Costco Wholesale Corp (COST) Valuation

Historical valuation analysis based on 1280 data points (2021-09-13 to 2026-10-16)

Founded in 1983, Costco Wholesale now operates a global chain of membership-based warehouse clubs, delivering high-quality goods and services at consistently low prices. As of its most recent fisca...

Costco Wholesale Corp (COST) currently trades at a P/E ratio of 49.63 (historical range: 32.81–63.24, median: 47.33), placing it at the 62th percentile — above its historical average, P/S ratio of 1.49 (range: 0.85–1.85, 67th percentile — above its historical average), EV/EBITDA of 37.96 (range: 23.76–49.81, 61th percentile).

Over the historical period (2021-09-13 to 2026-10-16), Costco Wholesale Corp's P/E ratio has expanded by 27% over the observed period (from an average of 41.4 to 52.6).

Costco Wholesale Corp trades above its historical valuation range, with most metrics above their median levels.

Historical Valuation Metrics

MetricCurrentMedian%ileAssessment
P/E Ratio49.6347.3362thabove its historical average
P/S Ratio1.491.3167thabove its historical average
EV/EBITDA37.9635.5861thabove its historical average
FCF Yield2.01%2.03%48thnear its historical average
Current Price: $987.10
Market Cap: $437.4B
Sector: Consumer Defensive

Costco Wholesale Corp (COST) Valuation & P/E History

Costco Wholesale Corp (COST) is a US-listed stock operating in the Consumer Defensive sector, specifically the Discount Stores industry currently trading at $987.10 with a market capitalization of $437.4 billion. This page provides historical valuation analysis for COST based on 1280 data points covering 2021-09-13 to 2026-10-16. The P/E ratio of 49.63 is above the historical median of 47.33, placing COST at the 62th percentile of its valuation range. The P/S ratio of 1.49 compares to a median of 1.31.

COST Valuation Metrics & Historical Range

The valuation table above shows Costco Wholesale Corp's current and historical valuation multiples, including P/E ratio, P/S ratio, EV/EBITDA, FCF yield, and dividend yield. Each metric is compared to its own historical range to determine whether COST is currently trading above or below its typical valuation levels.

  • P/E ratio: Price-to-earnings measures how much investors pay per dollar of earnings. A P/E above the historical median suggests COST is expensively valued; below the median suggests it is cheap.
  • P/S ratio: Price-to-sales is useful for companies with volatile or negative earnings. Lower P/S relative to history may indicate value.
  • EV/EBITDA: Enterprise value to EBITDA adjusts for debt and cash, providing a capital-structure-neutral valuation measure for Costco Wholesale Corp.
  • FCF yield: Free cash flow yield shows the cash return relative to market price. Higher yields may indicate undervaluation.

Is COST Overvalued or Undervalued?

Costco Wholesale Corp trades above its historical valuation range, with most metrics above their median levels. The overall valuation percentile of 63 combines P/E, P/S, and EV/EBITDA percentiles into a single measure of how expensive COST is relative to its own history. A percentile below 25 suggests the stock may be undervalued, while a percentile above 75 suggests it may be overvalued.

However, valuation is only one factor in investment decisions. A stock can remain "overvalued" for years if growth accelerates, or "undervalued" if the business deteriorates. Always combine valuation analysis with financial statement analysis and the full COST analysis page for a complete picture.

Valuation data is computed from historical price and fundamental data via Polygon.io and Finnhub.COST trades on NYSE/NASDAQ. This page is for informational purposes only and is not financial advice.

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