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Costco Wholesale Corp. (COST)
NASDAQ:COST
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Costco (COST) Price & Analysis

24,093 Followers

COST Stock Chart & Stats

$999.89
$2.28(0.25%)
At close: 4:00 PM EST
$999.89
$2.28(0.25%)

Bulls Say, Bears Say

Bulls Say
Balance Sheet StrengthCostco's very low leverage and materially expanded equity base provide durable financial flexibility. With debt-to-equity down to ~0.07 TTM and high ROE, the company can fund organic expansion, absorb cyclical shocks, and prioritize capital allocation (warehouses, capex, dividends) without stressing solvency.
Robust Cash GenerationSustained high operating cash and meaningful free cash flow support recurring investment and shareholder returns. With OCF and FCF in the multibillion range and consistent conversion, Costco can fund its ~$6.5B FY capex program, dividend increases, and new warehouses while retaining runway for strategic initiatives.
Membership Health & LoyaltyHigh renewal rates and growing paid/executive memberships create a recurring revenue moat that stabilizes margins and demand. Membership fees subsidize low-price goods, enhance stickiness, and support long-term unit economics, making top-line growth less cyclically dependent than pure transactional retailers.
Bears Say
Gross Margin PressureStrategic price investments and mix shifts into lower-margin categories (gas, e-commerce, pharmacy) are compressing core margins. Persistent margin pressure would reduce operating leverage and limit the pace of margin recovery, making profit growth more reliant on volume and tight SG&A control.
Delivery/logistics DependencyDependence on third-party delivery partners exposes Costco to service risk, margin dilution, and scaling constraints. If management must vertically integrate to protect same-day capabilities, that could raise sustained capex and operating costs, complicating logistics and reducing near-term free cash flow efficiency.
Tariff Refund & Legal UncertaintyAmbiguity around Section 301 refunds and an ongoing lawsuit about returning proceeds to members creates operational and financial uncertainty. Delays or adverse rulings could affect cash timing, member goodwill, and require reserves or legal costs, complicating capital return planning and member communications.

Costco News

COST FAQ

What was Costco Wholesale Corp.’s price range in the past 12 months?
Costco Wholesale Corp. lowest stock price was $844.06 and its highest was $1096.50 in the past 12 months.
    What is Costco Wholesale Corp.’s market cap?
    Costco Wholesale Corp.’s market cap is $404.88B.
      When is Costco Wholesale Corp.’s upcoming earnings report date?
      Costco Wholesale Corp.’s upcoming earnings report date is Sep 24, 2026 which is in 74 days.
        How were Costco Wholesale Corp.’s earnings last quarter?
        Costco Wholesale Corp. released its earnings results on May 28, 2026. The company reported $4.93 earnings per share for the quarter, the consensus estimate of $4.93 by $0.
          Is Costco Wholesale Corp. overvalued?
          According to Wall Street analysts Costco Wholesale Corp.’s price is currently Undervalued. Get more investment ideas with TipRanks Premium
            Does Costco Wholesale Corp. pay dividends?
            Costco Wholesale Corp. pays a Quarterly dividend of $1.47 which represents an annual dividend yield of 0.59%. See more information on Costco Wholesale Corp. dividends here
              What is Costco Wholesale Corp.’s EPS estimate?
              Costco Wholesale Corp.’s EPS estimate is 6.57.
                How many shares outstanding does Costco Wholesale Corp. have?
                Costco Wholesale Corp. has 443,478,800 shares outstanding.
                  What happened to Costco Wholesale Corp.’s price movement after its last earnings report?
                  Costco Wholesale Corp. reported an EPS of $4.93 in its last earnings report, expectations of $4.93. Following the earnings report the stock price went down -3.907%.
                    Which hedge fund is a major shareholder of Costco Wholesale Corp.?
                    Currently, no hedge funds are holding shares in COST
                    What is the TipRanks Smart Score and how is it calculated?
                    Smart Score combines eight research factors - such as analyst recommendations, hedge fund trends, and technical indicators - to measure a stock’s outlook. These signals are unified into a single score that reflects bullish or bearish momentum. See detailed methodology

                      Company Description

                      Costco Wholesale Corp.

                      Costco Wholesale Corporation, alongside its group entities, operates membership-based retail warehouses across a broad international scope, spanning the United States, Puerto Rico, Canada, the United Kingdom, Mexico, Japan, South Korea, Australia, Spain, France, Iceland, China, and Taiwan. These outlets provide customers with an extensive array of both well-known branded and proprietary private-label products. Their vast inventory includes household staples, shelf-stable groceries, confectionery, chilled and frozen items, alcoholic beverages, tobacco, and deli selections. Furthermore, the stores stock major appliances, consumer electronics, health and beauty aids, hardware, garden and patio furniture, sporting goods, vehicle tires, toys, seasonal merchandise, office supplies, automotive maintenance products, postage services, event tickets, apparel, small kitchen appliances, home furnishings, domestic textiles, kitchenware, custom-order kiosks, and fine jewelry. Fresh departments offer meat, produce, a service deli, and bakery items. Beyond retail goods, Costco provides in-store amenities such as pharmacies, optical clinics, food courts, hearing aid centers, and tire installation facilities, in addition to managing 636 gas stations. The company also extends its offerings online through business delivery, travel booking, and same-day grocery fulfillment in various countries. As of August 29, 2021, Costco maintained a global network of 815 membership warehouses, with 564 located 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, and one each in Iceland, France, and China. Digital storefronts facilitate e-commerce operations in the United States, Canada, the United Kingdom, Mexico, South Korea, Taiwan, Japan, and Australia. Founded in 1976, the enterprise was originally known as Costco Companies, Inc. before officially adopting the name Costco Wholesale Corporation in August 1999. Its corporate headquarters are situated in Issaquah, Washington.

                      Costco (COST) Earnings & Revenues

                      COST Company Deck

                      COST Earnings Call

                      Q3 2026
                      0:00 / 0:00
                      Earnings Call Sentiment|Positive
                      The call highlighted strong top‑line growth (net sales +11.6%, comps +9.8%), robust digital momentum (digital comps +21.5%, site/app traffic +37%), record gas volumes and solid membership metrics (membership income +10.7%, executive memberships +9.6%), supported by continued investment in warehouses, digital and same‑day delivery. Headwinds included gross margin pressure driven by mix and strategic price investments, near‑term inflation risks (notably gas and resin‑driven nonfood inflation), moderated membership growth rate (4.1%) and some one‑time SG&A offsets (healthcare, legal). Many of the negative items were framed as strategic or cyclical (e.g., temporary margin investments to drive traffic, lapping LIFO charges) and management emphasized strong demand, stability in supply chain, and long‑term growth initiatives (real estate pipeline, retail media, AI). Overall, the positives on sales, digital acceleration, membership health and record volumes materially outweigh the transitory and managed challenges discussed on the call.View all COST earnings summaries

                      COST Net sales Breakdown

                      40.59%40.59%26.38%14.07%18.96%
                      40.59% Foods and Sundries
                      26.38% Non-Foods
                      14.07% Fresh Foods
                      18.96% Warehouse Ancillary and Other Businesses
                      tipranks

                      COST Stock 12 Month Forecast

                      Average Price Target

                      $1,100.62
                      ▲(10.07% Upside)
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