Costco Wholesale Corporation, together with its subsidiaries, engages in the operation of membership warehouses in the United States, Puerto Rico, Canada, the United Kingdom, Mexico, Japan, Korea, Australia, Spain, France, Iceland, China, and Taiwan. It offers branded and private-label products in a range of merchandise categories. The company offers sundries, dry groceries, candies, coolers, freezers, liquor, and tobacco and deli products; appliances, electronics, health and beauty aids, hardware, garden and patio products, sporting goods, tires, toys and seasonal products, office supplies, automotive care products, postages, tickets, apparel, small appliances, furniture, domestics, housewares, special order kiosks, and jewelry; and meat, produce, service deli, and bakery products. It also operates pharmacies, opticals, food courts, hearing-aid centers, and tire installation centers, as well as 636 gas stations; and offers business delivery, travel, same-day grocery, and various other services online in various countries. As of August 29, 2021, the company operated 815 membership warehouses, including 564 in the United States and Puerto Rico, 105 in Canada, 39 in Mexico, 30 in Japan, 29 in the United Kingdom, 16 in South Korea, 14 in Taiwan, 12 in Australia, 3 in Spain, 1 in Iceland, 1 in France, and 1 in China. It also operates e-commerce websites in the United States, Canada, the United Kingdom, Mexico, South Korea, Taiwan, Japan, and Australia. The company was formerly known as Costco Companies, Inc. and changed its name to Costco Wholesale Corporation in August 1999. Costco Wholesale Corporation was founded in 1976 and is based in Issaquah, Washington.

BUILD UP FREE CASH	2023-09-03 (A)	2024-09-01 (A)	2025-08-31 (A)	2026-08-31 (E)	2027-08-31 (E)	2028-08-31 (E)	2029-08-31 (E)	2030-08-31 (E)
Revenue	242,290	254,453	275,235	297,470	319,527.1	342,736.5	342,736.5	342,736.5
Revenue % Chg.	6.8%	5%	8.2%
EBIT	8,505	9,285	10,383	11,567.7	12,754.3	14,102.7	14,102.7	14,102.7
EBIT Margin	3.5%	3.6%	3.8%
Tax Rate	25.9%	24.4%	25.1%
NOPAT	6,305.4	7,022.9	7,773.3	8,674	9,525.8	10,566.9	10,566.9	10,566.9
NOPAT Margin	2.6%	2.8%	2.8%	2.9%	3%	3.1%	3.1%	3.1%
D&A	2,077	2,237	2,426	2,649.2	2,778.5	2,970.9	2,970.9	2,970.9
D&A / Revenue	0.9%	0.9%	0.9%
Capex	-4,323	-4,710	-5,498	-6,337.6	-6,372.7	-6,503.7	-6,503.7	-6,503.7
Capex / Revenue	-1.8%	-1.9%	-2%
Chg. NWC	1,018	611	1,764	1,290.2	1,385.9	1,486.5	1,486.5	1,486.5
Chg. NWC / Revenue	0.4%	0.2%	0.6%
Unlevered FCF (UFCF)	5,077.4	5,160.9	6,465.3	6,275.9	7,317.4	8,520.7	8,520.7	8,520.7
UFCF % Chg.	110.3%	1.6%	25.3%	-2.9%	16.6%	16.4%	0%	—
PV of UFCF	—	—	—	5,782.4	6,212	6,664.8	6,140.8	5,658
Sum of PV of UFCF	—	—	—	5,782.4	11,994.5	18,659.3	24,800	30,458

Cost of Debt
Tax Rate
After Tax Cost of Debt	1.2%
Risk Free Rate
Market Risk Premium
Beta	1
Cost of Equity	8.7%
Total Debt	9,935
Market Cap	392,633
Total Capital	402,568
Debt Weighting	2.5%
Equity Weighting	97.5%
WACC	8.5%

Exit Multiple EV/FCF
Terminal Value	383,552
PV of Terminal Value	234,662.3
Cumulative PV of UFCF	30,458
Net Debt	-9,081
Equity Value	274,201.3
Shares Outstanding	443.9
Implied Share Price	617.7
Current Share Price	884.5
Implied Upside / (Downside)	-30.2%