COST vs GOOG: Which Is the Better Buy?

Side-by-side comparison of Costco Wholesale Corporation and Alphabet Inc. β€” fair value, conviction, valuation metrics, and QuantHub research signals. Updated 2026-04-20.
Costco Wholesale Corporation Β· Consumer Defensive
$999.89
-20.7% upside to fair value
Grade D High Quality
VS
Alphabet Inc. Β· Communication Services
$339.40
-6.2% upside to fair value
Grade D High Quality
QuantHub Verdict
GOOG has more upside to fair value (-6.2%). GOOG trades at a lower forward P/E (31.2x). These are model outputs β€” not personalized investment advice. See all research β†’
Valuation & Fundamentals
Metric COST GOOG
Current Price $999.89 $339.40
Fair Value Estimate $793.02 $318.47
Upside to Fair Value -20.7% -6.2%
Market Cap $443.6B $4,105.7B
Forward P/E 51.9x 31.2x
EV / EBITDA 30.9x 23.1x
Price / Sales 1.6x 10.3x
Price / FCF 48.8x 56.4x
Revenue Growth YoY +9.2% +11.3%
Gross Margin 12.9% 59.7%
Operating Margin 3.8% 32.0%
Return on Equity 28.8% 35.0%
Dividend Yield 0% 0%
FCF Yield 2.05% 1.77%
Analyst Consensus Buy Strong Buy
Investment Thesis
COST β€” Costco Wholesale Corporation
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…
GOOG β€” Alphabet Inc.
Alphabet Inc. operates as a global leader in internet content, advertising, cloud computing, and AI technologies, with dominant market positions in search, browser, and mobile operating systems. The company benefits from a high-quality business model characterized by a durable competitive moat, strong revenue growth of 11.3% year-over-year, and robust profitability with net margins of 32.8%. Desp…
Accumulation Zones
Metric COST GOOG
Zone Low $594.76 $238.85
Zone High $674.07 $270.70
In Buy Zone? No No
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