States and Puerto Rico, 102 in Canada, 39 in Mexico, 29 in the United Kingdom, 27 in Japan, 16 in Korea, 14 in Taiwan, 12 in Australia, three in Spain, and one each in Iceland, France, and China. Costco also operates e-commerce sites in the U.S., Canada, the United Kingdom, Mexico, Korea, Taiwan, Japan, and Australia.

Market capitalization: $450.51B. Shares outstanding: 443.9M. Dividend yield: 0.48%.

View the complete company profile for Costco Wholesale Corp on GoodMoat, including key officers, financial metrics, sector classification, and investment analysis tools. Use the profile alongside GoodMoat's DCF calculator, fair value models, and quality score to evaluate whether COST is a sound investment opportunity.