COST vs TGT: Costco Wholesale and Target compared
The short version
From the latest prices and each company's SEC filings. Who's ahead on each measure, not which to buy.
- Costco Wholesale is the larger company, worth $426.6B, about 5.9 times Target.
- Costco Wholesale grew revenue faster over the last year (+10.1% vs +5.3%).
- Target keeps more of each dollar of revenue as operating profit (5.6% vs 3.9%).
- On earnings, Target is the cheaper stock (21.1x vs 45.6x).
- Costco Wholesale's price assumes faster free cash flow growth: about 16% a year, against 8% for Target (reverse DCF).
Side by side
The stronger figure is shaded where higher (or, for valuation multiples, lower) reads as better. How the implied growth works.
| Measure | COST | TGT |
|---|---|---|
| Market cap | $426.6B | $72.5B |
| Share price | $946.92 | $153.64 |
| Revenue (last fiscal year) | $303.2B | $104.8B |
| Free cash flow (last fiscal year) | $9.4B | $2.8B |
| Revenue growth, last year | +10.1% | +5.3% |
| Revenue growth per year, last 5 fiscal years | +7.5% | -0.3% |
| Operating margin | 3.9% | 5.6% |
| Net margin | 3.0% | 4.1% |
| Return on equity | 25.8% | 24.6% |
| P/E (trailing) | 45.6x | 21.1x |
| Price / free cash flow | 54.4x | 25.6x |
| EV / EBITDA | 26.5x | 9.48x |
| FCF growth the price implies | 15.8% | 8.2% |
| Dividend yield | 0.55% | 2.9% |
| Debt / equity | 1.49x | 2.43x |
| Fundamental grade | C | C |
| Superinvestors holding it | 8 | 8 |
| Insider purchases, last 12 months | 10 | 3 |
Results from SEC filings
Revenue and free cash flow by fiscal year, from each company's 10-K filings.
Costco Wholesale
| Year | Revenue | Free cash flow | Op. margin |
|---|---|---|---|
| 2022 | $227.0B | $3.5B | 3.4% |
| 2023 | $242.3B | $6.7B | 3.3% |
| 2024 | $254.5B | $6.6B | 3.6% |
| 2025 | $275.2B | $7.8B | 3.8% |
| 2026 | $303.2B | $9.4B | 3.9% |
Target
| Year | Revenue | Free cash flow | Op. margin |
|---|---|---|---|
| 2022 | $106.0B | $5.1B | 8.4% |
| 2023 | $109.1B | -$1.5B | 3.5% |
| 2024 | $107.4B | $3.8B | 5.3% |
| 2025 | $106.6B | $4.5B | 5.2% |
| 2026 | $104.8B | $2.8B | 4.9% |
Where the revenue comes from
Costco Wholesale · by products, 2026
Net sales$297.2B98%
Membership fees$5.9B2%
Target · by products, 2026
Food & beverage$24.1B23%
Household essentials$18.0B17%
Hardlines$15.8B15%
Apparel And Accessories$15.7B15%
Home Furnishings and Decor$15.6B15%
Beauty$13.2B13%
Compare them in fullFifteen years of statements, quarterly results, DCF and IRR models, and any number of peers side by side.
Open COST in InvestinglyQuestions
Which is bigger, Costco Wholesale or Target?
Costco Wholesale (COST), at $426.6B against $72.5B.
Is COST or TGT cheaper?
By trailing P/E, Target (21.1x) is cheaper than Costco Wholesale (45.6x). A lower multiple can also mean the market expects less growth.
Which grows faster, COST or TGT?
Costco Wholesale: revenue grew +10.1% over the last year, against +5.3%.
Prices and ratios as of the last daily update; statements from SEC filings. Information only, not investment advice.