Costco Wholesale CorporationOpportunity Rank #164(COST) Intrinsic Value & DCF Analysis (2026)
Current Price
$951.35
Last updated: Jun 23, 2026
Price vs Intrinsic Value
Fundamental Score
Weighted across 6 signals
Narrative Score
No change vs previous
Trend Score
As of 2026-06-22
The intrinsic value of Costco Wholesale Corporation (COST) is estimated at $997.17 per share based on a 10-year discounted cash flow (DCF) analysis. At the current price of $951.35, the stock appears undervalued relative to its projected cash flow fundamentals. This estimate assumes a 5.62% long-term growth rate and an 8.50% discount rate, reflecting expected future free cash flow and cost of capital.
The intrinsic value of Costco Wholesale Corporation (COST) is estimated at $997.17 per share based on a 10-year discounted cash flow (DCF) analysis. At the current price of $951.35, the stock appears undervalued relative to its projected cash flow fundamentals. This estimate assumes a 5.62% long-term growth rate and an 8.50% discount rate, reflecting expected future free cash flow and cost of capital.Valuation Details
Capital Efficiency
The company is earning a higher return on invested capital than it costs to raise that capital — a sign of strong, efficient value creation.
Fundamental Details
Narrative Details
Trend Details
Investment Coach
- Price moves to at least a mid-teens discount to fair value.
- ROIC remains above cost of capital over coming quarters.
- Narrative trend shows meaningful shifts in score direction.
Free Cash Flow (in millions)
How Intrinziq Estimates Fair Value
Intrinziq estimates Costco Wholesale Corporation's intrinsic value using a discounted cash flow (DCF) model based on free cash flow trends and a market-based discount rate. The model projects future cash flows over ten years and discounts them using a market return assumption to estimate fair value.
Costco Wholesale CorporationConsumer Defensive
Costco Wholesale Corporation, alongside its group entities, operates membership-based retail warehouses across a broad international scope, spanning the United States, Puerto Rico, Canada, the United Kingdom, Mexico, Japan, South Korea, Australia, Spain, France, Iceland, China, and Taiwan. These outlets provide customers with an extensive array of both well-known branded and proprietary private-label products. Their vast inventory includes household staples, shelf-stable groceries, confectionery, chilled and frozen items, alcoholic beverages, tobacco, and deli selections. Furthermore, the stores stock major appliances, consumer electronics, health and beauty aids, hardware, garden and patio furniture, sporting goods, vehicle tires, toys, seasonal merchandise, office supplies, automotive maintenance products, postage services, event tickets, apparel, small kitchen appliances, home furnishings, domestic textiles, kitchenware, custom-order kiosks, and fine jewelry. Fresh departments offer meat, produce, a service deli, and bakery items. Beyond retail goods, Costco provides in-store amenities such as pharmacies, optical clinics, food courts, hearing aid centers, and tire installation facilities, in addition to managing 636 gas stations. The company also extends its offerings online through business delivery, travel booking, and same-day grocery fulfillment in various countries. As of August 29, 2021, Costco maintained a global network of 815 membership warehouses, with 564 located in the United States and Puerto Rico, 105 in Canada, 39 in Mexico, 30 in Japan, 29 in the United Kingdom, 16 in South Korea, 14 in Taiwan, 12 in Australia, 3 in Spain, and one each in Iceland, France, and China. Digital storefronts facilitate e-commerce operations in the United States, Canada, the United Kingdom, Mexico, South Korea, Taiwan, Japan, and Australia. Founded in 1976, the enterprise was originally known as Costco Companies, Inc. before officially adopting the name Costco Wholesale Corporation in August 1999. Its corporate headquarters are situated in Issaquah, Washington.