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 2026-05-04.
Costco Wholesale Corporation · Consumer Defensive
$999.89
-19.1% upside to fair value
Grade D
High Quality
VS
Deere & Company · Industrials
$578.39
+22.4% upside to fair value
Grade C
QuantHub Verdict
DE has more upside to fair value
(+22.4%).
DE trades at a lower forward P/E
(32.5x).
These are model outputs — not personalized investment advice.
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Valuation & Fundamentals
| Metric |
COST |
DE |
| Current Price |
$999.89 |
$578.39 |
| Fair Value Estimate |
$808.71 |
$708.19 |
| Upside to Fair Value |
-19.1%
|
+22.4%
|
| Market Cap |
$443.6B |
$156.2B |
| Forward P/E |
51.9x
|
32.5x
|
| EV / EBITDA |
30.9x
|
18.4x
|
| Price / Sales |
1.6x
|
3.4x
|
| Price / FCF |
48.8x
|
43.7x
|
| Revenue Growth YoY |
+9.2%
|
+16.3%
|
| Gross Margin |
12.9%
|
35.6%
|
| Operating Margin |
3.8%
|
18.5%
|
| Return on Equity |
28.8%
|
18.9%
|
| Dividend Yield |
0% |
0% |
| FCF Yield |
2.05%
|
2.29%
|
| Analyst Consensus |
Buy
|
Buy
|
Investment Thesis
Costco Wholesale Corporation operates a global membership-based warehouse club model that leverages scale, low costs, and superior employee retention to deliver consistent revenue and earnings growth. The company reported $269.9 billion in net sales for fiscal 2025 with an 8% year-over-year increase, driven by strong segments in Foods and Sundries and membership fees exceeding $5.65 billion in th…
Deere & Company is a leading manufacturer of agricultural, construction, and forestry machinery, with a strong position in production and precision agriculture, small agriculture and turf, and construction and forestry segments. The company benefits from a durable competitive moat driven by its brand, intangible assets, and switching costs, supported by a CEO with deep institutional knowledge and…
Accumulation Zones
| Metric |
COST |
DE |
| Zone Low |
$606.53 |
$531.14 |
| Zone High |
$687.40 |
$601.96 |
| In Buy Zone? |
No
|
Yes
|