Costco Wholesale Corp (COST)vsGrand Canyon Education Inc (LOPE)
COST
Costco Wholesale Corp
$998.67
+1.59%
CONSUMER DEFENSIVE · Cap: $450.10B
LOPE
Grand Canyon Education Inc
$169.07
-0.11%
CONSUMER DEFENSIVE · Cap: $4.46B
Smart Verdict
WallStSmart Research — data-driven comparison
Costco Wholesale Corp generates 25781% more annual revenue ($286.27B vs $1.11B). LOPE leads profitability with a 19.5% profit margin vs 3.0%. LOPE appears more attractively valued with a PEG of 1.09. LOPE earns a higher WallStSmart Score of 66/100 (B-).
COST
Buy61
out of 100
Grade: C+
LOPE
Strong Buy66
out of 100
Grade: B-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Intrinsic value data unavailable for COST.
Margin of Safety
-45.6%
Fair Value
$110.08
Current Price
$169.07
$58.99 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
Strong operational efficiency at 35.1%
Safe zone — low bankruptcy risk
Every $100 of equity generates 28 in profit
Areas to Watch
3.0% margin — thin
Operating margin of 3.7%
Expensive relative to growth rate
Premium valuation, high expectations priced in
Weak financial health signals
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 : LOPE
The strongest argument for LOPE centers on Operating Margin, Altman Z-Score, Return on Equity. Profitability is solid with margins at 19.5% and operating margin at 35.1%. PEG of 1.09 suggests the stock is reasonably priced for its growth.
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 : LOPE
The primary concerns for LOPE are Piotroski F-Score.
Key Dynamics to Monitor
COST profiles as a growth stock while LOPE is a mature play — different risk/reward profiles.
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.
Bottom Line
LOPE scores higher overall (66/100 vs 61/100), backed by strong 19.5% margins. Both earn "Strong 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 →Grand Canyon Education Inc
CONSUMER DEFENSIVE · EDUCATION & TRAINING SERVICES · USA
Grand Canyon Education, Inc. provides educational services to colleges and universities in the United States. The company is headquartered in Phoenix, Arizona.
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