Market value added (MVA) is the difference between a firm fair value and its invested capital. MVA is a measure of the value a company has created in excess of the resources already committed to the enterprise.
Paying user area
Try for free
Costco Wholesale Corp. pages available for free this week:
- Statement of Comprehensive Income
- Balance Sheet: Assets
- Common-Size Income Statement
- Common-Size Balance Sheet: Liabilities and Stockholders’ Equity
- Common Stock Valuation Ratios
- Enterprise Value to EBITDA (EV/EBITDA)
- Price to FCFE (P/FCFE)
- Present Value of Free Cash Flow to Equity (FCFE)
- Total Asset Turnover since 2005
- Price to Earnings (P/E) since 2005
The data is hidden behind: . Unhide it.
Get full access to the entire website from $10.42/mo, or
get 1-month access to Costco Wholesale Corp. for $24.99.
This is a one-time payment. There is no automatic renewal.
We accept:
MVA
Based on: 10-K (reporting date: 2024-09-01), 10-K (reporting date: 2023-09-03), 10-K (reporting date: 2022-08-28), 10-K (reporting date: 2021-08-29), 10-K (reporting date: 2020-08-30), 10-K (reporting date: 2019-09-01).
1 Fair value of debt. See details »
2 Invested capital. See details »
The financial data presents several key trends over a six-year period relating to market value, invested capital, and market value added of the company.
- Market (fair) value
- The market value shows a consistent upward trajectory from September 2019 through September 2023, starting at $139,423 million and reaching $258,661 million. This represents a substantial increase in market valuation. Notably, in the period ending September 2024, the market value surged sharply to $411,024 million, indicating a significant growth acceleration compared to previous years.
- Invested capital
- Invested capital rises steadily from $23,959 million in 2019 to $34,903 million in 2023, reflecting ongoing capital investment in the business. However, in 2024, there is a slight decrease to $32,993 million, which may suggest a reallocation or optimization of capital spending during the most recent period. Despite the minor decline, the overall trend remains upward over the six-year span.
- Market value added (MVA)
- MVA, which represents the difference between market value and invested capital, tracks a consistent increase, moving from $115,464 million in 2019 to $223,758 million by 2023. The growth in MVA signals rising market perception of value creation beyond the invested capital. The 2024 data point reveals a marked jump to $378,031 million, implying a significant enhancement in shareholder value and market confidence relative to prior years.
In summary, the data demonstrates robust growth in the company’s market valuation and value added over the examined period. The sharp increases recorded in 2024 suggest an inflection point or a notably positive market reassessment of the company's prospects. While invested capital generally trends upwards, the slight dip in the latest period may reflect strategic capital management amid this expanding market valuation context.
MVA Spread Ratio
Sep 1, 2024 | Sep 3, 2023 | Aug 28, 2022 | Aug 29, 2021 | Aug 30, 2020 | Sep 1, 2019 | ||
---|---|---|---|---|---|---|---|
Selected Financial Data (US$ in millions) | |||||||
Market value added (MVA)1 | |||||||
Invested capital2 | |||||||
Performance Ratio | |||||||
MVA spread ratio3 | |||||||
Benchmarks | |||||||
MVA Spread Ratio, Competitors4 | |||||||
Target Corp. | |||||||
Walmart Inc. |
Based on: 10-K (reporting date: 2024-09-01), 10-K (reporting date: 2023-09-03), 10-K (reporting date: 2022-08-28), 10-K (reporting date: 2021-08-29), 10-K (reporting date: 2020-08-30), 10-K (reporting date: 2019-09-01).
1 MVA. See details »
2 Invested capital. See details »
3 2024 Calculation
MVA spread ratio = 100 × MVA ÷ Invested capital
= 100 × ÷ =
4 Click competitor name to see calculations.
- Market Value Added (MVA)
- The Market Value Added exhibits a consistent upward trajectory over the observed periods, increasing from approximately $115.5 billion in 2019 to $378.0 billion in 2024. This reflects a substantial enhancement in the company's market valuation and investor perception of value creation over time, with notable acceleration in growth especially between 2023 and 2024.
- Invested Capital
- The invested capital demonstrates a generally increasing trend from 2019 to 2023, starting at roughly $24.0 billion and reaching about $34.9 billion. However, in 2024 there is a slight decline to approximately $33.0 billion. This suggests the company expanded its capital investment base over several years but showed a minor reduction in the latest period, which may indicate a strategic adjustment in asset deployment or capital management practices.
- MVA Spread Ratio
- The MVA spread ratio maintains a strong positive performance throughout the periods, starting at 481.92% in 2019 and rising to an exceptional 1145.79% in 2024. The ratio experiences moderate growth with some fluctuations until 2023, with a significant surge in 2024. This sharp increase implies a markedly improved efficiency in generating market value above the invested capital, indicating enhanced profitability or value creation relative to the base of invested resources.
- Overall Insights
- The simultaneous increase in Market Value Added and the MVA spread ratio suggests that the company has been effective in generating substantial value for its shareholders. The slight dip in invested capital in 2024 amid growing MVA indicates a more efficient use of capital or improved returns on capital investments. The data highlights strong market confidence and value growth, with accelerating value creation metrics in the most recent year, pointing to robust operational and financial performance.
MVA Margin
Sep 1, 2024 | Sep 3, 2023 | Aug 28, 2022 | Aug 29, 2021 | Aug 30, 2020 | Sep 1, 2019 | ||
---|---|---|---|---|---|---|---|
Selected Financial Data (US$ in millions) | |||||||
Market value added (MVA)1 | |||||||
Net sales | |||||||
Performance Ratio | |||||||
MVA margin2 | |||||||
Benchmarks | |||||||
MVA Margin, Competitors3 | |||||||
Target Corp. | |||||||
Walmart Inc. |
Based on: 10-K (reporting date: 2024-09-01), 10-K (reporting date: 2023-09-03), 10-K (reporting date: 2022-08-28), 10-K (reporting date: 2021-08-29), 10-K (reporting date: 2020-08-30), 10-K (reporting date: 2019-09-01).
1 MVA. See details »
2 2024 Calculation
MVA margin = 100 × MVA ÷ Net sales
= 100 × ÷ =
3 Click competitor name to see calculations.
The financial data reveals a consistent and strong growth trajectory over the analyzed periods. The market value added (MVA) exhibits a pronounced upward trend, nearly tripling from US$ 115,464 million in 2019 to US$ 378,031 million by 2024. This substantial increase indicates the company's enhanced ability to create value for its shareholders over the years.
Net sales show a similarly positive pattern, steadily rising from US$ 149,351 million in 2019 to US$ 249,625 million in 2024. While the growth rate in net sales is steady and significant, it is more moderate compared to the rate of increase in MVA, suggesting that value creation is outpacing revenue growth.
The MVA margin, which represents the ratio of market value added to net sales expressed in percentage terms, fluctuates but generally trends upward, increasing from 77.31% in 2019 to a notable peak of 151.44% in 2024. This sharp rise in the MVA margin in the latest period is indicative of enhanced operational efficiency, improved profitability, or increased market valuation relative to sales.
- Market Value Added (MVA)
- Demonstrates a robust growth pattern, nearly tripling over the six-year span, indicating successful value creation for shareholders.
- Net Sales
- Displays consistent upward movement, reflecting expanding revenues and potentially growing market share or operational scale.
- MVA Margin
- Generally increasing with some fluctuations, culminating in a substantial jump in the latest year, suggesting enhanced profitability or market valuation efficiency relative to sales.
Overall, the data suggests that the company has been effective in increasing both its sales and the value it delivers to its shareholders, with particularly strong gains in value creation efficiency in the most recent year analyzed.