Cosco vs DoorDash Which Is a Better Investment?

Cosco (COST) and DoorDash (DASH) are two companies that operate in very different industries, but both have seen significant growth in their stock prices in recent years. Cosco, a wholesale retailer, has a strong track record of success and loyal customer base, while DoorDash, a food delivery service, has capitalized on the surge in demand for convenient dining options. Investors have shown interest in both stocks for their potential for continued growth and resilience in a competitive market.

Cosco or DoorDash?

When comparing Cosco and DoorDash, different investors may prioritize various metrics based on their investment strategies and goals. So, ask yourself what type of investor you are. This will guide you in determining which metrics are most important for your investment decision between Cosco and DoorDash.

Dividend Investors:

Dividend investors look for stable and growing income streams, using dividend metrics to assess potential investments. A company's dividend yield essentially measures the size of its dividend relative to the total market value of the company. Cosco has a dividend yield of -%, while DoorDash has a dividend yield of -%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. Cosco reports a 5-year dividend growth of 0.00% year and a payout ratio of 0.00%. On the other hand, DoorDash reports a 5-year dividend growth of 0.00% year and a payout ratio of 0.00%.

Value Investors:

Value investors focus on financial metrics to determine a stock's intrinsic value compared to its market value. The Price-to-Earnings (P/E) Ratio links stock price to a company's earnings per share, with Cosco P/E ratio at 36.49 and DoorDash's P/E ratio at -420.19. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. Cosco P/B ratio is 3.07 while DoorDash's P/B ratio is 9.55.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, Cosco has seen a 5-year revenue growth of 0.33%, while DoorDash's is 20.38%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with Cosco's ROE at 17.20% and DoorDash's ROE at -2.41%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are ₹347.00 for Cosco and $170.51 for DoorDash. Over the past year, Cosco's prices ranged from ₹50.75 to ₹369.75, with a yearly change of 628.57%. DoorDash's prices fluctuated between $86.33 and $175.14, with a yearly change of 102.87%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.