COST Costco Wholesale Corporation - Fundamental Analysis
NEUTRAL
COST Stock | Fundamental Analysis & Investment Insights
NASDAQ
•
Consumer Defensive
•
Discount Stores
Current Price
$854.5
Analyst Target
$1031.45
+20.7% Upside
52W High
$1078.23
52W Low
$844.06
At a glance
Key valuation, profitability, growth, and risk metrics.
AI Analysis
Powered by advanced machine learning algorithms
Confidence Score
72%
Analysis Accuracy
The Advanced Deterministic Scorecard shows a weak Piotroski F-Score of 4/9, indicating borderline financial health, while the Altman Z-Score is astronomically high at 778937716633.6, suggesting an extremely low risk of distress. Despite strong profitability metrics like ROE of 30.33% and solid earnings growth, the stock trades at a steep valuation (P/E of 45.87 vs sector average of 21.20), which is not fully justified by near-term growth. Insider selling and a bearish technical trend further temper optimism, though analyst consensus remains constructive with a $1031.45 target price.
Key Strengths
Exceptionally high Altman Z-Score indicates virtually no bankruptcy risk
Strong ROE of 30.33% reflects efficient use of shareholder equity
Consistent revenue and earnings growth (8.3% and 11.4% YoY, respectively)
Low Debt/Equity ratio of 0.27 shows conservative capital structure
Analyst target price implies ~20.7% upside from current levels
Key Risks
Piotroski F-Score of 4/9 signals weak financial health based on profitability, leverage, and operating efficiency trends
Elevated valuation with P/E of 45.87 significantly above sector average of 21.20
Insider activity is bearish with $8.18M in net sales over the last 6 months
Technical trend score of 0/100 indicates strong bearish momentum
Most recent Q/Q EPS growth declined by -23.3%, raising near-term concerns
AI Fair Value Estimate
Based on comprehensive analysis
$448.98
-47.5% below current price
Performance Snowflake
Multi-dimensional AI analysis across 5 key categories
Stock Price & Analyst Targets
Real-time price movements and analyst price targets
Historical Performance Trends
Long-term financial metrics and growth patterns
Valuation Metrics
Key valuation ratios and pricing indicators
Profitability, Growth & Financial Health
Detailed profit margins, ROE, debt ratios, and liquidity metrics
Sector Comparison & Peer Analysis
Compare COST against industry averages and similar companies
Insider Trading & Analyst Ratings
Track insider transactions and Wall Street analyst recommendations