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Costco Wholesale Corporation (COST) Valuation & Moats

Industry: N/A | Current Spot Price: $1,003.69

Quality of Company (QOC)

9.81 / 10

Moats, margins, and financial health stress-test index.

Value Trap Score

6.0 / 100

Risk level of value trap traps, structural declines, or debt strain.

Average Model Upside

-52.3%

Consensus fair value margin of safety across all active models.

13 Quantitative Valuation Models Targets

Valuation Model Variant Price Target Upside / Downside% Model Confidence%
Earnings Power Value $178.72 -82.19% 75.8%
Bayesian DCF $278.98 -72.20% 67.9%
Markov DDM $874.35 -12.89% 59.4%
Dynamic Net Asset Value $20.39 -97.97% 55.2%
First Chicago $677.36 -32.51% 59.4%
EROIC Spread Model $190.24 -81.05% 63.7%
Machine Learning RIV $507.88 -49.40% 55.2%
Regime Cross model $262.21 -73.88% 46.7%
Sentiment SOTP $298.52 -70.26% 46.7%
CUCE Ensemble Model $449.94 -55.17% 14.8%
FTNN Topology Model $922.11 -8.13% 6.6%
RCMH-DCF Variant $492.46 -50.94% 55.2%

Market Search Intent Q&A

Is Costco Wholesale Corporation (COST) worth buying in 2026?

Determining if Costco Wholesale Corporation (COST) is worth buying in 2026 requires contrasting its current market spot price of $1,003.69 with our fundamental intrinsic value targets. Our quantitative models suggest that the consensus fair value upside for COST sits at -52.3% across active valuation models. If you prioritize conservative baseline asset capitalizations, the zero-growth Earnings Power Value (EPV) floor of $178.72 represents a strong baseline safety net. On the other hand, the 10,000-simulation Bayesian DCF target of $278.98 reflects the fair value accounting for margin progression and long-term cash flow compound potential.

Is COST currently undervalued or a value trap?

With a Quality of Company (QOC) score of 9.81/10 and a Value Trap Score of 6.0/100, COST's financial risk metrics provide deep structural insights. A Value Trap Score of 6.0/100 suggests that the company is currently safely insulated from immediate financial distress, operational structural decline, or a permanent loss of capital, debt distress, or structural operational decline. Meanwhile, the durable moat score (QOC) of 9.81/10 indicates the level of physical, structural, or brand competitive advantage the company retains. At $1,003.69, the margin of safety should be carefully compared to these fundamental indicators.

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