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

Here's a clear look at COST and PM, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.

Company Profile

SymbolCOSTPM
Company NameCostco Wholesale CorporationPhilip Morris International Inc.
CountryUnited StatesUnited States
GICS SectorConsumer StaplesConsumer Staples
GICS Industry GroupConsumer Staples Distribution & RetailFood, Beverage & Tobacco
GICS IndustryConsumer Staples Distribution & RetailTobacco
GICS Sub-IndustryConsumer Staples Merchandise RetailTobacco
Market Capitalization436.71 billion USD254.88 billion USD
CurrencyUSDUSD
ExchangeNasdaqGSNYSE
Listing DateJuly 9, 1986March 17, 2008
Security TypeCommon StockCommon Stock

COST's market capitalization (436.71 billion USD) is substantially larger than PM's (254.88 billion USD), indicating a significant difference in their market valuations.

Historical Performance

This chart compares the performance of COST and PM 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.

COST vs. PM: Growth of a $10,000 investment over the past five years.

Historical Performance at a Glance

SymbolCOSTPM
5-Day Price Return1.88%0.18%
13-Week Price Return15.10%0.91%
26-Week Price Return4.30%0.96%
52-Week Price Return4.81%5.50%
Month-to-Date Return-2.66%-12.47%
Year-to-Date Return14.09%1.96%
10-Day Avg. Volume1.50M4.49M
3-Month Avg. Volume2.44M5.54M
3-Month Volatility19.72%26.81%
Beta0.980.47

COST's beta of 0.98 points to significantly higher volatility compared to PM (beta: 0.47), 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.

PM

575.44%

Tobacco Industry

Max
42.31%
Q3
42.31%
Median
18.49%
Q1
6.40%
Min
4.80%

PM's Return on Equity of 575.44% is exceptionally high, placing it well beyond the typical range for the Tobacco industry. This demonstrates a superior ability to generate profit from shareholder investments, though it could also be inflated by high financial leverage.

COST vs. PM: A comparison of their Return on Equity (TTM) against their respective Consumer Staples Distribution & Retail and Tobacco industry benchmarks.

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.

PM

27.92%

Tobacco Industry

Max
30.32%
Q3
28.40%
Median
14.71%
Q1
7.20%
Min
5.89%

PM's Net Profit Margin of 27.92% is aligned with the median group of its peers in the Tobacco industry. This indicates its ability to convert revenue into profit is typical for the sector.

COST vs. PM: A comparison of their Net Profit Margin (TTM) against their respective Consumer Staples Distribution & Retail and Tobacco industry benchmarks.

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.

PM

36.64%

Tobacco Industry

Max
42.52%
Q3
37.24%
Median
21.02%
Q1
10.77%
Min
8.28%

PM's Operating Profit Margin of 36.64% is around the midpoint for the Tobacco industry, indicating that its efficiency in managing core business operations is typical for the sector.

COST vs. PM: A comparison of their Operating Profit Margin (TTM) against their respective Consumer Staples Distribution & Retail and Tobacco industry benchmarks.

Profitability at a Glance

SymbolCOSTPM
Return on Equity (TTM)28.81%575.44%
Return on Assets (TTM)10.72%16.82%
Net Profit Margin (TTM)2.99%27.92%
Operating Profit Margin (TTM)3.82%36.64%
Gross Profit Margin (TTM)12.93%67.13%

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.

PM

0.96

Tobacco Industry

Max
2.57
Q3
1.93
Median
1.17
Q1
0.84
Min
0.65

PM's Current Ratio of 0.96 aligns with the median group of the Tobacco industry, indicating that its short-term liquidity is in line with its sector peers.

COST vs. PM: A comparison of their Current Ratio (MRQ) against their respective Consumer Staples Distribution & Retail and Tobacco industry benchmarks.

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.

PM

186.08

Tobacco Industry

Max
2.07
Q3
2.07
Median
0.58
Q1
0.11
Min
0.01

With a Debt-to-Equity Ratio of 186.08, PM operates with exceptionally high leverage compared to the Tobacco industry norm. This suggests an aggressive reliance on debt financing, which can magnify returns but also significantly elevates financial risk.

COST vs. PM: A comparison of their Debt-to-Equity Ratio (MRQ) against their respective Consumer Staples Distribution & Retail and Tobacco industry benchmarks.

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.

PM

15.37

Tobacco Industry

Max
274.52
Q3
114.31
Median
12.22
Q1
7.49
Min
-11.45

PM's Interest Coverage Ratio of 15.37 is positioned comfortably within the norm for the Tobacco industry, indicating a standard and healthy capacity to cover its interest payments.

COST vs. PM: A comparison of their Interest Coverage Ratio (TTM) against their respective Consumer Staples Distribution & Retail and Tobacco industry benchmarks.

Financial Strength at a Glance

SymbolCOSTPM
Current Ratio (MRQ)1.060.96
Quick Ratio (MRQ)0.590.51
Debt-to-Equity Ratio (MRQ)0.18186.08
Interest Coverage Ratio (TTM)91.2715.37

Growth

Revenue Growth

COST vs. PM: A comparison of their Revenue Growth across different time periods.

Revenue Growth at a Glance

SymbolCOSTPM
Revenue Growth (MRQ vs Prior YoY)9.22%6.76%
Revenue Growth (TTM vs Prior YoY)8.40%7.31%
3-Year Revenue CAGR6.64%8.57%
5-Year Revenue CAGR10.54%7.21%

EPS Growth

COST vs. PM: A comparison of their EPS Growth across different time periods.

EPS Growth at a Glance

SymbolCOSTPM
EPS Growth (MRQ vs Prior YoY)13.93%--
EPS Growth (TTM vs Prior YoY)12.26%60.61%
3-Year EPS CAGR11.51%7.70%
5-Year EPS CAGR15.10%7.09%

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.

PM

3.39%

Tobacco Industry

Max
7.84%
Q3
6.34%
Median
4.49%
Q1
2.79%
Min
0.00%

PM's Dividend Yield of 3.39% is consistent with its peers in the Tobacco industry, providing a dividend return that is standard for its sector.

COST vs. PM: A comparison of their Dividend Yield (TTM) against their respective Consumer Staples Distribution & Retail and Tobacco industry benchmarks.

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.

PM

76.00%

Tobacco Industry

Max
100.19%
Q3
82.05%
Median
72.44%
Q1
67.47%
Min
49.96%

PM's Dividend Payout Ratio of 76.00% is within the typical range for the Tobacco industry, suggesting a balanced approach between shareholder payouts and company reinvestment.

COST vs. PM: A comparison of their Dividend Payout Ratio (TTM) against their respective Consumer Staples Distribution & Retail and Tobacco industry benchmarks.

Dividend at a Glance

SymbolCOSTPM
Dividend Yield (TTM)0.65%3.39%
Dividend Payout Ratio (TTM)33.01%76.00%

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.

PM

22.43

Tobacco Industry

Max
22.43
Q3
20.81
Median
14.42
Q1
12.08
Min
11.46

A P/E Ratio of 22.43 places PM in the upper quartile for the Tobacco industry. This high valuation relative to peers suggests the market holds elevated expectations for the company's future growth.

COST vs. PM: A comparison of their Price-to-Earnings Ratio (TTM) against their respective Consumer Staples Distribution & Retail and Tobacco industry benchmarks.

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.

PM

6.26

Tobacco Industry

Max
6.26
Q3
3.92
Median
3.32
Q1
1.50
Min
0.74

PM's P/S Ratio of 6.26 is in the upper echelon for the Tobacco 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.

COST vs. PM: A comparison of their Price-to-Sales Ratio (TTM) against their respective Consumer Staples Distribution & Retail and Tobacco industry benchmarks.

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.

PM

1,368.86

Tobacco Industry

Max
5.29
Q3
5.29
Median
2.98
Q1
2.24
Min
1.23

At 1,368.86, PM's P/B Ratio is at an extreme premium to the Tobacco 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.

COST vs. PM: A comparison of their Price-to-Book Ratio (MRQ) against their respective Consumer Staples Distribution & Retail and Tobacco industry benchmarks.

Valuation at a Glance

SymbolCOSTPM
Price-to-Earnings Ratio (TTM)51.0622.43
Price-to-Sales Ratio (TTM)1.526.26
Price-to-Book Ratio (MRQ)14.091,368.86
Price-to-Free Cash Flow Ratio (TTM)47.9722.30