COST vs. PG: A Head-to-Head Stock Comparison
Here's a clear look at COST and PG, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.
Company Profile
| Symbol | COST | PG |
|---|---|---|
| Company Name | Costco Wholesale Corporation | The Procter & Gamble Company |
| Country | United States | United States |
| GICS Sector | Consumer Staples | Consumer Staples |
| GICS Industry Group | Consumer Staples Distribution & Retail | Household & Personal Products |
| GICS Industry | Consumer Staples Distribution & Retail | Household Products |
| GICS Sub-Industry | Consumer Staples Merchandise Retail | Household Products |
| Market Capitalization | 436.71 billion USD | 333.48 billion USD |
| Currency | USD | USD |
| Exchange | NasdaqGS | NYSE |
| Listing Date | July 9, 1986 | January 2, 1962 |
| Security Type | Common Stock | Common Stock |
COST's market capitalization stands at 436.71 billion USD, while PG's is 333.48 billion USD, indicating their market valuations are broadly comparable.
Historical Performance
This chart compares the performance of COST and PG by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period. Data is adjusted for dividends and splits.
Historical Performance at a Glance
| Symbol | COST | PG |
|---|---|---|
| 5-Day Price Return | 1.88% | -0.89% |
| 13-Week Price Return | 15.10% | -0.33% |
| 26-Week Price Return | 4.30% | -6.77% |
| 52-Week Price Return | 4.81% | -15.41% |
| Month-to-Date Return | -2.66% | -14.65% |
| Year-to-Date Return | 14.09% | -0.42% |
| 10-Day Avg. Volume | 1.50M | 13.94M |
| 3-Month Avg. Volume | 2.44M | 11.28M |
| 3-Month Volatility | 19.72% | 20.08% |
| Beta | 0.98 | 0.45 |
COST's beta of 0.98 points to significantly higher volatility compared to PG (beta: 0.45), suggesting COST has greater potential for both gains and losses relative to market movements.
Profitability
Return on Equity (TTM)
COST
28.81%
Consumer Staples Distribution & Retail Industry
- Max
- 38.21%
- Q3
- 20.59%
- Median
- 13.73%
- Q1
- 8.12%
- Min
- -4.97%
In the upper quartile for the Consumer Staples Distribution & Retail industry, COST's Return on Equity of 28.81% signals a highly effective use of shareholder capital to drive profitability compared to most of its peers.
PG
31.21%
Household Products Industry
- Max
- 221.78%
- Q3
- 155.52%
- Median
- 16.27%
- Q1
- 9.90%
- Min
- -4.30%
PG's Return on Equity of 31.21% is on par with the norm for the Household Products industry, indicating its profitability relative to shareholder equity is typical for the sector.
Net Profit Margin (TTM)
COST
2.99%
Consumer Staples Distribution & Retail Industry
- Max
- 7.32%
- Q3
- 3.92%
- Median
- 2.66%
- Q1
- 1.49%
- Min
- -1.66%
COST's Net Profit Margin of 2.99% is aligned with the median group of its peers in the Consumer Staples Distribution & Retail industry. This indicates its ability to convert revenue into profit is typical for the sector.
PG
19.30%
Household Products Industry
- Max
- 23.92%
- Q3
- 13.87%
- Median
- 10.16%
- Q1
- 6.90%
- Min
- 5.04%
A Net Profit Margin of 19.30% places PG in the upper quartile for the Household Products industry, signifying strong profitability and more effective cost management than most of its peers.
Operating Profit Margin (TTM)
COST
3.82%
Consumer Staples Distribution & Retail Industry
- Max
- 9.42%
- Q3
- 6.07%
- Median
- 4.13%
- Q1
- 2.65%
- Min
- -1.04%
COST's Operating Profit Margin of 3.82% is around the midpoint for the Consumer Staples Distribution & Retail industry, indicating that its efficiency in managing core business operations is typical for the sector.
PG
23.58%
Household Products Industry
- Max
- 23.58%
- Q3
- 16.66%
- Median
- 14.04%
- Q1
- 10.79%
- Min
- 7.72%
An Operating Profit Margin of 23.58% places PG in the upper quartile for the Household Products industry. This signals a strong ability to translate revenue into operating profit, outperforming most of its competitors in core business efficiency.
Profitability at a Glance
| Symbol | COST | PG |
|---|---|---|
| Return on Equity (TTM) | 28.81% | 31.21% |
| Return on Assets (TTM) | 10.72% | 13.08% |
| Net Profit Margin (TTM) | 2.99% | 19.30% |
| Operating Profit Margin (TTM) | 3.82% | 23.58% |
| Gross Profit Margin (TTM) | 12.93% | 51.11% |
Financial Strength
Current Ratio (MRQ)
COST
1.06
Consumer Staples Distribution & Retail Industry
- Max
- 2.05
- Q3
- 1.31
- Median
- 1.00
- Q1
- 0.81
- Min
- 0.41
COST's Current Ratio of 1.06 aligns with the median group of the Consumer Staples Distribution & Retail industry, indicating that its short-term liquidity is in line with its sector peers.
PG
0.72
Household Products Industry
- Max
- 3.42
- Q3
- 2.06
- Median
- 1.27
- Q1
- 0.74
- Min
- 0.56
PG's Current Ratio of 0.72 falls into the lower quartile for the Household Products industry. This indicates a tighter liquidity situation and a more constrained capacity to handle short-term debt than many of its competitors.
Debt-to-Equity Ratio (MRQ)
COST
0.18
Consumer Staples Distribution & Retail Industry
- Max
- 3.60
- Q3
- 1.64
- Median
- 1.05
- Q1
- 0.29
- Min
- 0.00
Falling into the lower quartile for the Consumer Staples Distribution & Retail industry, COST's Debt-to-Equity Ratio of 0.18 points to a conservative financing strategy. This results in lower financial risk but potentially limits strategic investments compared to more leveraged competitors.
PG
0.69
Household Products Industry
- Max
- 2.95
- Q3
- 1.47
- Median
- 0.49
- Q1
- 0.14
- Min
- 0.01
PG's Debt-to-Equity Ratio of 0.69 is typical for the Household Products industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.
Interest Coverage Ratio (TTM)
COST
91.27
Consumer Staples Distribution & Retail Industry
- Max
- 24.36
- Q3
- 13.35
- Median
- 5.59
- Q1
- 3.27
- Min
- -3.06
With an Interest Coverage Ratio of 91.27, COST demonstrates a superior capacity to service its debt, placing it well above the typical range for the Consumer Staples Distribution & Retail industry. This stems from either robust earnings or a conservative debt load.
PG
47.04
Household Products Industry
- Max
- 83.52
- Q3
- 50.65
- Median
- 15.04
- Q1
- 9.47
- Min
- 5.57
PG's Interest Coverage Ratio of 47.04 is positioned comfortably within the norm for the Household Products industry, indicating a standard and healthy capacity to cover its interest payments.
Financial Strength at a Glance
| Symbol | COST | PG |
|---|---|---|
| Current Ratio (MRQ) | 1.06 | 0.72 |
| Quick Ratio (MRQ) | 0.59 | 0.47 |
| Debt-to-Equity Ratio (MRQ) | 0.18 | 0.69 |
| Interest Coverage Ratio (TTM) | 91.27 | 47.04 |
Growth
Revenue Growth
Revenue Growth at a Glance
| Symbol | COST | PG |
|---|---|---|
| Revenue Growth (MRQ vs Prior YoY) | 9.22% | 1.49% |
| Revenue Growth (TTM vs Prior YoY) | 8.40% | 1.08% |
| 3-Year Revenue CAGR | 6.64% | 1.67% |
| 5-Year Revenue CAGR | 10.54% | 3.50% |
EPS Growth
EPS Growth at a Glance
| Symbol | COST | PG |
|---|---|---|
| EPS Growth (MRQ vs Prior YoY) | 13.93% | -5.38% |
| EPS Growth (TTM vs Prior YoY) | 12.26% | 7.54% |
| 3-Year EPS CAGR | 11.51% | 3.88% |
| 5-Year EPS CAGR | 15.10% | 5.58% |
Dividend
Dividend Yield (TTM)
COST
0.65%
Consumer Staples Distribution & Retail Industry
- Max
- 7.91%
- Q3
- 3.16%
- Median
- 1.69%
- Q1
- 0.00%
- Min
- 0.00%
COST's Dividend Yield of 0.65% is consistent with its peers in the Consumer Staples Distribution & Retail industry, providing a dividend return that is standard for its sector.
PG
3.04%
Household Products Industry
- Max
- 6.89%
- Q3
- 4.50%
- Median
- 3.19%
- Q1
- 1.83%
- Min
- 0.00%
PG's Dividend Yield of 3.04% is consistent with its peers in the Household Products industry, providing a dividend return that is standard for its sector.
Dividend Payout Ratio (TTM)
COST
33.01%
Consumer Staples Distribution & Retail Industry
- Max
- 188.48%
- Q3
- 94.86%
- Median
- 56.79%
- Q1
- 27.90%
- Min
- 0.00%
COST's Dividend Payout Ratio of 33.01% is within the typical range for the Consumer Staples Distribution & Retail industry, suggesting a balanced approach between shareholder payouts and company reinvestment.
PG
61.26%
Household Products Industry
- Max
- 108.12%
- Q3
- 84.84%
- Median
- 63.20%
- Q1
- 44.02%
- Min
- 0.00%
PG's Dividend Payout Ratio of 61.26% is within the typical range for the Household Products industry, suggesting a balanced approach between shareholder payouts and company reinvestment.
Dividend at a Glance
| Symbol | COST | PG |
|---|---|---|
| Dividend Yield (TTM) | 0.65% | 3.04% |
| Dividend Payout Ratio (TTM) | 33.01% | 61.26% |
Valuation
Price-to-Earnings Ratio (TTM)
COST
51.06
Consumer Staples Distribution & Retail Industry
- Max
- 51.06
- Q3
- 31.09
- Median
- 21.80
- Q1
- 17.06
- Min
- 3.86
A P/E Ratio of 51.06 places COST in the upper quartile for the Consumer Staples Distribution & Retail industry. This high valuation relative to peers suggests the market holds elevated expectations for the company's future growth.
PG
20.16
Household Products Industry
- Max
- 25.98
- Q3
- 18.26
- Median
- 15.99
- Q1
- 12.76
- Min
- 9.69
A P/E Ratio of 20.16 places PG in the upper quartile for the Household Products industry. This high valuation relative to peers suggests the market holds elevated expectations for the company's future growth.
Price-to-Sales Ratio (TTM)
COST
1.52
Consumer Staples Distribution & Retail Industry
- Max
- 1.55
- Q3
- 0.89
- Median
- 0.51
- Q1
- 0.37
- Min
- 0.09
COST's P/S Ratio of 1.52 is in the upper echelon for the Consumer Staples Distribution & Retail industry. This means the company is valued richly on its revenue stream compared to its peers, suggesting the stock is priced for a high level of future performance.
PG
3.89
Household Products Industry
- Max
- 3.61
- Q3
- 2.31
- Median
- 1.83
- Q1
- 1.25
- Min
- 0.67
With a P/S Ratio of 3.89, PG trades at a valuation that eclipses even the highest in the Household Products industry. This implies the market has priced in exceptionally optimistic scenarios for future revenue growth, posing considerable valuation risk.
Price-to-Book Ratio (MRQ)
COST
14.09
Consumer Staples Distribution & Retail Industry
- Max
- 9.93
- Q3
- 5.39
- Median
- 2.90
- Q1
- 1.87
- Min
- 0.47
At 14.09, COST's P/B Ratio is at an extreme premium to the Consumer Staples Distribution & Retail industry. This signifies that the market's valuation is heavily reliant on future potential rather than its current net asset value, which can be a high-risk proposition.
PG
6.31
Household Products Industry
- Max
- 22.29
- Q3
- 15.58
- Median
- 3.59
- Q1
- 1.39
- Min
- 1.18
PG's P/B Ratio of 6.31 is within the conventional range for the Household Products industry. This shows a balanced market view, where the stock's price is neither at a significant premium nor a discount to the book value of its peers.
Valuation at a Glance
| Symbol | COST | PG |
|---|---|---|
| Price-to-Earnings Ratio (TTM) | 51.06 | 20.16 |
| Price-to-Sales Ratio (TTM) | 1.52 | 3.89 |
| Price-to-Book Ratio (MRQ) | 14.09 | 6.31 |
| Price-to-Free Cash Flow Ratio (TTM) | 47.97 | 22.34 |