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 2026-09-26.
Costco Wholesale Corporation · Consumer Defensive
$896.48
+24.7% upside to fair value
Med Conviction
Grade B
High Quality
VS
Honeywell International Inc. · Industrials
$212.55
-8.5% upside to fair value
Med Conviction
Grade C
QuantHub Verdict
COST has more upside to fair value
(+24.7%).
These are model outputs — not personalized investment advice.
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Valuation & Fundamentals
| Metric |
COST |
HON |
| Current Price |
$896.48 |
$212.55 |
| Fair Value Estimate |
$1,117.50 |
$194.50 |
| Upside to Fair Value |
+24.7%
|
-8.5%
|
| Market Cap |
$397.6B |
$67.4B |
| Forward P/E |
—
|
—
|
| EV / EBITDA |
32.7x
|
7.4x
|
| Price / Sales |
1.3x
|
1.9x
|
| Price / FCF |
42.4x
|
16.4x
|
| Revenue Growth YoY |
+11.1%
|
-6.1%
|
| Gross Margin |
17.5%
|
36.6%
|
| Operating Margin |
3.9%
|
14.1%
|
| Return on Equity |
28.0%
|
41.7%
|
| Dividend Yield |
0.62% |
2.09% |
| FCF Yield |
2.36%
|
6.11%
|
| Analyst Consensus |
Strong Buy
|
Buy
|
Investment Thesis
Costco Wholesale Corporation operates a global network of membership-based warehouse clubs, selling branded and private-label merchandise across the United States, Canada, Mexico, Japan, the United Kingdom, South Korea, Taiwan, Australia, Spain, France, Iceland, and China, supplemented by pharmacies, optical centers, food courts, hearing aid centers, tire installation, 636 gas stations, and e-com…
Honeywell International Inc. is a 101,000-employee diversified industrial technology and manufacturing conglomerate, led by CEO Vimal Kapur, spanning Aerospace, Building Technologies, Performance Materials and Technologies, and Safety and Productivity Solutions. Business quality is solid but not exceptional: the company carries a durable intangible-asset and switching-cost moat in aerospace avion…
Accumulation Zones
| Metric |
COST |
HON |
| Zone Low |
$838.12 |
$145.88 |
| Zone High |
$949.88 |
$165.32 |
| In Buy Zone? |
Yes
|
No
|