COST vs NKE: Which Is the Better Buy?
Side-by-side comparison of Costco Wholesale Corporation and NIKE, Inc. — fair value, conviction, valuation metrics, and QuantHub research signals.
Updated 2026-09-25.
Costco Wholesale Corporation · Consumer Defensive
$896.48
+24.7% upside to fair value
Med Conviction
Grade B
High Quality
VS
NIKE, Inc. · Consumer Cyclical
$35.78
+9.9% 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 |
NKE |
| Current Price |
$896.48 |
$35.78 |
| Fair Value Estimate |
$1,117.50 |
$39.33 |
| Upside to Fair Value |
+24.7%
|
+9.9%
|
| Market Cap |
$397.6B |
$53.0B |
| Forward P/E |
—
|
—
|
| EV / EBITDA |
32.7x
|
12.0x
|
| Price / Sales |
1.3x
|
1.1x
|
| Price / FCF |
42.4x
|
24.3x
|
| Revenue Growth YoY |
+11.1%
|
-1.1%
|
| Gross Margin |
17.5%
|
42.9%
|
| Operating Margin |
3.9%
|
8.2%
|
| Return on Equity |
28.0%
|
22.0%
|
| Dividend Yield |
0.62% |
4.58% |
| FCF Yield |
2.36%
|
4.12%
|
| Analyst Consensus |
Strong Buy
|
Hold
|
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…
NIKE designs, markets and distributes athletic footwear, apparel and equipment through the Nike, Jordan and Converse brands, supported by global athlete marketing, valuable intellectual property and a broad wholesale and owned-digital network. Business quality is medium: its brand moat and 22.0% ROE remain meaningful, but the moat is narrowing amid intense competition, weak direct sales and uneve…
Accumulation Zones
| Metric |
COST |
NKE |
| Zone Low |
$838.12 |
$29.50 |
| Zone High |
$949.88 |
$33.43 |
| In Buy Zone? |
Yes
|
No
|