COST vs QCOM: Which Is the Better Buy?
Side-by-side comparison of Costco Wholesale Corporation and QUALCOMM Incorporated — fair value, conviction, valuation metrics, and QuantHub research signals.
Updated 2026-04-16.
Costco Wholesale Corporation · Consumer Defensive
$1,002.88
-35.4% upside to fair value
Grade C
High Quality
VS
QUALCOMM Incorporated · Technology
$134.47
+77.7% upside to fair value
Med Conviction
Grade B
QuantHub Verdict
QCOM has more upside to fair value
(+77.7%).
QCOM trades at a lower forward P/E
(26.8x).
These are model outputs — not personalized investment advice.
See all research →
Valuation & Fundamentals
| Metric |
COST |
QCOM |
| Current Price |
$1,002.88 |
$134.47 |
| Fair Value Estimate |
$648.03 |
$239.00 |
| Upside to Fair Value |
-35.4%
|
+77.7%
|
| Market Cap |
$444.9B |
$143.6B |
| Forward P/E |
52.1x
|
26.8x
|
| EV / EBITDA |
31.0x
|
—
|
| Price / Sales |
1.6x
|
3.2x
|
| Price / FCF |
49.0x
|
11.1x
|
| Revenue Growth YoY |
+3.4%
|
+8.7%
|
| Gross Margin |
12.9%
|
55.1%
|
| Operating Margin |
3.8%
|
27.1%
|
| Return on Equity |
28.8%
|
21.6%
|
| Dividend Yield |
0% |
— |
| FCF Yield |
2.04%
|
9.0%
|
| Analyst Consensus |
Strong Buy
|
Hold
|
Investment Thesis
Costco Wholesale Corporation operates a global membership-based warehouse club model with over 900 warehouses across 14 countries, generating $254 billion in fiscal 2024 revenue. The company benefits from a durable competitive moat driven by scale advantages, a loyal membership base with high renewal rates, and superior employee retention through better wages and benefits. Despite steady revenue …
Qualcomm Incorporated is a leading semiconductor company specializing in wireless chipsets and IP licensing, with dominant positions in 5G modems via QCT (87% of revenue) and steady QTL royalties. The business excels through a vast patent moat, diversification into automotive and IoT, and robust growth (revenue +13% YoY to $44B in FY2025), but faces risks from Apple modem shifts and China exposur…
Accumulation Zones
| Metric |
COST |
QCOM |
| Zone Low |
$486.02 |
$179.00 |
| Zone High |
$550.83 |
$203.00 |
| In Buy Zone? |
No
|
Yes
|