Better Buy: Costco vs Home Depot

As investors get more defensive, they may look at stalwart stocks -- businesses that will be fine regardless of whether the U.S. plunges into a recession. Two companies that come to mind when discussing stalwart businesses are Costco Wholesale (NASDAQ: COST) and Home Depot (NYSE: HD).

Both have been around long enough to weather multiple recessions and economic downturns. But which one is better-positioned for the economic future that awaits us? Let's find out.

Both businesses are consumer-facing retail chains. However, the mechanisms behind the businesses are vastly different.

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Source Fool.com