Costco WholesaleCOST +0.67%97 Quick Ratio is 0.61 as of May. 2026, which is 24% above its 10-year median of 0.49. 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. Among 312 Retail - Defensive companies, Costco Wholesale ranks worse than 66.35% on this metric.
Costco Wholesale has a quick ratio of 0.61. It indicates that the company cannot currently fully pay back its current liabilities.
The historical rank and industry rank for Costco Wholesale's Quick Ratio or its related term are showing as below:
COST'
s Quick Ratio Range Over the Past 10 Years
Min: 0.35 Med: 0.49 Max: 0.64
Current: 0.61
During the past 13 years, Costco Wholesale's highest Quick Ratio was 0.64. The lowest was 0.35. And the median was 0.49.
COST's Quick Ratio is ranked worse than 66.35% of 312
companies
in the Retail - Defensive industry
Industry Median: 0.87
vs COST: 0.61
Costco Wholesale (NAS:COST) Quick Ratio Explanation
The quick ratio is more conservative than the Current Ratio because it excludes inventories from current assets. The ratio derives its name presumably from the fact that assets such as cash and marketable securities are quick sources of cash. Inventories generally take time to be converted into cash, and if they have to be sold quickly, the company may have to accept a lower price than book value of these inventories. As a result, they are justifiably excluded from assets that are ready sources of immediate cash.
In general, low or decreasing quick ratios generally suggest that a company is over-leveraged, struggling to maintain or grow sales, paying bills too quickly or collecting receivables too slowly. On the other hand, a high or increasing quick ratio generally indicates that a company is experiencing solid top-line growth, quickly converting receivables into cash, and easily able to cover its financial obligations. Such companies often have faster inventory turnover and cash conversion cycles.
The higher the quick ratio, the better the company's liquidity position.
Costco Wholesale Quick Ratio Related Terms
Costco Wholesale Quick Ratio Historical Data
* Premium members only.
The historical data trend for Costco Wholesale's Quick 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.
For the Discount Stores subindustry, Costco Wholesale's Quick Ratio, along with its competitors' market caps and Quick 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 Quick Ratio vs Retail - Defensive Industry
For the Retail - Defensive industry and Consumer Defensive sector, Costco Wholesale's Quick Ratio distribution charts can be found below:
* The bar in red indicates where Costco Wholesale's Quick Ratio falls into.
The quick ratio measures a company's ability to meet its short-term obligations with its most liquid assets. For this reason, the ratio excludes inventories from current assets.
Costco Wholesale's Quick Ratio for the fiscal year that ended in Aug. 2025 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.
Costco Wholesale (COST) has a Quick Ratio of 0.61 as of May. 2026. Quick ratio is the ratio of current assets less inventory to current liabilities. View historical data on Costco Wholesale and its competitors. This is 24% above median its historical median of 0.49. Over the past decade, Costco Wholesale's Quick Ratio has ranged from 0.35 to 0.64. According to the industry distribution chart, Costco Wholesale ranks #207 out of 312 companies in the Retail - Defensive industry, placing it in the top 66.3%.
Is Costco Wholesale's Quick Ratio too high?
Costco Wholesale's current Quick Ratio of 0.61 is 24% above median its 10-year median of 0.49. Over the past 10 years, this metric has ranged from a low of 0.35 to a high of 0.64. The Retail - Defensive industry median Quick Ratio is 0.87. Costco Wholesale's value of 0.61 is 29.9% below this industry median. Based on the distribution chart, Costco Wholesale ranks #207 out of 312 companies in the Retail - Defensive industry, which is below the industry midpoint. 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 Quick Ratio compare to TGT and DG?
According to the Retail - Defensive industry distribution chart, Costco Wholesale ranks #207 out of 312 companies for Quick Ratio. This places Costco Wholesale in the lower half of its industry. The industry median Quick Ratio is 0.87. Costco Wholesale's value of 0.61 is 29.9% below this benchmark. Historically, Costco Wholesale's own Quick Ratio has ranged from 0.35 to 0.64 over the past decade. While the company's 10-year median is 0.49 vs. the industry median of 0.87, Costco Wholesale has consistently been below 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 Quick Ratio for a Retail - Defensive company?
The median Quick Ratio among Retail - Defensive companies is 0.87, based on 312 companies in the industry. Companies in the top quartile (top 25%) have a Quick Ratio significantly above this median, while those in the bottom quartile fall well below. However, Quick Ratio should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Costco Wholesale's current Quick Ratio of 0.61 is 29.9% below 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 Quick Ratio mean?
A high Quick Ratio can signal that a stock is expensive relative to its fundamentals. Quick ratio is the ratio of current assets less inventory to current liabilities. View historical data on Costco Wholesale and its competitors. For the Retail - Defensive industry, the median Quick Ratio is 0.87 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Costco Wholesale's current Quick Ratio is 0.61, which is 24% above median its own 10-year median of 0.49. 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 $964.11 — trading 5% below its estimated fair value. The current Quick Ratio is 0.61, which is 24% above median its 10-year median of 0.49 and 29.9% below the Retail - Defensive industry median of 0.87. 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 Quick Ratio calculated?
Quick Ratio is calculated from a company's financial statements. For Costco Wholesale (COST), the current Quick Ratio is 0.61 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 $964.11 is trading 5% below its estimated GF Value™ of $1,014.93.
GuruFocus considers Costco Wholesale to be Fairly Valued.
Key valuation signals for COST:
Quick Ratio: 0.61 (24% above median its 10-year median of 0.49)
GF Value™: $1,014.93 vs. price of $964.11 (5% below fair value)
Industry Position: 29.9% below the Retail - Defensive median (#207 of 312)
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.
97GF Score
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