Costco Wholesale Corp
NASDAQ:COST

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Costco Wholesale Corp Logo
Costco Wholesale Corp
NASDAQ:COST
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Price: 954.07 USD -0.08% Market Closed
Market Cap: 422.7B USD
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Net Margin
Costco Wholesale Corp

2.9%
Current
3%
Average
1.6%
Industry

Net Margin measures how much net income is generated as a percentage of revenues received. It helps investors assess if a company's management is generating enough profit from its sales and whether operating costs and overhead costs are being contained.

Net Margin
2.9%
=
Net Income
7.6B
/
Revenue
258.8B

Net Margin Across Competitors

Country US
Market Cap 423.6B USD
Net Margin
3%
Country US
Market Cap 741.1B USD
Net Margin
3%
Country MX
Market Cap 1T MXN
Net Margin
6%
Country JP
Market Cap 3.2T JPY
Net Margin
0%
Country AU
Market Cap 25B AUD
Net Margin
3%
Country US
Market Cap 12.4B USD
Net Margin
3%
Country TH
Market Cap 380.9B THB
Net Margin
2%
Country FR
Market Cap 8.9B EUR
Net Margin
1%
Country CN
Market Cap 24.2B HKD
Net Margin
-1%
Country US
Market Cap 2.9B USD
Net Margin
3%
Country TH
Market Cap 93.4B THB
Net Margin
3%
No Stocks Found

Costco Wholesale Corp
Glance View

Market Cap
423.6B USD
Industry
Retail
Economic Moat
Wide

Costco Wholesale Corp., a titan of the retail industry, emerged from humble beginnings to redefine how consumers experience value shopping. Founded in 1976 by James Sinegal and Jeffrey Brotman, Costco's journey began with a simple yet powerful ethos: to provide quality goods and services at the lowest possible prices. Unlike traditional retailers, Costco operates on a membership-only model, charging customers an annual fee for the privilege of accessing its wide range of products. This membership system generates a steady stream of revenue and fosters a sense of exclusivity among its shoppers, who are greeted with everything from electronics and groceries to luxury goods and vacation packages. The company's vast warehouses, designed for efficiency and cost savings, allow customers to purchase goods in bulk, further enhancing the value proposition. What truly sets Costco apart is its business model, which emphasizes high sales volume and rapid inventory turnover, allowing it to negotiate competitive prices with suppliers. A cornerstone of its success is the razor-thin markup strategy; Costco is known for capping markups on all goods, ensuring that customers find bargains they may not encounter elsewhere. The company's operations extend into ancillary businesses, including gas stations, food courts, and optical centers, each contributing marginally to profits but significantly to customer loyalty and foot traffic. By maintaining a streamlined selection of items—typically favoring high-quality, private-label brands—Costco achieves economies of scale that reinforce its cost leadership. Its dedication to employee satisfaction, with industry-leading wages and benefits, reflects a corporate philosophy that happy employees lead to happy customers, further driving its robust membership renewals and financial stability.

COST Intrinsic Value
486.3 USD
Overvaluation 49%
Intrinsic Value
Price

See Also

Discover More
What is Net Margin?

Net Margin measures how much net income is generated as a percentage of revenues received. It helps investors assess if a company's management is generating enough profit from its sales and whether operating costs and overhead costs are being contained.

Net Margin
2.9%
=
Net Income
7.6B
/
Revenue
258.8B
What is the Net Margin of Costco Wholesale Corp?

Based on Costco Wholesale Corp's most recent financial statements, the company has Net Margin of 2.9%.