COST vs DE: Which Is the Better Buy?
Side-by-side comparison of Costco Wholesale Corporation and Deere & Company — fair value, conviction, valuation metrics, and QuantHub research signals.
Updated 2026-06-20.
Costco Wholesale Corporation · Consumer Defensive
$951.45
-1.2% upside to fair value
Grade C
High Quality
VS
Deere & Company · Industrials
$589.24
-29.6% upside to fair value
Grade D
High Quality
QuantHub Verdict
COST has more upside to fair value
(-1.2%).
DE trades at a lower forward P/E
(33.3x).
These are model outputs — not personalized investment advice.
See all research →
Valuation & Fundamentals
| Metric |
COST |
DE |
| Current Price |
$951.45 |
$589.24 |
| Fair Value Estimate |
$940.44 |
$414.61 |
| Upside to Fair Value |
-1.2%
|
-29.6%
|
| Market Cap |
$421.9B |
$159.1B |
| Forward P/E |
47.8x
|
33.3x
|
| EV / EBITDA |
28.4x
|
18.8x
|
| Price / Sales |
1.4x
|
3.4x
|
| Price / FCF |
47.9x
|
42.2x
|
| Revenue Growth YoY |
+11.6%
|
+6.7%
|
| Gross Margin |
12.9%
|
35.4%
|
| Operating Margin |
3.8%
|
18.4%
|
| Return on Equity |
28.3%
|
18.3%
|
| Dividend Yield |
0% |
0% |
| FCF Yield |
2.09%
|
2.37%
|
| Analyst Consensus |
Buy
|
Hold
|
Investment Thesis
Costco Wholesale Corporation operates a membership-based warehouse club model primarily focused on merchandise sales, which constitute about 98% of its revenue, with membership fees contributing roughly 2%. The company benefits from a durable competitive moat driven by deep operational expertise, a long-tenured leadership culture, and a stable CEO succession. Despite strong revenue growth of 11.6…
Deere & Company is a leading global manufacturer of agricultural, construction, and forestry machinery with a durable competitive moat anchored by its number one market share in large agricultural equipment and a dense dealer network. The company benefits from embedded precision agriculture technology that widens its competitive gap, particularly in North America where it holds 40 to 60 percent m…
Accumulation Zones
| Metric |
COST |
DE |
| Zone Low |
$705.33 |
$310.96 |
| Zone High |
$799.37 |
$352.42 |
| In Buy Zone? |
No
|
No
|