Added to YB: 2025-05-01
Pitch date: 2025-04-29
COST [neutral]
Costco Wholesale Corporation
-2.13%
current return
Author Info
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Company Info
Costco Wholesale Corporation, together with its subsidiaries, engages in the operation of membership warehouses in the United States, Puerto Rico, Canada, Mexico, Japan, the United Kingdom, Korea, Australia, Taiwan, China, Spain, France, Iceland, New Zealand, and Sweden.
Market Cap
$435.0B
Pitch Price
$988.71
Price Target
875.70 (-10%)
Dividend
0.53%
Sector
Consumer Staples Distribution and Retail
Category
value
Costco: Incredible Value For Members, A Premium For Investors
COST (overvalued): Exceptional retailer trading at 57x TTM EPS (54x 2025E), far above 37x 5yr avg despite 10% growth outlook. Strong business model & recession-resilient, but priced at tech startup levels. Author suggests 43x 2025E = $876 target (-10%) and recommends waiting for 28-39x entry point vs ceiling of ~52x currently.
Read full article (5 min)