COST vs DHR: Which Is the Better Buy?
Side-by-side comparison of Costco Wholesale Corporation and Danaher Corporation โ fair value, conviction, valuation metrics, and QuantHub research signals.
Updated 2026-06-20.
Costco Wholesale Corporation ยท Consumer Defensive
$951.45
-1.2% upside to fair value
Grade C
High Quality
VS
Danaher Corporation ยท Healthcare
$177.17
+8.9% upside to fair value
Grade B
High Quality
QuantHub Verdict
DHR has more upside to fair value
(+8.9%).
DHR trades at a lower forward P/E
(34.1x).
These are model outputs โ not personalized investment advice.
See all research โ
Valuation & Fundamentals
| Metric |
COST |
DHR |
| Current Price |
$951.45 |
$177.17 |
| Fair Value Estimate |
$940.44 |
$192.90 |
| Upside to Fair Value |
-1.2%
|
+8.9%
|
| Market Cap |
$421.9B |
$125.4B |
| Forward P/E |
47.8x
|
34.1x
|
| EV / EBITDA |
28.4x
|
20.8x
|
| Price / Sales |
1.4x
|
5.1x
|
| Price / FCF |
47.9x
|
23.7x
|
| Revenue Growth YoY |
+11.6%
|
+3.7%
|
| Gross Margin |
12.9%
|
60.7%
|
| Operating Margin |
3.8%
|
21.0%
|
| Return on Equity |
28.3%
|
7.1%
|
| Dividend Yield |
0% |
0% |
| FCF Yield |
2.09%
|
4.22%
|
| Analyst Consensus |
Buy
|
Strong Buy
|
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 11.6โฆ
Danaher Corporation operates in the healthcare sector, specializing in medical diagnostics and research tools through three balanced platforms: Biotechnology, Life Sciences, and Diagnostics. The company benefits from a durable competitive moat supported by the Danaher Business System, disciplined capital allocation, and a platform-centric organizational structure. Despite modest revenue growth ofโฆ
Accumulation Zones
| Metric |
COST |
DHR |
| Zone Low |
$705.33 |
$144.68 |
| Zone High |
$799.37 |
$163.97 |
| In Buy Zone? |
No
|
No
|