COST vs DHR: Which Is the Better Buy?
Side-by-side comparison of Costco Wholesale Corporation and Danaher Corporation β fair value, conviction, valuation metrics, and QuantHub research signals.
Updated 2026-05-04.
Costco Wholesale Corporation Β· Consumer Defensive
$999.89
-19.1% upside to fair value
Grade D
High Quality
VS
Danaher Corporation Β· Healthcare
$174.04
+13.2% upside to fair value
Grade B
QuantHub Verdict
DHR has more upside to fair value
(+13.2%).
DHR trades at a lower forward P/E
(33.4x).
These are model outputs β not personalized investment advice.
See all research β
Valuation & Fundamentals
| Metric |
COST |
DHR |
| Current Price |
$999.89 |
$174.04 |
| Fair Value Estimate |
$808.71 |
$197.01 |
| Upside to Fair Value |
-19.1%
|
+13.2%
|
| Market Cap |
$443.6B |
$123.2B |
| Forward P/E |
51.9x
|
33.4x
|
| EV / EBITDA |
30.9x
|
20.3x
|
| Price / Sales |
1.6x
|
5.0x
|
| Price / FCF |
48.8x
|
23.3x
|
| Revenue Growth YoY |
+9.2%
|
+3.7%
|
| Gross Margin |
12.9%
|
60.7%
|
| Operating Margin |
3.8%
|
21.0%
|
| Return on Equity |
28.8%
|
7.1%
|
| Dividend Yield |
0% |
0% |
| FCF Yield |
2.05%
|
4.3%
|
| Analyst Consensus |
Buy
|
Strong 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 thβ¦
Danaher Corporation is a diversified healthcare company focused on medical diagnostics, life sciences, and biotechnology, generating approximately $24 billion in revenue with a strong recurring revenue base of over 81%. The company benefits from a high gross margin of 60.7% and solid operating margin of 21%, supported by a seasoned management team with a proven capital allocation track record incβ¦
Accumulation Zones
| Metric |
COST |
DHR |
| Zone Low |
$606.53 |
$147.76 |
| Zone High |
$687.40 |
$167.46 |
| In Buy Zone? |
No
|
No
|