---
title: Costco (COST) — intrinsic value and fair price
canonical: https://sweetvaluelab.com/stocks/cost
ticker: COST
as_of: 2026-10-17
sector: Consumer Defensive
industry: Discount Stores
---
# Costco (COST)

Costco (COST) closed at $989.11 on Oct 16, 2026, overvalued by 145% vs its model value of $404.25 (from a five-year discounted cash flow).

## Key figures

| Figure | Value |
| --- | ---: |
| Last close | $989.11 (Oct 16, 2026) |
| Model value (from a five-year discounted cash flow) | $404.25 |
| Price vs model | overvalued by 145% vs model |
| Range of that model | $286.40 – $772.89 |
| Market value | $438.3B |
| P/E (fiscal 2026) | 47.6 |
| Net margin (fiscal 2026) | 3.0% |
| Free cash flow (fiscal 2026) | $9.4B |
| Dividend yield (trailing twelve months) | 0.56% |
| Beta | 0.87 |
| Cost of capital (WACC) | 8.80% |
| Business classification | Mature & Stable (Low/slowing growth (~9% recent), Thin margins (3.0% net margin)) |

## On the stock lists

| List | Place | Figure | Page |
| --- | ---: | ---: | --- |
| Largest companies | #24 | $438.3B | https://sweetvaluelab.com/lists/largest-companies |

## Dividends

| Figure | Value |
| --- | ---: |
| Trailing dividend yield | 0.56% |
| Dividends per share, last 12 months | $5.54 |
| Dividends / free cash flow (fiscal 2026) | 26.2% |
| Raised | 21+ years in a row |
| Growth over 5 years | 12.5% a year |
| Latest payment | $1.47, ex-date Jul 24, 2026, paid Aug 7, 2026 |

| Year of payments | Dividends per share |
| --- | ---: |
| To Oct 28, 2021 | $3.07 |
| To Oct 27, 2022 | $3.49 |
| To Nov 2, 2023 | $3.96 |
| To Jul 26, 2024 | $18.34 |
| To Aug 1, 2025 | $4.92 |
| Trailing twelve months (to Jul 24, 2026) | $5.54 |

## Valuation models

Each model's value per share and the role the engine gave it for this business. The headline above is one model's value; every other model is listed with its own, and each has a page of its own under the valuation. Computed Oct 17, 2026.

| Model | Role | Value per share | Low | High |
| --- | --- | ---: | ---: | ---: |
| DCF · Perpetuity growth · 5y | primary | $404.25 | $286.40 | $772.89 |
| DCF · Perpetuity growth · 10y | cross check | $439.30 | $315.66 | $819.86 |
| DCF · EBITDA exit · 5y | cross check | $511.03 | $346.41 | $705.52 |
| DCF · EBITDA exit · 10y | cross check | $527.47 | $360.81 | $751.99 |
| P/E · peers | cross check | $403.76 | $345.55 | $506.90 |
| P/E · own history | cross check | $1,092.62 | $910.55 | $1,196.01 |
| PEG | sanity check | $228.65 | $228.65 | $228.65 |
| EV/EBITDA · peers | cross check | $410.50 | $373.75 | $474.94 |
| EV/Revenue · peers | cross check | $599.46 | $287.10 | $874.24 |
| Earnings power value | cross check | $172.41 | $151.90 | $201.34 |
| Dividend discount | cross check | $85.19 | $63.83 | $140.93 |

## Insider activity (SEC Form 4)

Past 90 days: 0 open-market buys ($0) and 3 open-market sales ($3.8M); 10b5-1 plan sales included.

| Date | Insider | Relationship | Transaction | Shares | Value |
| --- | --- | --- | --- | ---: | ---: |
| Oct 13, 2026 | Wilcox William Richard | Executive Vice President | Open-market sell | 1,100 | $1.1M |
| Sep 29, 2026 | Frates Caton | Sr. Executive Vice President | Open-market sell | 800.638 | $733,328.4 |
| Sep 29, 2026 | Adamo Claudine | Executive Vice President | Open-market sell | 2,200 | $2.0M |
| Sep 10, 2026 | Wilcox William Richard | Executive Vice President | Grant / award | 4,129 | $0 |
| Sep 10, 2026 | Wilcox William Richard | Executive Vice President | Tax withholding | 1,934.609 | $1.7M |

## Recent SEC filings

| Filed | Form | What | Filing |
| --- | --- | --- | --- |
| Oct 16, 2026 | 8-K | 5.02 Departure/Election of Directors or Officers; 9.01 Financial Statements and Exhibits | https://www.sec.gov/Archives/edgar/data/909832/000090983226000100/cost-20261013.htm |
| Oct 14, 2026 | 8-K | 8.01 Other Events; 9.01 Financial Statements and Exhibits | https://www.sec.gov/Archives/edgar/data/909832/000090983226000096/cost-20261014.htm |
| Oct 7, 2026 | 10-K | Annual report | https://www.sec.gov/Archives/edgar/data/909832/000090983226000093/cost-20260830.htm |
| Sep 24, 2026 | 8-K | 2.02 Results of Operations (Earnings); 9.01 Financial Statements and Exhibits | https://www.sec.gov/Archives/edgar/data/909832/000090983226000084/cost-20260924.htm |
| Jul 8, 2026 | 8-K | 8.01 Other Events; 9.01 Financial Statements and Exhibits | https://www.sec.gov/Archives/edgar/data/909832/000090983226000060/cost-20260707.htm |

## Superinvestors holding it (latest 13F)

| Manager | Quarter | Shares | Value |
| --- | --- | ---: | ---: |
| Thomas Gayner | 2026-06-30 | 39,150 | $36.6M |
| Bridgewater | 2026-06-30 | 26,503 | $24.8M |
| Thomas Russo | 2026-06-30 | 3,399 | $3.2M |
| Christopher Bloomstran | 2026-06-30 | 3,354 | $3.1M |

8 tracked managers in all.

## About

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 furnish…

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Source: https://sweetvaluelab.com/stocks/cost (SweetValueLab, free, no account). Prices and statements from Financial Modeling Prep; filings from SEC EDGAR. Research and educational data, not investment advice; nothing here is a recommendation to buy, sell or hold any security.