COST

$989.29

Public overview and default valuation.

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Valuation Details
Default assumptions: 10Y forecast, 9% market return, 2.5% terminal growth, 5.91% trendline growth.
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$908.61

With 20% Margin of Safety (MoS):

$726.89
-26.52% downside
Capital Efficiency
Average Quarterly ROIC
11.25%
Cost of Capital (estimated)10%
Value StatusCreating Value

The company is earning a higher return on invested capital than it costs to raise that capital — a sign of strong, efficient value creation.

Complete historical ROIC is available with
.
Fundamental Score
60
NeutralWeighted across 6 signals
DCF Discount
26.5% premium to price
6
FCF Yield
4.7% trailing FCF yield
67
ROIC vs WACC
ROIC 11.3% vs WACC 10.0% (1.1x)
56
Net Debt / FCF
Net cash position
100
Buybacks
Share count shrinking
80
FCF CAGR (5Y)
12.0% 5Y FCF CAGR
85
Strengths: Net Debt / FCF, Buybacks. Concerns: DCF Discount.
Narrative Score
80
Strong
Weighted across 6 recent drivers · Last 30 daysVs 6-Month Baseline: High (91th pct)
Trend: Improving upConfidence: 100%Updated: 3h ago
Sources: 216 (News 200 · Analyst 16)
Drivers
132 news sentiment+2.9
62 regulatory scrutiny+1.4
4 upgrade headlines+0.5
2 legal risk-0.2
2 analyst upgrades+0.0
Analyst downgrades-0.0
Other Metrics
P/E52.9
Profit Margin3.0%
Owner Earnings$16.54b
One Dollar Premise34.00%
Debt/Equity1.75
Current Ratio1.02
PEG20.989
Free Cash Flow (in millions)
20062007200820092010201120122013201420152016201720182019202020212022202320242025
$3,040$3,462$3,775$3,342$3,835$4,488$4,537$5,520$5,977$6,678$5,941$9,228$8,743$9,354$11,671$12,546$11,283$15,391$16,049$20,523
How Intrinziq Estimates Fair Value

Intrinziq estimates Costco Wholesale Corporation's intrinsic value using a discounted cash flow (DCF) model based on free cash flow trends and a market-based discount rate. The model projects future cash flows over ten years and discounts them using a market return assumption to estimate fair value.

Costco Wholesale CorporationConsumer Defensive

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.

Last updated: Feb 06, 2026
Data sources: Financial Modeling Prep
This valuation is based on assumptions and publicly available data. It is not financial advice or a recommendation to buy or sell any security. Always do your own research before making investment decisions.