About COST Dividend Returns
Costco Wholesale Corporation (COST) is a dividend-paying stock. When dividends are reinvested through a DRIP (Dividend Reinvestment Plan), they purchase additional shares, which then generate their own dividends—creating a compounding effect that can significantly boost long-term returns.
How We Calculate Total Return
Our total return calculator simulates dividend reinvestment (DRIP) by assuming each dividend payment is used to purchase additional shares at the closing price on the ex-dividend date. This methodology provides an accurate representation of how a dividend reinvestment plan would perform.
Frequently Asked Questions
Q1What is the total return of COST over the past year?
Costco Wholesale Corporation (COST) delivered a total return of -3.11% over the past year when dividends are reinvested. The price-only return was -3.61%, meaning dividends contributed an additional 0.50 percentage points to total returns.
Q2How much would $10,000 invested in COST be worth today?
A $10,000 investment in Costco Wholesale Corporation one year ago would be worth $9,689 today with dividends reinvested (DRIP). Without reinvesting dividends, the same investment would be worth $9,639. Dividend reinvestment added $50 to the portfolio value.
Q3Does COST pay dividends?
Yes, Costco Wholesale Corporation (COST) pays dividends. In the last year, COST paid approximately $4.91 per share in dividends (0.49% yield). Reinvesting these dividends through a DRIP can significantly boost long-term returns — over 20+ years, dividend compounding can account for 30–50% of total returns for dividend-paying stocks.
Q4Did COST beat the S&P 500?
No, Costco Wholesale Corporation (COST) underperformed the S&P 500 by 18.56 percentage points over the past year. COST delivered a total return of -3.11%, compared to the S&P 500's 15.45%. This means a passive S&P 500 index fund outperformed COST by 18.56pp during this period.
Q5What is COST's worst drawdown?
Costco Wholesale Corporation (COST) experienced a maximum drawdown of -19.57% over the past year, declining from its peak on 2025-06-02 to its trough on 2025-12-22. The stock has not yet fully recovered to its prior peak. Maximum drawdown measures the worst peak-to-trough decline and is an important risk metric for investors.
Q6What is COST's long-term total return over 10, 20, or 30 years?
Costco Wholesale Corporation (COST) has delivered strong long-term returns with dividends reinvested. Over 10 years, the total return is 616.5% (21.8% CAGR) — $10,000 would have grown to $71,649. Over 20 years: 2042.1% total return (16.6% CAGR) — $10,000 → $214,212. Over 30 years: 12720.2% total return (17.6% CAGR) — $10,000 → $1.28M. Long-term investors benefit from compounding: dividends buy additional shares, which generate their own dividends, creating an exponential growth effect.
Q7What was COST's best and worst year?
Costco Wholesale Corporation's best calendar year was 1997 with a total return of 83.0%. Its worst year was 2002 with a total return of -36.9%. This range shows the volatility investors should expect — the difference between the best and worst year is 119.9 percentage points.
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