COST vs HON: Which Is the Better Buy?

Side-by-side comparison of Costco Wholesale Corporation and Honeywell International Inc. — fair value, conviction, valuation metrics, and QuantHub research signals. Updated 2026-04-25.
Costco Wholesale Corporation · Consumer Defensive
$999.89
-20.7% upside to fair value
Grade D High Quality
VS
Honeywell International Inc. · Industrials
$213.17
-14.5% upside to fair value
Grade D
QuantHub Verdict
HON has more upside to fair value (-14.5%). HON trades at a lower forward P/E (33.0x). These are model outputs — not personalized investment advice. See all research →
Valuation & Fundamentals
Metric COST HON
Current Price $999.89 $213.17
Fair Value Estimate $793.02 $182.35
Upside to Fair Value -20.7% -14.5%
Market Cap $443.6B $135.1B
Forward P/E 51.9x 33.0x
EV / EBITDA 30.9x 23.9x
Price / Sales 1.6x 3.7x
Price / FCF 48.8x 32.4x
Revenue Growth YoY +9.2% -6.9%
Gross Margin 12.9% 36.9%
Operating Margin 3.8% 14.9%
Return on Equity 28.8% 23.6%
Dividend Yield 0% 0%
FCF Yield 2.05% 3.09%
Analyst Consensus Buy Buy
Investment Thesis
COST — 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…
HON — Honeywell International Inc.
Honeywell International Inc. is a diversified industrial conglomerate operating across Aerospace Technologies, Building Automation, Process Automation and Technology, and Safety and Productivity Solutions. The company benefits from a strong leadership team with deep internal experience and a history of strategic acquisitions that have expanded its portfolio into high-growth areas such as aerospac…
Accumulation Zones
Metric COST HON
Zone Low $594.76 $136.76
Zone High $674.07 $155.00
In Buy Zone? No No
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