NASD · Consumer Defensive · Discount Stores · USA
Costco Wholesale Corp is a mega cap company (market value over $200 billion) in the Discount Stores industry.
Costco Wholesale operates membership warehouse clubs and e-commerce sites across the United States, Puerto Rico, and international markets. The company sells a curated range of branded and private-label merchandise through efficient warehouse operations designed for high volume and rapid inventory turnover. Members access foods, non-foods, fresh items, and ancillary services at competitive prices.
From its FY2025 annual report (Form 10-K)
Intrinsic value, DCF valuation, financial health and value investing analysis for the Costco Wholesale Corp stock.
Overvalued: intrinsic value $337.17 per share, market price $995.53, margin of safety -195.3% (as of 2026-10-19).
Discounting its cash flows at 9.5% (average of 3 methods) values the shares at $337.17; the price of $995.53 is 195% above that value, and 75% of that value comes from beyond year five.
Leak Score: 68/100 on 12 of 12 signals (Faint Leak).
17 more funds hold it; the full list is part of the paid plan.
COST is overvalued (as of the 2026-10-19 close). Discounting its cash flows at 9.5% (average of 3 methods) values the shares at $337.17; the price of $995.53 is 195% above that value, and 75% of that value comes from beyond year five.
$337.17 per share (as of the 2026-10-19 close), against a market price of $995.53. That is a margin of safety of -195.3%. The value is the average of the valuation methods that apply to this company, recomputed every night after the US close.
The price needs faster growth than we project for any company. It is betting on an exception. Yearly sales growth the price needs: 61.1%. Yearly sales growth it has sustained: 8.2%.
68 out of 100, which we rate "Faint Leak", on 12 of 12 value investing signals.