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ABNB vs. COST: A Head-to-Head Stock Comparison

Updated

Here’s a clear look at ABNB and COST, comparing key factors like performance, valuation metrics, dividends, and financial strength.

Company Overview

COST’s market capitalization of 439.14 billion USD is significantly greater than ABNB’s 84.90 billion USD, highlighting its more substantial market valuation.

With betas of 1.14 for ABNB and 0.99 for COST, both stocks show similar sensitivity to overall market movements.

SymbolABNBCOST
Company NameAirbnb, Inc.Costco Wholesale Corporation
CountryUSUS
SectorConsumer CyclicalConsumer Defensive
IndustryTravel ServicesDiscount Stores
CEOMr. Brian CheskyMr. Ron M. Vachris
Price135.54 USD990.21 USD
Market Cap84.90 billion USD439.14 billion USD
Beta1.140.99
ExchangeNASDAQNASDAQ
IPO DateDecember 10, 2020July 9, 1986
ADRNoNo

Performance Comparison

This chart compares the performance of ABNB and COST over the past year by tracking the growth of an initial $10,000 investment in each (starting one year ago).

Data is adjusted for dividends and splits.

Valuation Metrics Comparison

This section compares the market valuation of ABNB and COST. Key takeaways regarding their valuation, when viewed within their industry context, are presented in the commentary that follows.

  • COST’s Price-to-Earnings (P/E) ratio of 56.05 is very high. This signifies that its stock is trading at a premium, likely reflecting market optimism about its future growth, though it also implies a higher risk if these growth expectations are not met.
  • COST’s Forward PEG ratio of 5.10 is very high. This signifies that its current stock price is notably elevated compared to its anticipated earnings growth rate, possibly indicating that the market has already factored in, or even exceeded, realistic future performance expectations.
  • ABNB’s Price-to-Book (P/B) ratio of 10.60 and COST’s P/B ratio of 16.21 are both very high. For ABNB, this typically means the market assigns a much greater value to the company than its net accounting worth, often due to factors like robust intangible assets or superior growth prospects. COST’s high P/B also suggests investors have high expectations for its future performance and are pricing it well above its book value.
SymbolABNBCOST
Price-to-Earnings Ratio (P/E, TTM)33.1656.05
Forward PEG Ratio (TTM)1.645.10
Price-to-Sales Ratio (P/S, TTM)7.561.63
Price-to-Book Ratio (P/B, TTM)10.6016.21
EV-to-EBITDA (TTM)31.0137.43
EV-to-Sales (TTM)7.091.61

Dividend Comparison

ABNB currently offers no dividend yield, suggesting it may be reinvesting available cash back into the business for future growth, while COST provides a 0.48% dividend yield, offering investors a component of income return.

SymbolABNBCOST
Dividend Yield (TTM)0.00%0.48%

Financial Strength Metrics Comparison

Explore the financial strength details for ABNB and COST in the table below.

SymbolABNBCOST
Current Ratio (TTM)1.271.02
Quick Ratio (TTM)1.270.52
Debt-to-Equity Ratio (TTM)0.290.30
Debt-to-Asset Ratio (TTM)0.090.11
Net Debt-to-EBITDA Ratio (TTM)-2.07-0.49
Interest Coverage Ratio (TTM)--916.73