Costco Wholesale Corporation

SNSE:COSTCL Stock Report

Market Cap: CL$358.6t

Costco Wholesale Valuation

Is COSTCL undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

0/6

Valuation Score 0/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of COSTCL when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: COSTCL (CLP774230) is trading above our estimate of fair value (CLP713397.22)

Significantly Below Fair Value: COSTCL is trading above our estimate of fair value.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for COSTCL?

Other financial metrics that can be useful for relative valuation.

COSTCL key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue1.6x
Enterprise Value/EBITDA34.4x
PEG Ratio7.2x

Price to Earnings Ratio vs Peers

How does COSTCL's PE Ratio compare to its peers?

The above table shows the PE ratio for COSTCL vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average26.3x
CENCOSUD Cencosud
29.5x37.4%CL$5.3t
WMT Walmart
41.2x12.4%US$642.4b
TGT Target
15.9x5.1%US$71.9b
WALMEX * Wal-Mart de México. de
18.7x9.4%Mex$1.0t
COSTCL Costco Wholesale
53.3x7.4%CL$399.5b

Price-To-Earnings vs Peers: COSTCL is expensive based on its Price-To-Earnings Ratio (53.3x) compared to the peer average (26.3x).

Price to Earnings Ratio vs Industry

How does COSTCL's PE Ratio compare vs other companies in the South American Consumer Retailing Industry?

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
Industry Avg.n/a15.4%
 n/an/an/a
No. of CompaniesPE048121620

Fetching data

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
Industry Avg.n/a15.4%
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No more companies

Price-To-Earnings vs Industry: COSTCL is expensive based on its Price-To-Earnings Ratio (53.3x) compared to the South American Consumer Retailing industry average (16.6x).

Price to Earnings Ratio vs Fair Ratio

What is COSTCL's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

COSTCL PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio53.3x
Fair PE Ratio23.6x

Price-To-Earnings vs Fair Ratio: COSTCL is expensive based on its Price-To-Earnings Ratio (53.3x) compared to the estimated Fair Price-To-Earnings Ratio (23.6x).

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst COSTCL forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentCL$774,230.00
CL$826,982.81
+6.8%
10.7%CL$942,669.00CL$457,867.80n/a31
Sep ’25CL$774,230.00
CL$822,522.96
+6.2%
11.2%CL$979,660.50CL$475,835.10n/a30
Aug ’25CL$774,230.00
CL$803,363.48
+3.8%
11.3%CL$955,720.50CL$464,207.10n/a30
Jul ’25CL$799,830.00
CL$798,544.01
-0.2%
10.4%CL$922,281.75CL$482,424.30n/a30
Jun ’25CL$696,890.00
CL$756,332.76
+8.5%
9.9%CL$862,957.60CL$459,020.00n/a30
May ’25CL$696,890.00
CL$740,135.20
+6.2%
9.4%CL$829,353.60CL$476,640.00n/a31
Apr ’25CL$535,580.00
CL$746,229.85
+39.3%
12.4%CL$887,443.00CL$490,300.00n/a32
Mar ’25CL$535,580.00
CL$691,781.24
+29.2%
11.5%CL$806,643.75CL$469,320.00n/a33
Feb ’25CL$535,580.00
CL$625,052.98
+16.7%
10.3%CL$729,332.30CL$447,672.00n/a33
Jan ’25CL$535,580.00
CL$583,619.67
+9.0%
9.9%CL$659,362.25CL$424,824.00n/a34
Dec ’24CL$535,580.00
CL$524,895.18
-2.0%
7.9%CL$592,246.00CL$400,637.00n/a33
Nov ’24CL$535,580.00
CL$552,390.80
+3.1%
7.8%CL$633,624.00CL$428,628.00n/a33
Oct ’24CL$476,560.00
CL$531,129.59
+11.5%
8.3%CL$615,672.00CL$407,430.00n/a33
Sep ’24CL$476,560.00
CL$485,296.50
+1.8%
8.7%CL$555,172.80CL$407,638.40CL$774,230.0032
Aug ’24n/a
CL$464,251.05
0%
7.6%CL$532,669.75CL$398,453.75CL$774,230.0032
Jul ’24n/a
CL$442,292.50
0%
7.0%CL$511,810.00CL$382,850.00CL$799,830.0032
Jun ’24n/a
CL$439,577.91
0%
6.9%CL$511,079.75CL$382,303.75CL$696,890.0031
May ’24CL$482,045.00
CL$442,248.18
-8.3%
7.2%CL$512,127.50CL$383,087.50CL$696,890.0031
Apr ’24n/a
CL$431,872.66
0%
7.3%CL$501,465.85CL$375,112.25CL$535,580.0032
Mar ’24n/a
CL$458,712.96
0%
8.0%CL$528,891.50CL$393,128.80CL$535,580.0031
Feb ’24n/a
CL$433,729.89
0%
8.3%CL$499,459.25CL$353,947.50CL$535,580.0030
Jan ’24CL$482,045.00
CL$478,788.98
-0.7%
8.9%CL$567,768.50CL$393,070.50CL$535,580.0030
Dec ’23n/a
CL$490,301.13
0%
8.4%CL$571,746.50CL$400,222.55CL$535,580.0027
Nov ’23CL$482,045.00
CL$553,018.55
+14.7%
8.1%CL$641,387.50CL$448,971.25CL$535,580.0027
Oct ’23n/a
CL$559,622.00
0%
9.1%CL$673,932.00CL$451,276.00CL$476,560.0028
Sep ’23n/a
CL$512,541.86
0%
9.2%CL$607,827.00CL$394,460.00CL$476,560.0028

Analyst Forecast: Target price is less than 20% higher than the current share price.

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