WallStSmart

Costco Wholesale Corp (COST)vsLQR House Inc (YHC)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Costco Wholesale Corp generates 21615788% more annual revenue ($293.59B vs $1.36M). COST leads profitability with a 3.0% profit margin vs 0.0%. YHC trades at a lower P/E of 0.1x. COST earns a higher WallStSmart Score of 61/100 (C+).

COST

Buy

61

out of 100

Grade: C+

Growth: 8.0Profit: 6.5Value: 3.7Quality: 6.3
Piotroski: 4/9Altman Z: 4.84

YHC

Avoid

30

out of 100

Grade: F

Growth: 5.3Profit: 2.5Value: 6.7Quality: 9.0
Piotroski: 4/9Altman Z: 4.12

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

COST6 strengths · Avg: 8.8/10
Market CapQuality
$411.24B10/10

Mega-cap, among the largest globally

Altman Z-ScoreHealth
4.8410/10

Safe zone — low bankruptcy risk

Return on EquityProfitability
26.4%9/10

Every $100 of equity generates 26 in profit

Revenue GrowthGrowth
21.5%8/10

Revenue surging 21.5% year-over-year

EPS GrowthGrowth
45.5%8/10

Earnings expanding 45.5% YoY

Free Cash FlowQuality
$2.04B8/10

Generating 2.0B in free cash flow

YHC4 strengths · Avg: 10.0/10
P/E RatioValuation
0.1x10/10

Attractively priced relative to earnings

Price/BookValuation
1.2x10/10

Reasonable price relative to book value

Debt/EquityHealth
0.0010/10

Conservative balance sheet, low leverage

Altman Z-ScoreHealth
4.1210/10

Safe zone — low bankruptcy risk

Areas to Watch

COST4 concerns · Avg: 2.5/10
Profit MarginProfitability
3.0%3/10

3.0% margin — thin

Operating MarginProfitability
3.7%3/10

Operating margin of 3.7%

PEG RatioValuation
4.542/10

Expensive relative to growth rate

P/E RatioValuation
46.7x2/10

Premium valuation, high expectations priced in

YHC4 concerns · Avg: 3.0/10
EPS GrowthGrowth
0.0%4/10

0.0% earnings growth

Market CapQuality
$1.81M3/10

Smaller company, higher risk/reward

Profit MarginProfitability
0.0%3/10

0.0% margin — thin

Return on EquityProfitability
-177.2%2/10

ROE of -177.2% — below average capital efficiency

Comparative Analysis Report

WallStSmart Research

Bull 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 : YHC

The strongest argument for YHC centers on P/E Ratio, Price/Book, Debt/Equity.

Bear Case : COST

The primary concerns for COST are Profit Margin, Operating Margin, PEG Ratio. A P/E of 46.7x leaves little room for execution misses. Thin 3.0% margins leave little buffer for downturns.

Bear Case : YHC

The primary concerns for YHC are EPS Growth, Market Cap, Profit Margin.

Key Dynamics to Monitor

COST profiles as a growth stock while YHC is a value play — different risk/reward profiles.

YHC carries more volatility with a beta of 3.22 — expect wider price swings.

COST is growing revenue faster at 21.5% — sustainability is the question.

COST generates stronger free cash flow (2.0B), providing more financial flexibility.

Bottom Line

COST scores higher overall (61/100 vs 30/100) and 21.5% revenue growth. Both earn "Buy" and "Avoid" 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.

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LQR House Inc

CONSUMER DEFENSIVE · BEVERAGES - WINERIES & DISTILLERIES · USA

LQR House Inc (YHC) is a burgeoning player in the premium beverage sector, focusing on ready-to-drink cocktails that meet the rising consumer appetite for high-quality, authentic experiences. Leveraging advanced production methods and partnerships with expert mixologists, the company delivers innovative products that appeal to discerning tastes. With a strategic emphasis on sustainability and market expansion, LQR House is well-positioned for substantial growth and is dedicated to maximizing shareholder value through exceptional craftsmanship and optimized distribution networks.

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