Ratio Review: Analyzing Costco Wholesale Corp (COST)’s Price-to-Cash and Price-to-Free Cash Flow

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After finishing at $916.61 in the prior trading day, Costco Wholesale Corp (NASDAQ: COST) closed at $898.05, down -2.02%. In other words, the price has decreased by -$2.02 from its previous closing price. On the day, 2.18 million shares were traded. COST stock price reached its highest trading level at $917.56 during the session, while it also had its lowest trading level at $896.835.

Ratios:

Our goal is to gain a better understanding of COST by taking a closer look at its different ratios. It provided that stocks Price–to–Cash (P/C) ratio for the trailing twelve months (TTM) is standing at 30.28 whereas its Price-to-Free Cash Flow (P/FCF) for the term is 57.54. For the most recent quarter (mrq), Quick Ratio is recorded 0.49 and its Current Ratio is at 1.00. In the meantime, Its Debt-to-Equity ratio is 0.32 whereas as Long-Term Debt/Eq ratio is at 0.31.

Upgrades & Downgrades

In addition, analysts’ ratings and any changes thereto give investors an idea of the stock’s future direction. In the most recent recommendation for this company, Telsey Advisory Group on December 05, 2024, Reiterated its Outperform rating but revised its target price to $1050 from $1000 previously.

On October 22, 2024, Bernstein started tracking the stock assigning a Outperform rating and target price of $1016.

Oppenheimer reiterated its Outperform rating for the stock on October 10, 2024, while the target price for the stock was revised from $955 to $980.

Insider Transactions:

The insider trade also gives investors a glimpse into the future direction of stock prices, which can be beneficial to investors. A recent insider transaction in this stock occurred on Mar 18 ’25 when Frates Caton bought 850 shares for $900.25 per share.

Vachris Roland Michael sold 3,600 shares of COST for $3,351,600 on Mar 11 ’25. The President and CEO now owns 41,077 shares after completing the transaction at $931.00 per share. On Mar 11 ’25, another insider, Vachris Roland Michael, who serves as the Officer of the company, bought 3,600 shares for $931.00 each.

Valuation Measures:

Investors should consider key stock statistics when deciding whether to invest or divest. In the wake of the recent closing price, COST now has a Market Capitalization of 398449508352 and an Enterprise Value of 393330851840. As of this moment, Costco’s Price-to-Earnings (P/E) ratio for their current fiscal year is 52.43, and their Forward P/E ratio for the next fiscal year is 44.98. The expected Price-to-Earnings-to-Growth (PEG) calculation for the next 5 years is 5.23. For the stock, the TTM Price-to-Sale (P/S) ratio is 1.51 while its Price-to-Book (P/B) ratio in mrq is 15.58. Its current Enterprise Value per Revenue stands at 1.489 whereas that against EBITDA is 32.579.

Stock Price History:

The Beta on a monthly basis for COST is 0.96, which has changed by 0.21240139 over the last 52 weeks, in comparison to a change of 0.07465422 over the same period for the S&P500. Over the past 52 weeks, COST has reached a high of $1078.23, while it has fallen to a 52-week low of $697.27. The 50-Day Moving Average of the stock is -8.88%, while the 200-Day Moving Average is calculated to be -1.78%.

Shares Statistics:

The stock has traded on average 2.19M shares per day over the past 3-months and 3107020 shares per day over the last 10 days, according to various share statistics. A total of 443.73M shares are outstanding, with a floating share count of 442.66M. Insiders hold about 0.23% of the company’s shares, while institutions hold 69.66% stake in the company. Shares short for COST as of 1740700800 were 7080224 with a Short Ratio of 3.24, compared to 1738281600 on 5889145. Therefore, it implies a Short% of Shares Outstanding of 7080224 and a Short% of Float of 1.6.

Dividends & Splits

In the trailing 12 months, COST’s forward annual dividend rate was 4.5, compared to 4.64 this year. Against a Trailing Annual Dividend Yield of 0.0049093943The stock’s 5-year Average Dividend Yield is 0.66. The current Payout Ratio is 26.32% for COST, which recently paid a dividend on 2025-02-07 with an ex-dividend date of 1738886400. Stock splits for the company last occurred on 2000-01-14 when the company split stock in a 2:1 ratio.

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