COST Return on Equity (ROE) Analysis

A Return on Equity (ROE) of 29.2% means Costco generates $29.20 of net profit for every $100 of shareholder equity.

This measure of profitability is well above the sector median of 13.8%, placing the company in the 80th percentile among peers. Trend data are not available: the year-over-year change is N/A, the quarter-over-quarter change is N/A, and the last eight quarters show no trend direction. The high current level alone signals strong efficiency, but without trend data you cannot tell whether this edge is widening or fading. That uncertainty moderates the opportunity, adding risk that today's performance may not persist. This metric supports the overall NEUTRAL verdict, as the strong absolute and relative ROE is offset by the absence of any directional evidence.

Frequently Asked Questions