Added to YB: 2025-05-20
Pitch date: 2025-04-01
COST [bearish]
Costco Wholesale Corporation
+6.6%
current return
Author Info
No bio for this author
Company Info
Costco Wholesale Corporation, together with its subsidiaries, engages in the operation of membership warehouses in the United States, Puerto Rico, Canada, Mexico, Japan, the United Kingdom, Korea, Australia, Taiwan, China, Spain, France, Iceland, New Zealand, and Sweden.
Market Cap
$388.2B
Pitch Price
$946.95
Price Target
382.00 (-57%)
Dividend
0.59%
EV/EBITDA
28.87
P/E
48.02
EV/Sales
1.39
Sector
Consumer Staples Distribution and Retail
Category
value
Costco Wholesale Corporation - $COST (short)
COST short: Market ignores risks to sales/margins: affluent consumer headwinds, discretionary 25% of sales, 20-25% B2B under pressure, 10% Canadian exposure amid anti-US sentiment. Gold bar boost (1-2% sales) lapping soon. At 50x P/E vs 30-35x historical, 40-60% downside risk if earnings miss.
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