Costco Wholesale Corp Stock Research

Market Summary

USD507.26+20.71

Market Closed

4.26%

COST Stock Price

COST RSI Chart

COST Valuation

Market Cap

225.0B

Price/Earnings (Trailing)

37.18

Price/Sales (Trailing)

0.96

EV/EBITDA

20.79

Price/Free Cashflow

41.1

COST Price/Sales (Trailing)

COST Profitability

EBT Margin

3.45%

Return on Equity

26.54%

Return on Assets

9.05%

Free Cashflow Yield

2.43%

COST Fundamentals

COST Revenue

Revenue (TTM)

234.4B

Revenue Y/Y

8.09%

Revenue Q/Q

-24.49%

COST Earnings

Earnings (TTM)

6.1B

Earnings Y/Y

3.02%

Earnings Q/Q

-26.98%

Price Action

52 Week Range

441.64563.73

(Low)(High)

Last 7 days

2.2%

Last 30 days

2.6%

Last 90 days

3.8%

Trailing 12 Months

9.5%

COST Financial Health

Current Ratio

1.06

COST Investor Care

Dividend Yield

0.65%

Shares Dilution (1Y)

0.10%

Diluted EPS (TTM)

13.61

Peers (Alternatives to Costco Wholesale)

View All Peers In Detail

Name	Mkt Capsorted ascending	Revenue	Price %, 1M	Returns, 1Y	P/E	P/S	Rev 1-Yr	Inc 1-Yr
LARGE-CAP
WMT	410.6B	611.3B	-2.98%	17.63%	35.16	0.67	6.73%	-14.58%
COST	225.0B	234.4B	2.55%	9.48%	37.18	0.96	13.76%	13.92%
SYY	35.9B	75.6B	-4.39%	-13.58%	23.21	0.48	14.80%	54.66%
KR	35.3B	148.3B	-1.07%	-8.25%	15.74	0.24	7.52%	34.86%
ACI	10.7B	77.6B	-4.02%	-10.67%	7.09	0.14	9.24%	-6.55%
BJ	8.2B	19.3B	-19.23%	6.20%	16.03	0.43	15.89%	20.28%
MID-CAP
USFD	9.3B	34.8B	8.27%	21.21%	26.29	0.27	12.30%	95.58%
CASY	8.6B	15.2B	3.52%	11.95%	19.06	0.56	28.24%	39.99%
GO	2.9B	3.7B	-0.14%	-23.64%	42.66	0.77	17.53%	22.20%
PSMT	2.3B	4.2B	0.19%	-5.27%	21.42	0.54	11.27%	2.74%
WMK	1.6B	4.7B	-27.04%	-18.01%	13.67	0.35	9.59%	3.14%
SMALL-CAP
ANDE	1.4B	17.2B	-6.70%	11.85%	10.87	0.08	23.10%	17.42%
CHEF	1.2B	2.8B	-1.64%	-11.14%	44.53	0.44	42.64%	93.05%
SPTN	830.0M	9.6B	-2.35%	-30.39%	24.04	0.09	7.97%	-53.20%
NGVC	262.5M	1.1B	5.38%	-33.72%	16.02	0.24	2.21%	-40.46%

Financials for Costco Wholesale

* denotes actual numbers (not divided by Millions)
Income Statement (Last 12 Months)					(In Millions)
Description	(%) Q/Q	2023Q1	2022Q4	2022Q3	2022Q2	2022Q1
Revenue	1.5%	234,390	231,028	226,954	217,538	210,219
S&GA Expenses	1.8%	20,343	19,978	19,779	19,410	19,159
EBITDA	2.1%	10,196	9,982	9,898	9,642	-
EBITDA Margin	0.7%	0.04*	0.04*	0.04*	0.04*	-
Earnings Before Taxes	2.3%	8,096	7,914	7,840	7,615	7,438
EBT Margin	0.8%	0.03*	0.03*	0.03*	0.04*	-
Interest Expenses	-1.3%	151	153	158	162	167
Net Income	2.8%	6,051	5,884	5,844	5,646	5,513
Net Income Margin	1.4%	0.03*	0.03*	0.03*	0.03*	-
Free Cahsflow	92.0%	5,475	2,851	3,501	4,100	-

* denotes actual numbers (not divided by Millions)
Balance Sheet					(In Millions)
Description	(%) Q/Q	2023Q1	2022Q4	2022Q3	2022Q2	2022Q1
Assets	1.2%	66,848	66,027	64,166	63,852	63,078
Current Assets	0.5%	34,330	34,150	32,696	33,008	32,565
Cash Equivalents	19.5%	12,970	10,856	10,203	11,193	11,819
Inventory	-13.4%	16,081	18,571	17,907	17,623	16,485
Net PPE	2.3%	25,724	25,144	24,646	24,143	24,052
Liabilities	-1.1%	44,049	44,551	43,519	43,339	43,102
Current Liabilities	-1.7%	32,516	33,067	31,998	31,845	31,545
LT Debt, Current	7.0%	76.00	71.00	73.00	77.00	-
LT Debt, Non Current	0.5%	6,506	6,472	6,484	6,507	6,658
Shareholder's Equity	6.1%	22,794	21,476	20,642	19,968	19,976
Retained Earnings	5.7%	17,341	16,412	15,585	14,294	13,474
Additional Paid-In Capital	2.0%	7,123	6,982	6,884	7,272	7,186
Shares Outstanding	-0.1%	444	444	443	443	444
Minority Interest	0%	5.00	5.00	5.00	545	558

Cashflow (Last 12 Months)					(In Millions)
Description	(%) Q/Q	2023Q1	2022Q4	2022Q3	2022Q2	2022Q1
Cashflow From Operations	41.4%	9,535	6,744	7,392	7,826	9,932
Share Based Compensation	2.6%	757	738	724	721	718
Cashflow From Investing	-8.1%	-4,387	-4,060	-3,915	-3,583	-3,891
Cashflow From Financing	11.1%	-3,831	-4,307	-4,283	-3,062	-2,805
Dividend Payments	0%	1,548	1,548	1,498	1,399	1,358
Buy Backs	11.1%	609	548	439	388	428

Risks for COST

What is the probability of a big loss on COST?

18.9%

Probability that Costco Wholesale stock will be more than 20% underwater in next one year

17.7%

Probability that Costco Wholesale stock will be more than 30% underwater in next one year.

Probability that Costco Wholesale stock will be more than 40% underwater in next one year.

*Calculated based on probability distribution of losses observed in actual data in the last 5 years.

How does COST drawdown profile look like?

Y-axis is the maximum loss one would have experienced if Costco Wholesale was unfortunately bought at previous high price.

Drawdowns

Returns for COST

Cumulative Returns on COST

18.3%

10-Year Cumulative Returns

21.3%

7-Year Cumulative Returns

22.2%

5-Year Cumulative Returns

20.3%

3-Year Cumulative Returns

What are the long-term rolling returns for COST?

FIve years rolling returns for Costco Wholesale.

Annualized Returns

Which funds bought or sold COST recently?

View All Details

Datesorted ascending	Fund Name	Type	% Chg	$ Change	$ Held	% Portfolio
2023-05-24	Verity Asset Management, Inc.	added	11.61	61,681	348,847	0.21%
2023-05-24	Old North State Trust, LLC	added	2.95	108,000	1,004,000	0.70%
2023-05-23	Front Row Advisors LLC	reduced	-1.12	249,000	3,514,000	1.69%
2023-05-23	MOUNTAIN PACIFIC INVESTMENT ADVISERS INC/ID	added	0.83	380,327	4,281,090	0.30%
2023-05-23	Toroso Investments, LLC	added	99.02	8,178,000	15,190,000	0.26%
2023-05-23	Brookfield Corp /ON/	new	-	998,212	998,212	-%
2023-05-23	Seaport Global Advisors, LLC	unchanged	-	6,540	80,493	0.25%
2023-05-22	Arete Wealth Advisors, LLC	added	2.91	-3,608,670,000	4,046,000	0.33%
2023-05-22	Westover Capital Advisors, LLC	reduced	-1.48	281,790	4,176,190	1.55%
2023-05-22	Whelan Financial	unchanged	-	18,146	221,567	0.12%

Latest Funds Activity

Are funds buying COST calls or puts?

Calls

Puts

Are funds bullish or bearish(Calls - Puts)?

Net Call Options

No. of funds that own COST

No. of Funds

Costco Wholesale News

Schedule 13G FIlings of Costco Wholesale

Date Filed	Name of Filer	Percent of Class	No. of Shares	Form Type
Feb 09, 2023	vanguard group inc	8.92%	39,567,517	SC 13G/A
Feb 01, 2023	blackrock inc.	6.8%	29,966,983	SC 13G/A
Feb 09, 2022	vanguard group inc	8.47%	37,561,255	SC 13G/A
Feb 01, 2022	blackrock inc.	7.0%	31,078,322	SC 13G/A
Feb 10, 2021	vanguard group inc	8.34%	36,946,831	SC 13G/A
Jan 29, 2021	blackrock inc.	6.5%	28,684,232	SC 13G/A
Feb 12, 2020	vanguard group inc	8.62%	38,114,347	SC 13G/A
Feb 05, 2020	blackrock inc.	6.5%	28,708,563	SC 13G/A

COST Fair Value

Costco Wholesale fair value in different scenarios

The table shows the Fair Value estimates for Costco Wholesale for various scenarios. Disclaimer: These are just estimations from a model. None of the models are good at predicting the future. Please dont buy or sell stocks based on these outputs.

Fair Value	Very Pessimistic	Pessimistic	Base Case	Optimistic	Very Optimistic
Very Low Inflation	242.35 -52.22%	297.50 -41.35%	416.03 -17.98%	589.76 16.26%	749.65 47.78%
Current Inflation	220.61 -56.51%	266.74 -47.42%	365.19 -28.01%	509.35 0.41%	641.99 26.56%
Very High Inflation	194.12 -61.73%	230.01 -54.66%	306.02 -39.67%	417.45 -17.70%	520.07 2.53%

Historical Costco Wholesale Fair Value Estimates

Very Pessimistic Case

Pessimistic Case

Fair Value

Optimistic Case

Very Optimistic Case

Closing Stock Price

Recent SEC filings of Costco Wholesale

View All Filings

Date Filed	Form Type	Document
May 25, 2023	8-K	Current Report
May 24, 2023	SD	SD
Apr 19, 2023	8-K	Current Report
Apr 13, 2023	4	Insider Trading
Mar 15, 2023	4	Insider Trading
Mar 15, 2023	4	Insider Trading
Mar 09, 2023	IRANNOTICE	IRANNOTICE
Mar 09, 2023	10-Q	Quarterly Report
Mar 08, 2023	4	Insider Trading
Mar 07, 2023	4	Insider Trading

Latest Insider Trading transactions for COST

Filter Transactions

Datesorted ascending	Name	Buy/Sell	$ Value	Avg. Price	# Shares	Title
2023-04-11	Frates Caton	sold	-298,408	497	-600	executive vice president
2023-03-14	GALANTI RICHARD A	sold	-999,506	483	-2,068	executive vp and cfo
2023-03-14	JELINEK W CRAIG	gifted	-	-	-1,000	ceo
2023-03-13	JELINEK W CRAIG	gifted	-	-	-2,100	ceo
2023-03-07	Miller Russell D	sold	-733,430	488	-1,500	senior evp
2023-03-06	Vachris Roland Michael	sold	-1,952,800	476	-4,100	president and coo
2023-01-27	Klauer James C	sold	-1,259,220	503	-2,500	executive vice president
2022-12-23	JELINEK W CRAIG	gifted	-	-	-21,112	ceo
2022-12-12	Murphy James P.	gifted	-	-	-105	executive vp
2022-12-12	DECKER SUSAN L	sold	-459,816	483	-952	-

About Costco Wholesale

Walter C. Jelinek

www.costco.com

65535

Costco Wholesale Corporation, together with its subsidiaries, engages in the operation of membership warehouses in the United States, Puerto Rico, Canada, the United Kingdom, Mexico, Japan, Korea, Australia, Spain, France, Iceland, China, and Taiwan. It offers branded and private-label products in a range of merchandise categories. The company offers sundries, dry groceries, candies, coolers, freezers, liquor, and tobacco and deli products; appliances, electronics, health and beauty aids, hardware, garden and patio products, sporting goods, tires, toys and seasonal products, office supplies, automotive care products, postages, tickets, apparel, small appliances, furniture, domestics, housewares, special order kiosks, and jewelry; and meat, produce, service deli, and bakery products. It also operates pharmacies, opticals, food courts, hearing-aid centers, and tire installation centers, as well as 636 gas stations; and offers business delivery, travel, same-day grocery, and various other services online in various countries. As of August 29, 2021, the company operated 815 membership warehouses, including 564 in the United States and Puerto Rico, 105 in Canada, 39 in Mexico, 30 in Japan, 29 in the United Kingdom, 16 in South Korea, 14 in Taiwan, 12 in Australia, 3 in Spain, 1 in Iceland, 1 in France, and 1 in China. It also operates e-commerce websites in the United States, Canada, the United Kingdom, Mexico, South Korea, Taiwan, Japan, and Australia. 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.

COST Income Statement

2023-02-12

Condensed Consolidated Statements Of Income - USD ($) shares in Thousands, $ in Millions	3 Months Ended		6 Months Ended
	Feb. 12, 2023	Feb. 13, 2022	Feb. 12, 2023	Feb. 13, 2022
REVENUE
Total Revenue	$ 55,266	$ 51,904	$ 109,703	$ 102,267
OPERATING EXPENSES
Merchandise costs	48,423	45,517	96,192	89,469
Selling, general and administrative	4,940	4,575	9,857	9,293
Operating income	1,903	1,812	3,654	3,505
OTHER INCOME (EXPENSE)
Interest expense	(34)	(36)	(68)	(75)
Interest income and other, net	114	25	167	67
INCOME BEFORE INCOME TAXES	1,983	1,801	3,753	3,497
Provision for income taxes	517	481	923	832
Net income including noncontrolling interests	1,466	1,320	2,830	2,665
Net income attributable to noncontrolling interests	0	(21)	0	(42)
NET INCOME ATTRIBUTABLE TO COSTCO	$ 1,466	$ 1,299	$ 2,830	$ 2,623
NET INCOME PER COMMON SHARE ATTRIBUTABLE TO COSTCO:
Basic (in dollars per share)	$ 3.30	$ 2.93	$ 6.37	$ 5.91
Diluted (in dollars per share)	$ 3.30	$ 2.92	$ 6.37	$ 5.90
Shares used in calculation (000's)
Basic (shares)	443,877	443,623	443,857	443,500
Diluted (shares)	444,475	444,916	444,503	444,760
Net Sales
REVENUE
Total Revenue	$ 54,239	$ 50,937	$ 107,676	$ 100,354
Membership fees
REVENUE
Total Revenue	$ 1,027	$ 967	$ 2,027	$ 1,913

COST Balance Sheet

2023-02-12

Condensed Consolidated Balance Sheets - USD ($)

Feb. 12, 2023

Aug. 28, 2022

CURRENT ASSETS

Cash and cash equivalents

$ 12,970,000,000

$ 10,203,000,000

Short-term investments

735,000,000

846,000,000

Receivables, net

2,714,000,000

2,241,000,000

Merchandise inventories

16,081,000,000

17,907,000,000

Other current assets

1,830,000,000

1,499,000,000

Total current assets

34,330,000,000

32,696,000,000

OTHER ASSETS

Property and equipment, net

25,724,000,000

24,646,000,000

Operating lease right-of-use assets

2,859,000,000

2,774,000,000

Other long-term assets

3,935,000,000

4,050,000,000

TOTAL ASSETS

66,848,000,000

64,166,000,000

CURRENT LIABILITIES

Accounts payable

16,407,000,000

17,848,000,000

Accrued salaries and benefits

4,483,000,000

4,381,000,000

Accrued member rewards

2,016,000,000

1,911,000,000

Deferred membership fees

2,412,000,000

2,174,000,000

Current portion of long-term debt

^[1]

76,000,000

73,000,000

Other current liabilities

7,122,000,000

5,611,000,000

Total current liabilities

32,516,000,000

31,998,000,000

OTHER LIABILITIES

Long-term debt, excluding current portion

6,506,000,000

6,484,000,000

Long-term operating lease liabilities

2,557,000,000

2,482,000,000

Other long-term liabilities

2,470,000,000

2,555,000,000

TOTAL LIABILITIES

44,049,000,000

43,519,000,000

EQUITY

Preferred stock $.005 par value; 100,000,000 shares authorized; no shares issued and outstanding

Common stock $0.005 par value; 900,000,000 shares authorized; 443,550,000 and 442,664,000 shares issued and outstanding

2,000,000

Additional paid-in capital

7,123,000,000

6,884,000,000

Accumulated other comprehensive loss

(1,672,000,000)

(1,829,000,000)

Retained earnings

17,341,000,000

15,585,000,000

Total Costco stockholders' equity

22,794,000,000

20,642,000,000

Noncontrolling interests

5,000,000

TOTAL EQUITY

22,799,000,000

20,647,000,000

TOTAL LIABILITIES AND EQUITY

$ 66,848,000,000

$ 64,166,000,000

[1]	Net of unamortized debt discounts and issuance costs