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COST vs. PLTR: Costco Wholesale vs. Palantir Stock Comparison

How do Costco Wholesale (COST) and Palantir (PLTR) stack up? This page sets them side by side across company profile, performance and risk, profitability, growth, financial strength, dividends, and valuation, with selected fundamentals also measured against each stock's industry-group peers.

Company Profile

Costco Wholesale (COST) is classified in the Consumer Staples sector (Consumer Staples Distribution & Retail), whereas Palantir (PLTR) belongs to Information Technology (Software & Services) — their GICS classifications point to very different parts of the market.

Costco Wholesale (COST) has more than two decades of public-market history since July 9, 1986, whereas Palantir (PLTR) listed on September 30, 2020 and has a much shorter record to draw on.

Company profile comparison for Costco Wholesale (COST) and Palantir (PLTR)
Profile ItemCOSTPLTR
NameCostco Wholesale CorpPalantir Technologies Inc. Class A Common Stock
Country/RegionUnited StatesUnited States
GICS SectorConsumer StaplesInformation Technology
GICS Industry GroupConsumer Staples Distribution & RetailSoftware & Services
GICS IndustryConsumer Staples Distribution & RetailSoftware
GICS Sub-IndustryConsumer Staples Merchandise RetailApplication Software
Market Capitalization466.86 billion USD386.44 billion USD
CurrencyUSDUSD
ExchangeNasdaqNasdaq
Listing DateJuly 9, 1986September 30, 2020
Security TypeCommon StockCommon Stock

Price Performance

Cumulative Growth

COST
PLTR
GSPC
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Costco Wholesale (COST) vs. Palantir (PLTR), with S&P 500 (GSPC) for reference: Growth of a $10,000 investment over the past five years. Adjusted for dividends and splits.

Trailing Returns

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Trailing total returns for Costco Wholesale (COST) and Palantir (PLTR). Returns over one year are annualized.

Calendar-Year Returns

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Calendar-year total returns for Costco Wholesale (COST) and Palantir (PLTR). Each bar is that year's total return, measured year-end to year-end.

Performance Metrics

Price performance metrics for Costco Wholesale (COST) and Palantir (PLTR)
MetricCOSTPLTR
Total Return (1Y)14.87%-4.94%
Total Return (3Y, Annualized)24.84%109.97%
Total Return (5Y, Annualized)16.92%47.47%

Risk Profile

Drawdown History

COST
PLTR
GSPC
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Costco Wholesale (COST) vs. Palantir (PLTR), with S&P 500 (GSPC) for reference: Drawdown from the running peak over the past five years. Each line shows the decline from its prior peak; 0% marks a new high.

Return Distribution

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Distribution of monthly total returns for Costco Wholesale (COST) and Palantir (PLTR). Each bar is the share of months whose return fell in that 5% bucket.

Risk Metrics

Risk profile metrics for Costco Wholesale (COST) and Palantir (PLTR)
MetricCOSTPLTR
Volatility (1Y, Annualized)20.30%60.50%
Beta (5Y)0.841.63
Max Drawdown (5Y)-31.40%-75.26%
Avg. Volume (3M)2.15M27.20M

Risk-Adjusted Performance

Risk-Return Positioning

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COST and PLTR are plotted by 1-year volatility (risk) and 1-year return. Each dashed Capital Allocation Line uses that stock's own industry median.

Risk-Adjusted Metrics

Risk-adjusted metrics for Costco Wholesale (COST) and Palantir (PLTR)
MetricCOSTPLTR
Sharpe Ratio (1Y)0.52-0.15
Sortino Ratio (1Y)0.77-0.24

Profitability

ROE (TTM)

Both Costco Wholesale (COST) at 28.40% and Palantir (PLTR) at 40.91% sit in the top peer quartile for ROE, suggesting each generates more profit from shareholders’ equity than typical industry peers.

COST

Consumer Staples Distribution & Retail industry group

28.40%

Max
33.48%
COST
28.40%
Q3
22.31%
Median
15.57%
Q1
7.66%
Min
-2.27%

PLTR

Software & Services industry group

40.91%

Max
53.85%
PLTR
40.91%
Q3
17.90%
Median
6.59%
Q1
-9.59%
Min
-50.52%
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Costco Wholesale (COST) vs. Palantir (PLTR): A comparison of their ROE against their respective Consumer Staples Distribution & Retail and Software & Services industry group benchmarks.

Net Margin (TTM)

Palantir (PLTR) at 50.34% converts revenue to bottom-line profit above its industry’s benchmark range, while Costco Wholesale (COST) at 3.04% keeps roughly the typical share for its industry.

COST

Consumer Staples Distribution & Retail industry group

3.04%

Max
5.45%
Q3
3.42%
COST
3.04%
Median
2.44%
Q1
1.86%
Min
-0.06%

PLTR

Software & Services industry group

50.34%

PLTR
50.34%
Max
41.17%
Q3
15.28%
Median
4.63%
Q1
-5.42%
Min
-33.17%
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Costco Wholesale (COST) vs. Palantir (PLTR): A comparison of their net margin against their respective Consumer Staples Distribution & Retail and Software & Services industry group benchmarks.

Operating Margin (TTM)

Palantir (PLTR) at 46.89% operates in the top operating margin quartile, ahead of Costco Wholesale (COST) at 3.79%, which runs around its industry’s norm.

COST

Consumer Staples Distribution & Retail industry group

3.79%

Max
6.81%
Q3
5.49%
Median
3.84%
COST
3.79%
Q1
2.00%
Min
0.97%

PLTR

Software & Services industry group

46.89%

PLTR
46.89%
Max
46.89%
Q3
17.64%
Median
8.73%
Q1
-2.13%
Min
-30.45%
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Costco Wholesale (COST) vs. Palantir (PLTR): A comparison of their operating margin against their respective Consumer Staples Distribution & Retail and Software & Services industry group benchmarks.

Profitability Metrics

Profitability metrics for Costco Wholesale (COST) and Palantir (PLTR)
MetricCOSTPLTR
ROE (TTM)28.40%40.91%
ROA (TTM)8.66%19.31%
Net Margin (TTM)3.04%50.34%
Operating Margin (TTM)3.79%46.89%
Gross Margin (TTM)12.77%84.74%

Growth

Revenue Growth

Palantir (PLTR) at 56.18% clears its industry range for revenue growth, far stronger top-line momentum than Costco Wholesale (COST) at 10.14%, which is closer to a typical peer reading.

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Costco Wholesale (COST) vs. Palantir (PLTR): A comparison of their Revenue Growth across different time periods.

EPS Growth

Only one side can be read here: Palantir (PLTR) reports EPS growth of 231.06%, ranked against its industry; Costco Wholesale (COST) has no EPS growth figure this period.

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Costco Wholesale (COST) vs. Palantir (PLTR): A comparison of their EPS Growth across different time periods.

Growth Metrics

Growth metrics for Costco Wholesale (COST) and Palantir (PLTR)
MetricCOSTPLTR
Revenue Growth (YoY)10.14%56.18%
Revenue Growth (3Y CAGR)7.76%32.92%
EPS Growth (YoY)--231.06%
EPS Growth (3Y CAGR)----

Financial Strength

Current Ratio (MRQ)

Costco Wholesale (COST) at 1.06 keeps current ratio within its industry’s typical mid-range, while Palantir (PLTR) at 7.10 sits above its industry’s typical mid-range — comfortable liquidity, though possibly with more idle current assets relative to peers.

COST

Consumer Staples Distribution & Retail industry group

1.06

Max
2.04
Q3
1.45
Median
1.17
COST
1.06
Q1
1.00
Min
0.69

PLTR

Software & Services industry group

7.10

PLTR
7.10
Max
5.11
Q3
2.77
Median
1.67
Q1
1.01
Min
0.03
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Costco Wholesale (COST) vs. Palantir (PLTR): A comparison of their current ratio against their respective Consumer Staples Distribution & Retail and Software & Services industry group benchmarks.

Debt / Equity (MRQ)

Both Costco Wholesale (COST) at 0.28 and Palantir (PLTR) at 0.02 keep leverage in the lower quartile of their industries, with less balance-sheet debt relative to equity than most peers.

COST

Consumer Staples Distribution & Retail industry group

0.28

Max
2.59
Q3
1.83
Median
1.24
Q1
0.63
COST
0.28
Min
0.01

PLTR

Software & Services industry group

0.02

Max
2.52
Q3
1.13
Median
0.40
Q1
0.07
PLTR
0.02
Min
0.00
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Costco Wholesale (COST) vs. Palantir (PLTR): A comparison of their debt-to-equity ratio against their respective Consumer Staples Distribution & Retail and Software & Services industry group benchmarks.

Financial Strength Metrics

Financial strength metrics for Costco Wholesale (COST) and Palantir (PLTR)
MetricCOSTPLTR
Current Ratio (MRQ)1.067.10
Debt / Equity (MRQ)0.280.02
Net Debt / EBITDA-0.78-3.08

Dividends

Dividend Yield (TTM)

Palantir (PLTR) pays no dividend (yield 0.00%) — it may be reinvesting, using buybacks, or simply not returning cash through dividends. Meanwhile Costco Wholesale (COST) reports a yield of 0.52%, ranking against industry peers normally.

COST

Consumer Staples Distribution & Retail industry group

0.52%

Max
2.90%
Q3
1.72%
COST
0.52%
Median
0.43%
Q1
0.00%
Min
0.00%

PLTR

Software & Services industry group

0.00%

PLTR
0.00%
Max
0.00%
Q3
0.00%
Median
0.00%
Q1
0.00%
Min
0.00%
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Costco Wholesale (COST) vs. Palantir (PLTR): A comparison of their dividend yield against their respective Consumer Staples Distribution & Retail and Software & Services industry group benchmarks.

Dividend Payout Ratio (TTM)

Palantir (PLTR) pays no dividend (payout 0.00%) — it may be reinvesting, using buybacks, or simply not returning cash through dividends. Meanwhile Costco Wholesale (COST) reports a payout of 26.69%, ranking against industry peers normally.

COST

Consumer Staples Distribution & Retail industry group

26.69%

Max
57.98%
Q3
30.05%
COST
26.69%
Median
11.72%
Q1
0.00%
Min
0.00%

PLTR

Software & Services industry group

0.00%

PLTR
0.00%
Max
0.00%
Q3
0.00%
Median
0.00%
Q1
0.00%
Min
0.00%
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Costco Wholesale (COST) vs. Palantir (PLTR): A comparison of their payout ratio against their respective Consumer Staples Distribution & Retail and Software & Services industry group benchmarks.

Dividend Metrics

Dividend metrics for Costco Wholesale (COST) and Palantir (PLTR)
MetricCOSTPLTR
Dividend Yield (TTM)0.52%0.00%
Dividend Payout Ratio (TTM)26.69%0.00%

Valuation

P/E Ratio (TTM)

Both Costco Wholesale (COST) at 50.75 and Palantir (PLTR) at 112.94 sit in the richer earnings-multiple quartile for P/E ratio, so investors are paying more for TTM earnings than they pay for typical peers.

COST

Consumer Staples Distribution & Retail industry group

50.75

COST
50.75
Max
50.75
Q3
33.64
Median
22.19
Q1
16.09
Min
9.28

PLTR

Software & Services industry group

112.94

PLTR
112.94
Max
112.94
Q3
60.32
Median
32.91
Q1
18.77
Min
6.69
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Costco Wholesale (COST) vs. Palantir (PLTR): A comparison of their P/E ratio against their respective Consumer Staples Distribution & Retail and Software & Services industry group benchmarks.

P/S Ratio (TTM)

Both look expensive on sales: Costco Wholesale (COST) at 1.54 sits in the upper P/S ratio quartile, and Palantir (PLTR) at 53.02 prices even higher, above its industry range.

COST

Consumer Staples Distribution & Retail industry group

1.54

COST
1.54
Max
1.54
Q3
0.81
Median
0.47
Q1
0.26
Min
0.02

PLTR

Software & Services industry group

53.02

PLTR
53.02
Max
17.91
Q3
8.78
Median
4.25
Q1
2.23
Min
0.02
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Costco Wholesale (COST) vs. Palantir (PLTR): A comparison of their P/S ratio against their respective Consumer Staples Distribution & Retail and Software & Services industry group benchmarks.

P/B Ratio (MRQ)

Measured against book value, both Costco Wholesale (COST) at 13.04 and Palantir (PLTR) at 34.41 look expensive — each P/B ratio sits above its industry’s benchmark range.

COST

Consumer Staples Distribution & Retail industry group

13.04

COST
13.04
Max
10.15
Q3
6.27
Median
3.70
Q1
1.85
Min
0.93

PLTR

Software & Services industry group

34.41

PLTR
34.41
Max
16.63
Q3
8.50
Median
4.30
Q1
1.92
Min
-3.90
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Costco Wholesale (COST) vs. Palantir (PLTR): A comparison of their P/B ratio against their respective Consumer Staples Distribution & Retail and Software & Services industry group benchmarks.

Valuation Metrics

Valuation metrics for Costco Wholesale (COST) and Palantir (PLTR)
MetricCOSTPLTR
P/E Ratio (TTM)50.75112.94
P/S Ratio (TTM)1.5453.02
P/B Ratio (MRQ)13.0434.41
Free Cash Flow Yield (TTM)1.45%0.69%