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
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…
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
|