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COST vs TGT: Which Stock Is the Better Buy in 2026?

COST vs TGT — head-to-head comparison of Costco Wholesale Corporation and Target Corporation: P/E N/A vs N/A, dividend 0.52% vs 4.29%, growth, risk, and which is the better buy by investor type.

By StockSignal24 AI··8 min read
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COST vs TGT: Which Stock Is the Better Buy in 2026?
📊 Data as of October 9, 2026 · Refreshed weekly
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A head-to-head, data-driven comparison of COST (Costco Wholesale Corporation) and TGT (Target Corporation) — covering valuation, growth, dividends, risk, and which one fits your portfolio. All metrics pulled from live market data.

Costco Wholesale Corporation (COST)

Consumer Defensive · Discount Stores · NASDAQ

Costco Wholesale Corporation, together with its subsidiaries, engages in the operation of membership warehouses in the United States, Puerto Rico, Canada, the United Kingdom, Mexico, Japan, Korea, Australia, Spain, France, Iceland, China, and Taiwan. It offers branded and private-label products in a range of merchandise categories. The company offers sundries, dry groceries, candies, coolers, freezers, liquor, and tobacco and deli products; appliances, electronics, health and beauty aids, hardware, garden and patio products, sporting goods, tires, toys and seasonal products, office supplies, a…

Target Corporation (TGT)

Consumer Defensive · Discount Stores · NYSE

Target Corporation operates as a general merchandise retailer in the United States. The company offers food assortments, including perishables, dry grocery, dairy, and frozen items; apparel, accessories, home décor products, electronics, toys, seasonal offerings, food, and other merchandise; and beauty and household essentials. It also provides in-store amenities, such as Target Café, Target Optical, Starbucks, and other food service offerings. The company sells its products through its stores; and digital channels, including Target.com. As of March 09, 2022, the company operated approximately…

Quick Verdict

Better for Growth
COST
revenue 8.17% and EPS 9.88% YoY outpace the other name
Better for Value
Tie
neither has a standard trailing P/E to compare (common for ETFs/funds)
Better for Income
TGT
4.29% yield vs the other name's lower payout
Better for Safety
Tie
risk profiles look similar

COST vs TGT: The Numbers Side by Side

Metric COST TGT
Price $871.86 $87.62
Market Cap $387.03B $39.81B
P/E Ratio (lower is cheaper) N/A N/A
EPS $0.00 $0.00
Dividend Yield 0.52% 4.29%
Beta (volatility vs market) 0.98 1.13
ROE (higher is better) 0.00% 0.00%
Debt/Equity (lower is safer) 0.00 0.00
Revenue Growth (YoY) 8.17% -1.68%
EPS Growth (YoY) 9.88% -8.21%
52-Week High $1078.23 $145.08
52-Week Low $844.06 $83.44
Sector Consumer Defensive Consumer Defensive

Valuation: Who Costs Less per Dollar of Earnings?

COST trades at a P/E of N/A, while TGT trades at N/A. ROE for COST is 0.00% versus 0.00% for TGT.

Roughly tied — neither has a standard trailing P/E to compare (common for ETFs/funds).

Where COST and TGT Differ Most

Of the metrics we track, these are the widest gaps between COST and TGT:

  • Revenue growth: COST grew sales 8.17% year over year while TGT managed -1.68%.
  • Size: COST is about 9.7x TGT by market cap ($387.03B vs $39.81B).
  • Dividend: TGT yields 4.29%, versus 0.52% for COST.

Growth: Who Is Expanding Faster?

COST grew revenue 8.17% and EPS 9.88% year-over-year. TGT grew revenue -1.68% and EPS -8.21%.

COST wins — revenue 8.17% and EPS 9.88% YoY outpace the other name.

Risk Profile: Who Is More Defensive?

COST has a beta of 0.98 and a debt-to-equity ratio of 0.00. TGT sits at beta 1.13 and D/E 0.00.

Roughly tied — risk profiles look similar.

Income: Who Pays Shareholders More?

COST yields 0.52%; TGT yields 4.29%.

TGT wins — 4.29% yield vs the other name's lower payout.

Price Check: COST and TGT in Their 52-Week Ranges

Price action over the last 12 months gives important context. A stock near its 52-week high has momentum on its side but limited room before profit-taking; one near its low may be a value opportunity or a structural problem.

  • COST currently trades at $871.86, near its 52-week low — either a value opportunity or a falling-knife scenario; check whether fundamentals are deteriorating (52-week range: $844.06–$1078.23).
  • TGT currently trades at $87.62, near its 52-week low — either a value opportunity or a falling-knife scenario; check whether fundamentals are deteriorating (52-week range: $83.44–$145.08).

Which One Fits Which Investor

  • Long-term holder (10+ years): Lean toward either name works; durability and balance-sheet strength matter more than the next-quarter print.
  • Income / dividend-focused: TGT — higher yield, but always check payout sustainability before chasing.
  • Aggressive growth: COST — faster top-line and EPS expansion at the cost of richer multiples.
  • Value-oriented: either name works — paying less per dollar of earnings, with the trade-off of slower growth.

What Could Go Wrong With Each

Every stock has tail risks that the headline numbers don't capture. Here's what stands out from the available metrics:

  • COST: no obvious red flags in the headline metrics, but always read the most recent 10-K and earnings call before sizing a position.
  • TGT: revenue declined 1.68% year-over-year — confirm whether this is cyclical or structural.

This is a quick heuristic risk scan, not a full risk assessment. Always read the "Risk Factors" section of each company's most recent 10-K filing before investing.

Verdict: COST or TGT?

Neither stock dominates: COST and TGT split the four dimensions evenly, so the better choice depends on which one matters most to you. The clearest dividing line between them is revenue growth, so start there when deciding.

Compare COST vs TGT live →

COST vs TGT: Common Questions

COST vs TGT -- which is the smarter buy this year (2026)?
It depends on your investment goal. For growth investors, COST has the edge — COST grew revenue 8.17% versus -1.68% for TGT. For value investors, Both COST and TGT are roughly comparable on this dimension looks more attractive on earnings multiples (P/E N/A vs N/A). For income, TGT pays a higher yield (0.52% vs 4.29%). For safety, Both COST and TGT are roughly comparable on this dimension has the more defensive profile (beta 0.98 vs 1.13).
Which is cheaper on earnings, COST or TGT?
Neither COST nor TGT has a standard trailing P/E ratio available -- this is common for ETFs and index funds, which don't report a single company-style earnings multiple the way individual stocks do. Look at expense ratio, tracking performance, and holdings overlap instead when comparing funds like these.
COST vs TGT: which has the higher dividend yield?
COST currently yields 0.52% and TGT yields 4.29%. TGT pays the higher current yield. Always verify payout ratio and dividend history before treating yield as guaranteed income — a high yield can also be a warning sign of a falling share price.
Which of COST and TGT swings more with the market?
COST has a beta of 0.98 and TGT has a beta of 1.13. A beta above 1.0 means the stock historically moves more than the broader market; below 1.0 means it moves less. TGT has been the more volatile name based on historical price action.
What are COST's and TGT's market values?
COST has a market capitalization of $387.03B and TGT is at $39.81B. Market cap is share price multiplied by shares outstanding and reflects the total equity value the market assigns to the company.
Would COST or TGT suit a buy-and-hold investor better?
For a long-term holder (10+ years), the safer-quality name usually wins because compounding requires durability. Both COST and TGT are roughly comparable on this dimension screens better on safety metrics here: lower beta, more conservative debt levels, and stronger return on equity. That said, COST is growing faster, so a long-term investor may want both — or split allocation 60/40 toward the safer name.
Which company is expanding faster, COST or TGT?
COST is the faster grower right now. COST grew revenue 8.17% year-over-year and EPS 9.88%; TGT grew revenue -1.68% and EPS -8.21%. TGT's slower growth often comes with a lower valuation — it's the classic growth-vs-value trade-off.
What industries do COST and TGT operate in?
COST (Costco Wholesale Corporation) operates in the Consumer Defensive sector, specifically the Discount Stores industry. TGT (Target Corporation) is in the Consumer Defensive sector, specifically the Discount Stores industry. Because both are in the same sector, this is a true head-to-head comparison.
How should I pick between COST and TGT?
Start with your goal. (1) If you need income, weight the higher-yield name. (2) If you want growth, weight the faster top-line and EPS grower. (3) If you want capital preservation, weight the lower-beta, lower-debt, higher-ROE name. (4) If you're unsure, the most common professional approach is to own both in a sector basket so you don't have to predict the winner — and rebalance annually.

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Disclaimer: This comparison is generated from live market data for informational purposes only. It is not investment advice, a recommendation to buy or sell any security, or a substitute for the analysis of a licensed financial advisor. Past performance is not indicative of future results. Always read the most recent 10-K and consult a qualified professional before making investment decisions. StockSignal24 is not responsible for losses incurred from trading decisions made based on this content.

COST vs TGTStock ComparisonCOSTTGTConsumer DefensiveCOST stockTGT stock

Frequently Asked Questions

COST vs TGT -- which is the smarter buy this year (2026)?

It depends on your investment goal. For growth investors, COST has the edge — COST grew revenue 8.17% versus -1.68% for TGT. For value investors, Both COST and TGT are roughly comparable on this dimension looks more attractive on earnings multiples (P/E N/A vs N/A). For income, TGT pays a higher yield (0.52% vs 4.29%). For safety, Both COST and TGT are roughly comparable on this dimension has the more defensive profile (beta 0.98 vs 1.13).

Which is cheaper on earnings, COST or TGT?

Neither COST nor TGT has a standard trailing P/E ratio available -- this is common for ETFs and index funds, which don't report a single company-style earnings multiple the way individual stocks do. Look at expense ratio, tracking performance, and holdings overlap instead when comparing funds like these.

COST vs TGT: which has the higher dividend yield?

COST currently yields 0.52% and TGT yields 4.29%. TGT pays the higher current yield. Always verify payout ratio and dividend history before treating yield as guaranteed income — a high yield can also be a warning sign of a falling share price.

Which of COST and TGT swings more with the market?

COST has a beta of 0.98 and TGT has a beta of 1.13. A beta above 1.0 means the stock historically moves more than the broader market; below 1.0 means it moves less. TGT has been the more volatile name based on historical price action.

What are COST's and TGT's market values?

COST has a market capitalization of $387.03B and TGT is at $39.81B. Market cap is share price multiplied by shares outstanding and reflects the total equity value the market assigns to the company.

Would COST or TGT suit a buy-and-hold investor better?

For a long-term holder (10+ years), the safer-quality name usually wins because compounding requires durability. Both COST and TGT are roughly comparable on this dimension screens better on safety metrics here: lower beta, more conservative debt levels, and stronger return on equity. That said, COST is growing faster, so a long-term investor may want both — or split allocation 60/40 toward the safer name.

Which company is expanding faster, COST or TGT?

COST is the faster grower right now. COST grew revenue 8.17% year-over-year and EPS 9.88%; TGT grew revenue -1.68% and EPS -8.21%. TGT's slower growth often comes with a lower valuation — it's the classic growth-vs-value trade-off.

What industries do COST and TGT operate in?

COST (Costco Wholesale Corporation) operates in the Consumer Defensive sector, specifically the Discount Stores industry. TGT (Target Corporation) is in the Consumer Defensive sector, specifically the Discount Stores industry. Because both are in the same sector, this is a true head-to-head comparison.

How should I pick between COST and TGT?

Start with your goal. (1) If you need income, weight the higher-yield name. (2) If you want growth, weight the faster top-line and EPS grower. (3) If you want capital preservation, weight the lower-beta, lower-debt, higher-ROE name. (4) If you're unsure, the most common professional approach is to own both in a sector basket so you don't have to predict the winner — and rebalance annually.

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