Costco Wholesale (COST) EBIT: $11,898 Mil (TTM As of May. 2026)


COST Costco Wholesale Corp COST
97 GF Score
Price $960.97
GF Value $1,014.93
Valuation Fairly Valued
! 1 Warning Sign
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What is Costco Wholesale EBIT?

Costco Wholesale COST +0.34% 97 EBIT is $11,898 Mil as of May. 2026. GuruFocus rates COST with a GF Score™ of 97/100 and a GF Value™ of $1,014.93 (Fairly Valued). The stock has 1 warning sign investors should review.

Costco Wholesale's earnings before interest and taxes (EBIT) for the three months ended in May. 2026 was $2,970 Mil. Its earnings before interest and taxes (EBIT) for the trailing twelve months (TTM) ended in May. 2026 was $11,898 Mil.

EBIT or Operating Income is linked to Return on Capital for both regular definition and Joel Greenblatt's definition. Costco Wholesale's annualized ROC % for the quarter that ended in May. 2026 was 16.00%. Costco Wholesale's annualized ROC (Joel Greenblatt) % for the quarter that ended in May. 2026 was 32.35%.

EBIT is also linked to Joel Greenblatt's definition of earnings yield. Costco Wholesale's Earnings Yield (Joel Greenblatt) % for the quarter that ended in May. 2026 was 2.87%.


Costco Wholesale  (NAS:COST) EBIT Explanation

1. EBIT or Operating Income is linked to Return on Capital for both regular definition and Joel Greenblatt's definition.

Costco Wholesale's annualized ROC % for the quarter that ended in May. 2026 is calculated as:

ROC % (Q: May. 2026 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (Q: Feb. 2026 ) + Invested Capital (Q: May. 2026 ))/ count )
=11260 * ( 1 - 25.39% )/( (52154 + 52849)/ 2 )
=8401.086/52501.5
=16.00 %

where

Note: The Operating Income data used here is four times the quarterly (May. 2026) data.

2. Joel Greenblatt's definition of Return on Capital:

Costco Wholesale's annualized ROC (Joel Greenblatt) % for the quarter that ended in May. 2026 is calculated as:

ROC (Joel Greenblatt) %(Q: May. 2026 )
=EBIT/Average of (Net fixed Assets + Net Working Capital)
=EBIT/Average of (Property, Plant and Equipment+Net Working Capital)
     Q: Feb. 2026  Q: May. 2026
=EBIT/( ( (Property, Plant and Equipment + Net Working Capital) + (Property, Plant and Equipment + Net Working Capital) )/ count )
=11880/( ( (36404 + max(-15870, 0)) + (37040 + max(-16944, 0)) )/ 2 )
=11880/( ( 36404 + 37040 )/ 2 )
=11880/36722
=32.35 %

where Working Capital is:

Working Capital(Q: Feb. 2026 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(3782 + 18991 + 2120) - (29115 + 3126 + 8522)
=-15870

Working Capital(Q: May. 2026 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(3750 + 19418 + 2013) - (30529 + 3157 + 8439)
=-16944

When net working capital is negative, 0 is used.

Note: The EBIT data used here is four times the quarterly (May. 2026) EBIT data.

3. It is also linked to Joel Greenblatt's definition of Earnings Yield:

Costco Wholesale's Earnings Yield (Joel Greenblatt) % for today is calculated as:

Earnings Yield (Joel Greenblatt) %=EBIT (TTM)/Enterprise Value (Q: May. 2026 )
=11898/414309.825
=2.87 %

* 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 EBIT Related Terms


Costco Wholesale EBIT Historical Data

* Premium members only.

The historical data trend for Costco Wholesale's EBIT 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 EBIT Chart

Costco Wholesale Annual Data
Trend Aug16 Aug17 Aug18 Aug19 Aug20 Aug21 Aug22 Aug23 Aug24 Aug25
EBIT
Get a 7-Day Free Trial Premium Member Only Premium Member Only 6,851.00 7,998.00 8,647.00 9,909.00 10,972.00

Costco Wholesale Quarterly Data
Aug21 Nov21 Feb22 May22 Aug22 Nov22 Feb23 May23 Aug23 Nov23 Feb24 May24 Aug24 Nov24 Feb25 May25 Aug25 Nov25 Feb26 May26
EBIT Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 2,615.00 3,556.00 2,618.00 2,754.00 2,970.00

COST vs TGT, DG, DLTR: EBIT Comparison

For the Discount Stores subindustry, Costco Wholesale's EV-to-EBIT, along with its competitors' market caps and EV-to-EBIT 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 EV-to-EBIT vs Retail - Defensive Industry

For the Retail - Defensive industry and Consumer Defensive sector, Costco Wholesale's EV-to-EBIT distribution charts can be found below:

* The bar in red indicates where Costco Wholesale's EV-to-EBIT falls into.


COST
97GF Score
Costco Wholesale Corp COST
EBIT is just one metric. See GF Score™, valuation, warning signs, and more.
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Costco Wholesale EBIT Calculation

EBIT, sometimes also called Earnings Before Interest and Taxes, is a measure of a firm's profit that includes all expenses except interest and income tax expenses. It is the difference between operating revenues and operating expenses. When a firm does not have non-operating income, then Operating Income is sometimes used as a synonym for EBIT and operating profit.

EBIT for the trailing twelve months (TTM) ended in May. 2026 adds up the quarterly data reported by the company within the most recent 12 months, which was $11,898 Mil.

* 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.

Frequently Asked Questions Learn more about EBIT →
What does a EBIT of $11,898 Mil mean?
Costco Wholesale (COST) has a EBIT of $11,898 Mil as of May. 2026. Earnings before interest and taxes is the difference between operating revenue and operating expenses. View historical data on Costco Wholesale.
Is Costco Wholesale's EBIT too high?
Costco Wholesale's current EBIT is $11,898 Mil. Overall, Costco Wholesale has a GF Score™ of 97/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Costco Wholesale's EBIT compare to TGT and DG?
Costco Wholesale's EBIT of $11,898 Mil can be compared against companies in the Retail - Defensive industry. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good EBIT for a Retail - Defensive company?
A good EBIT depends on the Retail - Defensive industry context. However, EBIT should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high EBIT mean?
A high EBIT can signal that a stock is expensive relative to its fundamentals. Earnings before interest and taxes is the difference between operating revenue and operating expenses. View historical data on Costco Wholesale. Costco Wholesale's current EBIT is $11,898 Mil. 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 $1,014.93, compared to a current price of $960.97 — trading 5.3% below its estimated fair value. The current EBIT is $11,898 Mil. Costco Wholesale's overall GF Score™ is 97/100 with 1 warning sign to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is EBIT calculated?
EBIT is calculated from a company's financial statements. For Costco Wholesale (COST), the current EBIT is $11,898 Mil as of May. 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 $960.97 is trading 5.3% below its estimated GF Value™ of $1,014.93. GuruFocus considers Costco Wholesale to be Fairly Valued.

Key valuation signals for COST:

  • EBIT: $11,898 Mil
  • GF Value™: $1,014.93 vs. price of $960.97 (5.3% below fair value)
  • GF Score™: 97/100 with 1 warning sign

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.


Costco Wholesale Business Description

Address 999 Lake Drive, Issaquah, WA, USA, 98027
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.
97GF Score

Get the complete analysis for COST

EBIT is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

$960.97
Price
$1,014.93
GF Value