On the stock market since 1986, it operates in the everyday-essentials business. It has 333,000 employees. Now — the numbers.
This is an established company with proven profits.
Revenue is spread across several lines; no single product carries the company.
Average growth of 9% a year over the last 4 years. Every year shown ended in profit.
We compared this company with its own sector across five subjects.
A score of 50 means class average.
Clearly above the class average — a step short of the very top.
Debt is low and cash is strong; the finances stand solid.
Clearly below the class average.
Clearly above the class average — a step short of the very top.
Valuation: The stock trades at a price that looks expensive next to its earnings; that can cap future returns.
angles, checked one by one.
The 4 that stand out are on screen; the rest came back neutral.
The council scores out of 10; report-card grades are out of 100.
Profit per Sale: The profit kept from each sale is thin.
The stock trades 16% below its peak. The market has trimmed its expectations for the company.
There is $15.3B in the vault; even if every debt were paid off, $7.1B would remain.
The average analyst price target is $1,102 — 20% above today’s price.
It pays out $5.37 per share each year — regular cash for whoever holds the stock.
The company’s market value is 50 times its annual profit. Even a small disappointment could hit the price hard.
Today’s price already includes part of tomorrow’s optimism. Report-card grade: 31/100.
As the slice kept from each sale thins out, so does the profit. Council score: 3/10.
On our five-subject report card, COST sits near the top of the class. A high grade doesn’t mean “guaranteed win” — it means “the evidence looks strong for now.”
The takeaway: COST is an established business that has proven its profits for years. The real debate isn’t the quality of the business — it’s whether the price paid for the stock is too high.
The total grade weighs these five subjects against the sector — it isn’t a simple average of the five.
Analysts’ average target sits above today’s price, yet the valuation grade (31/100) says the stock isn’t cheap.