Cosco vs Walmart Which Is More Lucrative?

Cosco and Walmart are two major retail giants that have established themselves as leaders in the industry. Both companies have a strong global presence and a loyal customer base. However, their stocks have shown different performance trends over the years. While Walmart has been a consistent performer with steady growth, Cosco has experienced more volatility in its stock prices. Investors may need to carefully consider the financial health and growth prospects of both companies before making investment decisions in either stock.

Cosco or Walmart?

When comparing Cosco and Walmart, different investors may prioritize various metrics based on their investment strategies and goals. So, ask yourself what type of investor you are. This will guide you in determining which metrics are most important for your investment decision between Cosco and Walmart.

Dividend Investors:

Dividend investors look for stable and growing income streams, using dividend metrics to assess potential investments. A company's dividend yield essentially measures the size of its dividend relative to the total market value of the company. Cosco has a dividend yield of -%, while Walmart has a dividend yield of 0.88%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. Cosco reports a 5-year dividend growth of 0.00% year and a payout ratio of 0.00%. On the other hand, Walmart reports a 5-year dividend growth of 1.85% year and a payout ratio of 33.23%.

Value Investors:

Value investors focus on financial metrics to determine a stock's intrinsic value compared to its market value. The Price-to-Earnings (P/E) Ratio links stock price to a company's earnings per share, with Cosco P/E ratio at 40.15 and Walmart's P/E ratio at 38.50. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. Cosco P/B ratio is 2.91 while Walmart's P/B ratio is 8.60.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, Cosco has seen a 5-year revenue growth of 0.33%, while Walmart's is 0.34%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with Cosco's ROE at 10.02% and Walmart's ROE at 23.31%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are ₹350.00 for Cosco and $93.04 for Walmart. Over the past year, Cosco's prices ranged from ₹50.75 to ₹364.40, with a yearly change of 618.03%. Walmart's prices fluctuated between $50.51 and $96.18, with a yearly change of 90.41%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.