COST vs KO: Which Is the Better Buy?
Side-by-side comparison of Costco Wholesale Corporation and The Coca-Cola Company — fair value, conviction, valuation metrics, and QuantHub research signals.
Updated 2026-06-20.
Costco Wholesale Corporation · Consumer Defensive
$951.45
-1.2% upside to fair value
Grade C
High Quality
VS
The Coca-Cola Company · Consumer Defensive
$79.39
-9.9% upside to fair value
Grade D
High Quality
QuantHub Verdict
COST has more upside to fair value
(-1.2%).
KO trades at a lower forward P/E
(24.9x).
These are model outputs — not personalized investment advice.
See all research →
Valuation & Fundamentals
| Metric |
COST |
KO |
| Current Price |
$951.45 |
$79.39 |
| Fair Value Estimate |
$940.44 |
$71.54 |
| Upside to Fair Value |
-1.2%
|
-9.9%
|
| Market Cap |
$421.9B |
$341.6B |
| Forward P/E |
47.8x
|
24.9x
|
| EV / EBITDA |
28.4x
|
19.5x
|
| Price / Sales |
1.4x
|
6.9x
|
| Price / FCF |
47.9x
|
27.2x
|
| Revenue Growth YoY |
+11.6%
|
+12.1%
|
| Gross Margin |
12.9%
|
61.7%
|
| Operating Margin |
3.8%
|
29.3%
|
| Return on Equity |
28.3%
|
43.6%
|
| Dividend Yield |
0% |
0% |
| FCF Yield |
2.09%
|
3.68%
|
| Analyst Consensus |
Buy
|
Strong Buy
|
Investment Thesis
Costco Wholesale Corporation operates a membership-based warehouse club model primarily focused on merchandise sales, which constitute about 98% of its revenue, with membership fees contributing roughly 2%. The company benefits from a durable competitive moat driven by deep operational expertise, a long-tenured leadership culture, and a stable CEO succession. Despite strong revenue growth of 11.6…
The Coca-Cola Company is a leading global branded beverages company with a very wide moat in sparkling soft drinks and non-alcoholic ready-to-drink beverages. It benefits from strong pricing power, stable margins, and high recurring cash flow, supported by a seasoned management team with deep company tenure. Despite solid recent growth with revenue up 12.1% and earnings up 17.8% in the most recen…
Accumulation Zones
| Metric |
COST |
KO |
| Zone Low |
$705.33 |
$53.66 |
| Zone High |
$799.37 |
$60.81 |
| In Buy Zone? |
No
|
No
|