Better Buy: Costco vs. Starbucks

Many readers out there are probably customers of both Costco (NASDAQ: COST) and Starbucks (NASDAQ: SBUX). And if your investing style focuses on quality businesses, they might just be in your portfolios as well.

Costco's stock is up five-fold over the past decade, while Starbucks' stock is up over six-fold. What makes these businesses great is just how vital they are to their customers' lives.

But the past is not what we should fixate on as investors, as the stock market is forward-looking. Let's assess the investment merits of these companies.

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Source Fool.com