Costco WholesaleCOST +2.92%96 Cyclically Adjusted PS Ratio is 1.77 as of Jul. 05, 2026, which is 45% above its 10-year median of 1.22. GuruFocus rates COST with a GF Score™ of 96/100 and a GF Value™ of $1,017.96 (Fairly Valued). The stock has 1 warning sign investors should review. Among 236 Retail - Defensive companies, Costco Wholesale ranks worse than 89.41% on this metric.
The historical rank and industry rank for Costco Wholesale's Cyclically Adjusted PS Ratio or its related term are showing as below:
COST'
s Cyclically Adjusted PS Ratio Range Over the Past 10 Years
Min: 0.64 Med: 1.22 Max: 2.3
Current: 1.77
During the past years, Costco Wholesale's highest Cyclically Adjusted PS Ratio was 2.30. The lowest was 0.64. And the median was 1.22.
COST's Cyclically Adjusted PS Ratio is ranked worse than 89.41% of 236
companies
in the Retail - Defensive industry
Industry Median: 0.44
vs COST: 1.77
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 PS Ratio. The Cyclically Adjusted Revenue per Share is the average of the inflation adjusted revenue per share of a company over the past 10 years.
Costco Wholesale's adjusted revenue per share data for the three months ended in May. 2026 was $158.691. Add all the adjusted revenue per share for the past 10 years together and divide 10 will get our Cyclically Adjusted Revenue per Share, which is $537.59 for the trailing ten years ended in May. 2026.
Shiller PE for Stocks: The True Measure of Stock Valuation
Costco Wholesale (NAS:COST) Cyclically Adjusted PS Ratio Explanation
Compared with the regular PS Ratio, which works poorly for cyclical businesses, the Cyclically Adjusted PS Ratio smoothed out the fluctuations of revenue 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 PS Ratio should give similar results to regular PS Ratio.
Costco Wholesale Cyclically Adjusted PS Ratio Related Terms
Costco Wholesale Cyclically Adjusted PS Ratio Historical Data
* Premium members only.
The historical data trend for Costco Wholesale's Cyclically Adjusted PS 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 PS Ratio Chart
COST vs TGT, DG, DLTR: Cyclically Adjusted PS Ratio Comparison
For the Discount Stores subindustry, Costco Wholesale's Cyclically Adjusted PS Ratio, along with its competitors' market caps and Cyclically Adjusted PS 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 PS Ratio vs Retail - Defensive Industry
For the Retail - Defensive industry and Consumer Defensive sector, Costco Wholesale's Cyclically Adjusted PS Ratio distribution charts can be found below:
* The bar in red indicates where Costco Wholesale's Cyclically Adjusted PS Ratio falls into.
Costco Wholesale Cyclically Adjusted PS Ratio Calculation
Like the Shiller PE Ratio, the Cyclically Adjusted PS Ratio takes the Revenue per Share from the past 10 years, adjusts it for inflation, and then calculates the average. This average is then used for the P/S calculation. Because it considers this 10-year average, it's often referred to as the CAPS 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 PS Ratio.
Costco Wholesale's Cyclically Adjusted PS 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 PS Ratio of 1.77 mean?
Costco Wholesale (COST) has a Cyclically Adjusted PS Ratio of 1.77 as of Jul. 05, 2026. Cyclically Adjusted PS Ratio is the ratio of share price to a company's inflation-adjusted revenue per share over a 10-year period. View historical data on Costco Wholesale and its competitors. This is 45% above median its historical median of 1.22. Over the past decade, Costco Wholesale's Cyclically Adjusted PS Ratio has ranged from 0.64 to 2.30. According to the industry distribution chart, Costco Wholesale ranks #211 out of 236 companies in the Retail - Defensive industry, placing it in the top 89.4%.
Is Costco Wholesale's Cyclically Adjusted PS Ratio too high?
Costco Wholesale's current Cyclically Adjusted PS Ratio of 1.77 is 45% above median its 10-year median of 1.22. Over the past 10 years, this metric has ranged from a low of 0.64 to a high of 2.30. The Retail - Defensive industry median Cyclically Adjusted PS Ratio is 0.44. Costco Wholesale's value of 1.77 is 302.3% above this industry median. Based on the distribution chart, Costco Wholesale ranks #211 out of 236 companies in the Retail - Defensive industry, which is in the bottom quartile relative to peers. Overall, Costco Wholesale has a GF Score™ of 96/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Costco Wholesale's Cyclically Adjusted PS Ratio compare to TGT and DG?
According to the Retail - Defensive industry distribution chart, Costco Wholesale ranks #211 out of 236 companies for Cyclically Adjusted PS Ratio. This places Costco Wholesale in the lower half of its industry. The industry median Cyclically Adjusted PS Ratio is 0.44. Costco Wholesale's value of 1.77 is 302.3% above this benchmark. Historically, Costco Wholesale's own Cyclically Adjusted PS Ratio has ranged from 0.64 to 2.30 over the past decade. While the company's 10-year median is 1.22 vs. the industry median of 0.44, 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 PS Ratio for a Retail - Defensive company?
The median Cyclically Adjusted PS Ratio among Retail - Defensive companies is 0.44, based on 236 companies in the industry. Companies in the top quartile (top 25%) have a Cyclically Adjusted PS Ratio significantly above this median, while those in the bottom quartile fall well below. However, Cyclically Adjusted PS Ratio should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Costco Wholesale's current Cyclically Adjusted PS Ratio of 1.77 is 302.3% 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 PS Ratio mean?
A high Cyclically Adjusted PS Ratio can signal that a stock is expensive relative to its fundamentals. Cyclically Adjusted PS Ratio is the ratio of share price to a company's inflation-adjusted revenue 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 PS Ratio is 0.44 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Costco Wholesale's current Cyclically Adjusted PS Ratio is 1.77, which is 45% above median its own 10-year median of 1.22. 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 (COST) is currently considered Fairly Valued. The stock's GF Value™ is $1,017.96, compared to a current price of $951.67 — trading 6.5% below its estimated fair value. The current Cyclically Adjusted PS Ratio is 1.77, which is 45% above median its 10-year median of 1.22 and 302.3% above the Retail - Defensive industry median of 0.44. Costco Wholesale's overall GF Score™ is 96/100 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 PS Ratio calculated?
Cyclically Adjusted PS Ratio is calculated from a company's financial statements. For Costco Wholesale (COST), the current Cyclically Adjusted PS Ratio is 1.77 as of Jul. 05, 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 (COST) Overvalued in 2026?
Based on GuruFocus' analysis, Costco Wholesale stock appears to be undervalued.
The current stock price of $951.67 is trading 6.5% below its estimated GF Value™ of $1,017.96.
GuruFocus considers Costco Wholesale to be Fairly Valued.
Key valuation signals for COST:
Cyclically Adjusted PS Ratio: 1.77 (45% above median its 10-year median of 1.22)
GF Value™: $1,017.96 vs. price of $951.67 (6.5% below fair value)
Industry Position: 302.3% above the Retail - Defensive median (#211 of 236)
No single metric tells the full story. See the COST 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.
96GF Score
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