Costco Wholesale Corporation (NASDAQ:COST): Q3 Financial Performance and Investor Insights

Font: Financial Modeling Prep  • May 28, 2026

• EPS Miss, Revenue Beat: Costco's Q3 earnings per share (EPS) of $4.92 narrowly missed consensus estimates but revenue of $69.76 billion surpassed expectations.
• Consistent Revenue Growth: The company has exceeded revenue estimates for six consecutive quarters, demonstrating strong sales momentum and market performance.
• High Valuation, Strong Financial Health: A Price-to-Earnings (P/E) ratio of 51.68 indicates high investor expectations, while a low Debt-to-Equity ratio of 0.26 suggests robust financial stability.

Costco Wholesale Corporation (NASDAQ:COST) is a leading global retailer that operates a chain of membership-only warehouse clubs. The company provides a wide selection of merchandise, from groceries to electronics. With a market capitalization approaching $445 billion, Costco is a major player in the retail sector, putting it under close watch by investors.

On May 28, 2026, Costco reported its third-quarter financial results. The company announced an earnings per share (EPS) of $4.92. This figure narrowly missed the wider analyst consensus estimate of $4.98. However, as highlighted by Benzinga, some analysts had forecast an EPS of exactly $4.92, which the company successfully met.

For the same quarter, the company’s revenue was $69.76 billion. This result slightly beat the analyst expectation of $69.68 billion. This strong financial performance continues a robust pattern for Costco, which has now surpassed revenue estimates for six straight quarters, showing consistent sales growth.

The company's stock has a high valuation, with a Price-to-Earnings (P/E) ratio of 51.68. The P/E ratio compares the company's stock price to its earnings per share. A high P/E like Costco's suggests that investors have strong expectations for the company's future earnings growth, leaving little room for disappointment.

From a financial health perspective, Costco maintains a Debt-to-Equity ratio of 0.26. This key financial ratio measures a company's debt relative to the value of its stockholders' equity. A low number like 0.26 indicates that the company uses less debt and more of its own funds to finance operations, suggesting a stable financial footing.