Costco Wholesale Corp (COST)vsNatural Grocers by Vitamin Cottage Inc (NGVC)
COST
Costco Wholesale Corp
$983.86
+1.29%
CONSUMER DEFENSIVE · Cap: $436.71B
NGVC
Natural Grocers by Vitamin Cottage Inc
$26.44
+1.81%
CONSUMER DEFENSIVE · Cap: $730.40M
Smart Verdict
WallStSmart Research — data-driven comparison
Costco Wholesale Corp generates 21630% more annual revenue ($286.27B vs $1.32B). NGVC leads profitability with a 3.3% profit margin vs 3.0%. NGVC appears more attractively valued with a PEG of 1.44. NGVC earns a higher WallStSmart Score of 60/100 (C+).
COST
Buy53
out of 100
Grade: C-
NGVC
Buy60
out of 100
Grade: C+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-76.5%
Fair Value
$557.28
Current Price
$983.86
$426.58 premium
Margin of Safety
+71.9%
Fair Value
$87.98
Current Price
$26.44
$61.54 discount
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
Generating 1.7B in free cash flow
Every $100 of equity generates 24 in profit
Attractively priced relative to earnings
Reasonable price relative to book value
Earnings expanding 25.0% YoY
Areas to Watch
Trading at 13.6x book value
3.0% margin — thin
Operating margin of 3.7%
Expensive relative to growth rate
Smaller company, higher risk/reward
3.3% margin — thin
Operating margin of 4.7%
Comparative Analysis Report
WallStSmart ResearchBull Case : COST
The strongest argument for COST centers on Market Cap, Altman Z-Score, Return on Equity.
Bull Case : NGVC
The strongest argument for NGVC centers on Return on Equity, P/E Ratio, Price/Book. PEG of 1.44 suggests the stock is reasonably priced for its growth.
Bear Case : COST
The primary concerns for COST are Price/Book, Profit Margin, Operating Margin. A P/E of 51.3x leaves little room for execution misses. Thin 3.0% margins leave little buffer for downturns.
Bear Case : NGVC
The primary concerns for NGVC are Market Cap, Profit Margin, Operating Margin. Thin 3.3% margins leave little buffer for downturns.
Key Dynamics to Monitor
NGVC carries more volatility with a beta of 1.20 — expect wider price swings.
COST is growing revenue faster at 9.2% — 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
NGVC scores higher overall (60/100 vs 53/100). 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 →Natural Grocers by Vitamin Cottage Inc
CONSUMER DEFENSIVE · GROCERY STORES · USA
Natural Grocers of Vitamin Cottage, Inc., sells natural and organic foods and dietary supplements in the United States. The company is headquartered in Lakewood, Colorado.
Compare with Other DISCOUNT STORES Stocks
Want to dig deeper into these stocks?