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Costco WholesaleFRA:CTO0 -1.54%86 Cyclically Adjusted PB Ratio is 17.90 as of Aug. 06, 2026, which is 41% above its 10-year median of 12.69. GuruFocus rates FRA:CTO0 with a GF Score™ of 86/100 and a GF Value™ of €27.96 (Modestly Undervalued). The stock has 1 warning sign investors should review. Among 231 Retail - Defensive companies, Costco Wholesale ranks worse than 96.54% on this metric.
The historical rank and industry rank for Costco Wholesale's Cyclically Adjusted PB Ratio or its related term are showing as below:
FRA:CTO0'
s Cyclically Adjusted PB Ratio Range Over the Past 10 Years
Min: 5.45 Med: 12.69 Max: 25.21
Current: 18.73
During the past years, Costco Wholesale's highest Cyclically Adjusted PB Ratio was 25.21. The lowest was 5.45. And the median was 12.69.
FRA:CTO0's Cyclically Adjusted PB Ratio is ranked worse than 96.54% of 231
companies
in the Retail - Defensive industry
Industry Median: 1.65
vs FRA:CTO0: 18.73
The Shiller PE Ratio was first used by professor Robert Shiller. He uses E10 for his Shiller PE Ratio calculation. E10 is the average of the inflation adjusted earnings per share of a company over the past 10 years. The similar calculation is applied by GuruFocus to calculate the Cyclically Adjusted PB Ratio. The Cyclically Adjusted Book per Share is the average of the inflation adjusted book value per share of a company over the past 10 years.
Costco Wholesale's adjusted book value per share data for the three months ended in May. 2026 was €2.193. Add all the adjusted book value per share for the past 10 years together and divide the count will get our Cyclically Adjusted Book per Share, which is €1.43 for the trailing ten years ended in May. 2026.
Shiller PE for Stocks: The True Measure of Stock Valuation
Costco Wholesale (FRA:CTO0) Cyclically Adjusted PB Ratio Explanation
Compared with the regular PB Ratio, which works poorly for cyclical businesses, the Cyclically Adjusted PB Ratio smoothed out the fluctuations of book value during business cycles. Therefore it is more accurate in reflecting the valuation of the company.
If a company has consistent business performance, the Cyclically Adjusted PB Ratio should give similar results to regular PB Ratio.
Costco Wholesale Cyclically Adjusted PB Ratio Related Terms
Costco Wholesale Cyclically Adjusted PB Ratio Historical Data
* Premium members only.
The historical data trend for Costco Wholesale's Cyclically Adjusted PB Ratio can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Costco Wholesale Cyclically Adjusted PB Ratio Chart
FRA:CTO0 vs TGT, DG, DLTR: Cyclically Adjusted PB Ratio Comparison
For the Discount Stores subindustry, Costco Wholesale's Cyclically Adjusted PB Ratio, along with its competitors' market caps and Cyclically Adjusted PB Ratio data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Costco Wholesale Cyclically Adjusted PB Ratio vs Retail - Defensive Industry
For the Retail - Defensive industry and Consumer Defensive sector, Costco Wholesale's Cyclically Adjusted PB Ratio distribution charts can be found below:
* The bar in red indicates where Costco Wholesale's Cyclically Adjusted PB Ratio falls into.
Costco Wholesale Cyclically Adjusted PB Ratio Calculation
Like the Shiller PE Ratio, the Cyclically Adjusted PB Ratio takes the Book Value per Share from the past 10 years, adjusts it for inflation, and then calculates the average. This average is then used for the P/B calculation. Because it considers this 10-year average, it's often referred to as the CAPB Ratio.
The Shiller PE Ratio was first used by professor Robert Shiller to measure the valuation of the overall market. The similar calculation is applied by GuruFocus to calculate the Cyclically Adjusted PB Ratio.
Costco Wholesale's Cyclically Adjusted PB Ratio for today is calculated as
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Please note that we use the CPI data of the country/region where the company is headquartered. If the CPI data for that country/region is not available, then we will use the CPI data of the United States as default.
What does a Cyclically Adjusted PB Ratio of 17.90 mean?
Costco Wholesale (FRA:CTO0) has a Cyclically Adjusted PB Ratio of 17.90 as of Aug. 06, 2026. Cyclically Adjusted PB Ratio is the ratio of share price to a company's inflation-adjusted book value per share over a 10-year period. View historical data on Costco Wholesale and its competitors. This is 41% above median its historical median of 12.69. Over the past decade, Costco Wholesale's Cyclically Adjusted PB Ratio has ranged from 5.45 to 25.21. According to the industry distribution chart, Costco Wholesale ranks #223 out of 231 companies in the Retail - Defensive industry, placing it in the top 96.5%.
Is Costco Wholesale's Cyclically Adjusted PB Ratio too high?
Costco Wholesale's current Cyclically Adjusted PB Ratio of 17.90 is 41% above median its 10-year median of 12.69. Over the past 10 years, this metric has ranged from a low of 5.45 to a high of 25.21. The Retail - Defensive industry median Cyclically Adjusted PB Ratio is 1.65. Costco Wholesale's value of 17.90 is 984.8% above this industry median. Based on the distribution chart, Costco Wholesale ranks #223 out of 231 companies in the Retail - Defensive industry, which is in the bottom quartile relative to peers. Overall, Costco Wholesale has a GF Score™ of 86/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Costco Wholesale's Cyclically Adjusted PB Ratio compare to TGT and DG?
According to the Retail - Defensive industry distribution chart, Costco Wholesale ranks #223 out of 231 companies for Cyclically Adjusted PB Ratio. This places Costco Wholesale in the lower half of its industry. The industry median Cyclically Adjusted PB Ratio is 1.65. Costco Wholesale's value of 17.90 is 984.8% above this benchmark. Historically, Costco Wholesale's own Cyclically Adjusted PB Ratio has ranged from 5.45 to 25.21 over the past decade. While the company's 10-year median is 12.69 vs. the industry median of 1.65, Costco Wholesale has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Cyclically Adjusted PB Ratio for a Retail - Defensive company?
The median Cyclically Adjusted PB Ratio among Retail - Defensive companies is 1.65, based on 231 companies in the industry. Companies in the top quartile (top 25%) have a Cyclically Adjusted PB Ratio significantly above this median, while those in the bottom quartile fall well below. However, Cyclically Adjusted PB Ratio should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Costco Wholesale's current Cyclically Adjusted PB Ratio of 17.90 is 984.8% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Cyclically Adjusted PB Ratio mean?
A high Cyclically Adjusted PB Ratio can signal that a stock is expensive relative to its fundamentals. Cyclically Adjusted PB Ratio is the ratio of share price to a company's inflation-adjusted book value per share over a 10-year period. View historical data on Costco Wholesale and its competitors. For the Retail - Defensive industry, the median Cyclically Adjusted PB Ratio is 1.65 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Costco Wholesale's current Cyclically Adjusted PB Ratio is 17.90, which is 41% above median its own 10-year median of 12.69. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Costco Wholesale stock overvalued right now?
Based on GuruFocus' analysis, Costco Wholesale (FRA:CTO0) is currently considered Modestly Undervalued. The stock's GF Value™ is €27.96, compared to a current price of €25.60 — trading 8.4% below its estimated fair value. The current Cyclically Adjusted PB Ratio is 17.90, which is 41% above median its 10-year median of 12.69 and 984.8% above the Retail - Defensive industry median of 1.65. Costco Wholesale's overall GF Score™ is 86/100 with 1 warning sign to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Cyclically Adjusted PB Ratio calculated?
Cyclically Adjusted PB Ratio is calculated from a company's financial statements. For Costco Wholesale (FRA:CTO0), the current Cyclically Adjusted PB Ratio is 17.90 as of Aug. 06, 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Costco Wholesale (FRA:CTO0) Overvalued in 2026?
Based on GuruFocus' analysis, Costco Wholesale stock appears to be undervalued.
The current stock price of €25.60 is trading 8.4% below its estimated GF Value™ of €27.96.
GuruFocus considers Costco Wholesale to be Modestly Undervalued.
Key valuation signals for FRA:CTO0:
Cyclically Adjusted PB Ratio: 17.90 (41% above median its 10-year median of 12.69)
GF Value™: €27.96 vs. price of €25.60 (8.4% below fair value)
Industry Position: 984.8% above the Retail - Defensive median (#223 of 231)
No single metric tells the full story. See the FRA:CTO0 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Founded in 1983, Costco Wholesale now operates a global chain of membership-based warehouse clubs, delivering high-quality goods and services at consistently low prices. As of its most recent fiscal year, Costco operated approximately 910 warehouses, serving more than 80 million members across its three geographic segments: Costco US (approximately 73% of total revenue), Costco Canada (13%), and Costco International (14%).Costco's core value proposition—quality products at unbeatable prices—has yielded consistently strong member renewal rates (93% in the US and Canada and nearly 90% internationally). About 55% of Costco's fiscal 2025 revenue came from its grocery offerings, and another 25% from general merchandise.
86GF Score
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