Head to head · SEC data as of July 15, 2026

Costco vs Target: which has the stronger fundamentals?

Costco

68

Quality score · out of 100

Target

55

Quality score · out of 100

Costco comes in ahead: a quality score of 68 versus 55 for Target. Costco wins on ROE (26.4% vs 21%), revenue growth (10.4% vs 2.5%) and earnings growth (14.9% vs -2.5%). Target doesn't take a single major metric today.

The metrics, head to head

MetricCostcoTarget
Quality score (0-100)6855
Net margin3%3.2%
Gross margin
ROE26.4%21%
Net debt/EBITDA-0.96×1.5×
FCF margin3%2.8%
Revenue growth (annualized)10.4%2.5%
Earnings growth (annualized)14.9%-2.5%

TTM metrics with official SEC data, refreshed daily. Bold green marks the winner of each metric. A dash means the metric doesn't apply or isn't reliable.

What each one does

Costco. Costco is a warehouse-club chain: customers pay an annual membership to buy at very low prices in large volumes. A big part of its profit comes precisely from those membership fees.

Target. Target is the big American 'cheap chic' retailer: fashion, home and basics at affordable prices with a more curated image than Walmart. Its Achilles heel: it depends far more on discretionary spending than its rivals.

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What this comparison doesn't tell you

The score measures business quality, not whether the stock is cheap or expensive: the better company can be the worse investment if you overpay. For the valuation verdict, enter each one's current price in the analyzer:

Analyze Costco →Analyze Target →

Frequently asked questions

Who has the stronger fundamentals today, Costco or Target?

By the StockSemáforo model (profitability, growth and financial strength, built on official SEC data), Costco scores higher: 68 versus 55 out of 100. The score is recomputed nightly with the latest filings.

Does that make Costco the better investment?

No. The score measures business quality, not valuation: an excellent company can trade at an excessive price and be a poor investment at that price. To find out whether it's cheap or expensive, enter its current quote in the StockSemáforo analyzer.

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