COSTCO WHOLESALE CORP (1COST.MI) Stock Fundamental Analysis
Europe - BIT:1COST - US22160K1051 - Common Stock
823.4 EUR
-18.9 (-2.24%)
Taking everything into account, 1COST scores 6 out of 10 in our fundamental rating. 1COST was compared to 21 industry peers in the Consumer Staples Distribution & Retail industry. 1COST scores excellent points on both the profitability and health parts. This is a solid base for a good stock. While showing a medium growth rate, 1COST is valued expensive at the moment. These ratings could make 1COST a good candidate for quality investing.
1. Profitability
1.1 Basic Checks
1COST had positive earnings in the past year.
In the past year 1COST had a positive cash flow from operations.
Each year in the past 5 years 1COST has been profitable.
Each year in the past 5 years 1COST had a positive operating cash flow.
1.2 Ratios
The Return On Assets of 1COST (10.39%) is better than 96.30% of its industry peers.
1COST has a better Return On Equity (28.91%) than 92.59% of its industry peers.
1COST's Return On Invested Capital of 19.92% is amongst the best of the industry. 1COST outperforms 96.30% of its industry peers.
The Average Return On Invested Capital over the past 3 years for 1COST is significantly above the industry average of 9.40%.
The last Return On Invested Capital (19.92%) for 1COST is above the 3 year average (18.60%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 10.39% | ||
| ROE | 28.91% | ||
| ROIC | 19.92% |
ROA(3y)9.59%
ROA(5y)8.89%
ROE(3y)28.2%
ROE(5y)27%
ROIC(3y)18.6%
ROIC(5y)17.81%
1.3 Margins
1COST has a better Profit Margin (2.92%) than 77.78% of its industry peers.
In the last couple of years the Profit Margin of 1COST has grown nicely.
With a decent Operating Margin value of 3.75%, 1COST is doing good in the industry, outperforming 66.67% of the companies in the same industry.
In the last couple of years the Operating Margin of 1COST has grown nicely.
1COST's Gross Margin of 12.78% is on the low side compared to the rest of the industry. 1COST is outperformed by 81.48% of its industry peers.
In the last couple of years the Gross Margin of 1COST has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 3.75% | ||
| PM (TTM) | 2.92% | ||
| GM | 12.78% |
OM growth 3Y-0.72%
OM growth 5Y3.3%
PM growth 3Y4.25%
PM growth 5Y3.86%
GM growth 3Y-0.71%
GM growth 5Y-0.57%
2. Health
2.1 Basic Checks
1COST has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
1COST has about the same amout of shares outstanding than it did 1 year ago.
The number of shares outstanding for 1COST has been increased compared to 5 years ago.
1COST has a better debt/assets ratio than last year.
2.2 Solvency
1COST has an Altman-Z score of 9.68. This indicates that 1COST is financially healthy and has little risk of bankruptcy at the moment.
1COST has a Altman-Z score of 9.68. This is amongst the best in the industry. 1COST outperforms 100.00% of its industry peers.
1COST has a debt to FCF ratio of 0.78. This is a very positive value and a sign of high solvency as it would only need 0.78 years to pay back of all of its debts.
1COST has a Debt to FCF ratio of 0.78. This is amongst the best in the industry. 1COST outperforms 96.30% of its industry peers.
A Debt/Equity ratio of 0.21 indicates that 1COST is not too dependend on debt financing.
1COST has a Debt to Equity ratio of 0.21. This is amongst the best in the industry. 1COST outperforms 92.59% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.21 | ||
| Debt/FCF | 0.78 | ||
| Altman-Z | 9.68 |
ROIC/WACC2.29
WACC8.71%
2.3 Liquidity
1COST has a Current Ratio of 1.02. This is a normal value and indicates that 1COST is financially healthy and should not expect problems in meeting its short term obligations.
With a decent Current ratio value of 1.02, 1COST is doing good in the industry, outperforming 70.37% of the companies in the same industry.
A Quick Ratio of 0.52 indicates that 1COST may have some problems paying its short term obligations.
1COST has a Quick ratio (0.52) which is comparable to the rest of the industry.
The current and quick ratio evaluation for 1COST is rather negative, while it does have excellent solvency and profitability. These ratios do not necessarly indicate liquidity issues and need to be evaluated against the specifics of the business.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.02 | ||
| Quick Ratio | 0.52 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 9.23% over the past year.
1COST shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 15.11% yearly.
Looking at the last year, 1COST shows a small growth in Revenue. The Revenue has grown by 5.94% in the last year.
The Revenue has been growing by 10.75% on average over the past years. This is quite good.
EPS 1Y (TTM)9.23%
EPS 3Y14.32%
EPS 5Y15.11%
EPS Q2Q%13.23%
Revenue 1Y (TTM)5.94%
Revenue growth 3Y9.1%
Revenue growth 5Y10.75%
Sales Q2Q%8.02%
3.2 Future
The Earnings Per Share is expected to grow by 9.40% on average over the next years. This is quite good.
Based on estimates for the next years, 1COST will show a small growth in Revenue. The Revenue will grow by 6.62% on average per year.
EPS Next Y11.86%
EPS Next 2Y11.17%
EPS Next 3Y10.86%
EPS Next 5Y9.4%
Revenue Next Year7.7%
Revenue Next 2Y7.6%
Revenue Next 3Y7.48%
Revenue Next 5Y6.62%
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 54.46, which means the current valuation is very expensive for 1COST.
Compared to the rest of the industry, the Price/Earnings ratio of 1COST indicates a slightly more expensive valuation: 1COST is more expensive than 74.07% of the companies listed in the same industry.
When comparing the Price/Earnings ratio of 1COST to the average of the S&P500 Index (25.83), we can say 1COST is valued expensively.
The Price/Forward Earnings ratio is 46.87, which means the current valuation is very expensive for 1COST.
Based on the Price/Forward Earnings ratio, 1COST is valued more expensive than 81.48% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 32.68. 1COST is valued slightly more expensive when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 54.46 | ||
| Fwd PE | 46.87 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, 1COST is valued a bit more expensive than 77.78% of the companies in the same industry.
1COST's Price/Free Cash Flow ratio is a bit more expensive when compared to the industry. 1COST is more expensive than 77.78% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 58.18 | ||
| EV/EBITDA | 33.4 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
The excellent profitability rating of 1COST may justify a higher PE ratio.
PEG (NY)4.59
PEG (5Y)3.6
EPS Next 2Y11.17%
EPS Next 3Y10.86%
5. Dividend
5.1 Amount
With a yearly dividend of 0.55%, 1COST is not a good candidate for dividend investing.
1COST's Dividend Yield is slightly below the industry average, which is at 3.89.
With a Dividend Yield of 0.55, 1COST pays less dividend than the S&P500 average, which is at 2.39.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.55% |
5.2 History
The dividend of 1COST is nicely growing with an annual growth rate of 53.89%!
Dividend Growth(5Y)53.89%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
1COST pays out 19.69% of its income as dividend. This is a sustainable payout ratio.
The dividend of 1COST is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP19.69%
EPS Next 2Y11.17%
EPS Next 3Y10.86%
BIT:1COST (8/22/2025, 7:00:00 PM)
823.4
-18.9 (-2.24%)
Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupConsumer Staples Distribution & Retail
GICS IndustryConsumer Staples Distribution & Retail
Earnings (Last)
Earnings (Next)
Inst Owners71.83%
Inst Owner ChangeN/A
Ins Owners0.09%
Ins Owner ChangeN/A
Market Cap365.16B
Revenue(TTM)268.78B
Net Income(TTM)7.84B
Analysts78.14
Price Target933.16 (13.33%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.55% |
Yearly Dividend17.5
Dividend Growth(5Y)53.89%
DP19.69%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-2.51%
Min EPS beat(2)-4.04%
Max EPS beat(2)-0.98%
EPS beat(4)2
Avg EPS beat(4)0.45%
Min EPS beat(4)-4.04%
Max EPS beat(4)4.5%
EPS beat(8)5
Avg EPS beat(8)1.26%
EPS beat(12)6
Avg EPS beat(12)-0.44%
EPS beat(16)10
Avg EPS beat(16)1.2%
Revenue beat(2)0
Avg Revenue beat(2)-1.49%
Min Revenue beat(2)-1.94%
Max Revenue beat(2)-1.05%
Revenue beat(4)0
Avg Revenue beat(4)-1.86%
Min Revenue beat(4)-2.61%
Max Revenue beat(4)-1.05%
Revenue beat(8)0
Avg Revenue beat(8)-1.78%
Revenue beat(12)0
Avg Revenue beat(12)-2.05%
Revenue beat(16)1
Avg Revenue beat(16)-1.63%
PT rev (1m)-1.81%
PT rev (3m)-1.81%
EPS NQ rev (1m)-0.08%
EPS NQ rev (3m)-0.44%
EPS NY rev (1m)-0.05%
EPS NY rev (3m)0.4%
Revenue NQ rev (1m)0.09%
Revenue NQ rev (3m)0.7%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.02%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 54.46 | ||
| Fwd PE | 46.87 | ||
| P/S | 1.58 | ||
| P/FCF | 58.18 | ||
| P/OCF | 34.26 | ||
| P/B | 15.69 | ||
| P/tB | 15.69 | ||
| EV/EBITDA | 33.4 |
EPS(TTM)15.12
EY1.84%
EPS(NY)17.57
Fwd EY2.13%
FCF(TTM)14.15
FCFY1.72%
OCF(TTM)24.03
OCFY2.92%
SpS519.87
BVpS52.47
TBVpS52.47
PEG (NY)4.59
PEG (5Y)3.6
Graham NumberN/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 10.39% | ||
| ROE | 28.91% | ||
| ROCE | 26.6% | ||
| ROIC | 19.92% | ||
| ROICexc | 32.76% | ||
| ROICexgc | 32.76% | ||
| OM | 3.75% | ||
| PM (TTM) | 2.92% | ||
| GM | 12.78% | ||
| FCFM | 2.72% |
ROA(3y)9.59%
ROA(5y)8.89%
ROE(3y)28.2%
ROE(5y)27%
ROIC(3y)18.6%
ROIC(5y)17.81%
ROICexc(3y)29.37%
ROICexc(5y)29.08%
ROICexgc(3y)30.8%
ROICexgc(5y)30.84%
ROCE(3y)24.84%
ROCE(5y)23.78%
ROICexgc growth 3Y-2.2%
ROICexgc growth 5Y2.32%
ROICexc growth 3Y-1.15%
ROICexc growth 5Y1.43%
OM growth 3Y-0.72%
OM growth 5Y3.3%
PM growth 3Y4.25%
PM growth 5Y3.86%
GM growth 3Y-0.71%
GM growth 5Y-0.57%
F-Score7
Asset Turnover3.56
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.21 | ||
| Debt/FCF | 0.78 | ||
| Debt/EBITDA | 0.46 | ||
| Cap/Depr | 216.67% | ||
| Cap/Sales | 1.9% | ||
| Interest Coverage | 84.03 | ||
| Cash Conversion | 99.87% | ||
| Profit Quality | 93.29% | ||
| Current Ratio | 1.02 | ||
| Quick Ratio | 0.52 | ||
| Altman-Z | 9.68 |
F-Score7
WACC8.71%
ROIC/WACC2.29
Cap/Depr(3y)207.83%
Cap/Depr(5y)199.15%
Cap/Sales(3y)1.78%
Cap/Sales(5y)1.77%
Profit Quality(3y)85.7%
Profit Quality(5y)103.11%
High Growth Momentum
Growth
EPS 1Y (TTM)9.23%
EPS 3Y14.32%
EPS 5Y15.11%
EPS Q2Q%13.23%
EPS Next Y11.86%
EPS Next 2Y11.17%
EPS Next 3Y10.86%
EPS Next 5Y9.4%
Revenue 1Y (TTM)5.94%
Revenue growth 3Y9.1%
Revenue growth 5Y10.75%
Sales Q2Q%8.02%
Revenue Next Year7.7%
Revenue Next 2Y7.6%
Revenue Next 3Y7.48%
Revenue Next 5Y6.62%
EBIT growth 1Y11.75%
EBIT growth 3Y8.31%
EBIT growth 5Y14.41%
EBIT Next Year40.12%
EBIT Next 3Y19.9%
EBIT Next 5Y14.7%
FCF growth 1Y25.66%
FCF growth 3Y7.27%
FCF growth 5Y14.57%
OCF growth 1Y26.17%
OCF growth 3Y8.17%
OCF growth 5Y12.27%
COSTCO WHOLESALE CORP / 1COST.MI FAQ
What is the fundamental rating for 1COST stock?
ChartMill assigns a fundamental rating of 6 / 10 to 1COST.MI.
Can you provide the valuation status for COSTCO WHOLESALE CORP?
ChartMill assigns a valuation rating of 1 / 10 to COSTCO WHOLESALE CORP (1COST.MI). This can be considered as Overvalued.
Can you provide the profitability details for COSTCO WHOLESALE CORP?
COSTCO WHOLESALE CORP (1COST.MI) has a profitability rating of 8 / 10.
What is the valuation of COSTCO WHOLESALE CORP based on its PE and PB ratios?
The Price/Earnings (PE) ratio for COSTCO WHOLESALE CORP (1COST.MI) is 54.46 and the Price/Book (PB) ratio is 15.69.
Can you provide the financial health for 1COST stock?
The financial health rating of COSTCO WHOLESALE CORP (1COST.MI) is 8 / 10.