Costco Wholesale Corp (COST)vsLincoln Educational Services (LINC)
COST
Costco Wholesale Corp
$998.67
+1.59%
CONSUMER DEFENSIVE · Cap: $450.10B
LINC
Lincoln Educational Services
$40.35
+1.74%
CONSUMER DEFENSIVE · Cap: $1.27B
Smart Verdict
WallStSmart Research — data-driven comparison
Costco Wholesale Corp generates 55138% more annual revenue ($286.27B vs $518.24M). LINC leads profitability with a 3.9% profit margin vs 3.0%. LINC appears more attractively valued with a PEG of 3.78. COST earns a higher WallStSmart Score of 61/100 (C+).
COST
Buy61
out of 100
Grade: C+
LINC
Buy50
out of 100
Grade: C-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Intrinsic value data unavailable for COST.
Margin of Safety
-6.3%
Fair Value
$25.34
Current Price
$40.35
$15.01 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Mega-cap, among the largest globally
Safe zone — low bankruptcy risk
Every $100 of equity generates 30 in profit
Conservative balance sheet, low leverage
Revenue surging 21.5% year-over-year
Earnings expanding 45.5% YoY
Earnings expanding 87.1% YoY
19.7% revenue growth
Areas to Watch
3.0% margin — thin
Operating margin of 3.7%
Expensive relative to growth rate
Premium valuation, high expectations priced in
Smaller company, higher risk/reward
3.9% margin — thin
Expensive relative to growth rate
Premium valuation, high expectations priced in
Comparative Analysis Report
WallStSmart ResearchBull Case : COST
The strongest argument for COST centers on Market Cap, Altman Z-Score, Return on Equity. Revenue growth of 21.5% demonstrates continued momentum.
Bull Case : LINC
The strongest argument for LINC centers on EPS Growth, Revenue Growth. Revenue growth of 19.7% demonstrates continued momentum.
Bear Case : COST
The primary concerns for COST are Profit Margin, Operating Margin, PEG Ratio. A P/E of 52.6x leaves little room for execution misses. Thin 3.0% margins leave little buffer for downturns.
Bear Case : LINC
The primary concerns for LINC are Market Cap, Profit Margin, PEG Ratio. A P/E of 62.2x leaves little room for execution misses. Thin 3.9% margins leave little buffer for downturns.
Key Dynamics to Monitor
COST carries more volatility with a beta of 0.98 — expect wider price swings.
COST is growing revenue faster at 21.5% — sustainability is the question.
COST generates stronger free cash flow (1.7B), providing more financial flexibility.
Monitor DISCOUNT STORES industry trends, competitive dynamics, and regulatory changes.
Bottom Line
COST scores higher overall (61/100 vs 50/100) and 21.5% revenue growth. Both earn "Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
Costco Wholesale Corp
CONSUMER DEFENSIVE · DISCOUNT STORES · USA
Costco Wholesale Corporation (doing business as Costco Wholesale and also known simply as Costco) is an American multinational corporation which operates a chain of membership-only (needing a membership to shop there) big-box retail stores. As of 2020, Costco was the fifth largest retailer in the world, and the world's largest retailer of choice and prime beef, organic foods, rotisserie chicken, and wine as of 2016.
Visit Website →Lincoln Educational Services
CONSUMER DEFENSIVE · EDUCATION & TRAINING SERVICES · USA
Lincoln Educational Services Corporation offers various career-oriented postsecondary education services to high school graduates and working adults in the United States. The company is headquartered in West Orange, New Jersey.
Compare with Other DISCOUNT STORES Stocks
Want to dig deeper into these stocks?