Patron Partners LLC purchased a new position in Costco Wholesale Corporation (NASDAQ:COST – Free Report) during the second quarter, HoldingsChannel.com reports. The fund purchased 5,859 shares of the retailer’s stock, valued at approximately $5,481,000. Costco Wholesale makes up about 2.1% of Patron Partners LLC’s investment portfolio, making the stock its 8th largest position.
Several other hedge funds and other institutional investors have also modified their holdings of the business. Gunpowder Capital Management LLC dba Oliver Wealth Management acquired a new stake in Costco Wholesale during the fourth quarter worth about $27,000. Lifetime Wealth Management P.C. acquired a new position in Costco Wholesale in the fourth quarter valued at approximately $28,000. Mcguire Capital Advisors Inc. bought a new position in shares of Costco Wholesale during the fourth quarter valued at approximately $28,000. Entrust Financial LLC acquired a new stake in shares of Costco Wholesale during the 4th quarter worth approximately $31,000. Finally, Manning & Napier Advisors LLC raised its position in shares of Costco Wholesale by 750.0% during the 1st quarter. Manning & Napier Advisors LLC now owns 34 shares of the retailer’s stock worth $34,000 after purchasing an additional 30 shares during the period. 68.48% of the stock is owned by institutional investors and hedge funds.
Insider Activity at Costco Wholesale
In related news, Director Kenneth D. Denman sold 885 shares of the stock in a transaction that occurred on Tuesday, June 23rd. The shares were sold at an average price of $957.45, for a total transaction of $847,343.25. Following the completion of the sale, the director directly owned 4,779 shares of the company’s stock, valued at $4,575,653.55. This represents a 15.62% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. 0.10% of the stock is owned by insiders.
Key Stories Impacting Costco Wholesale
- Positive Sentiment: Earnings expectations remain favorable. Costco’s history of exceeding estimates, combined with analysts’ expectations for strong sales and earnings momentum, could support the shares ahead of the next quarterly report. Why Costco Could Beat Earnings Estimates Again
- Positive Sentiment: Analyst maintains bullish outlook. Mizuho reiterated a Buy rating and a $1,100 price target, citing confidence in Costco’s membership-driven growth and core operating performance. Analyst Reiterates Buy on Costco
- Positive Sentiment: International expansion offers a longer-term growth driver. Solid international comparable sales, additional warehouse capacity and expansion opportunities in Asia and Europe could gradually make overseas markets more important to Costco’s growth. Can International Markets Become Costco’s Biggest Driver?
- Positive Sentiment: New-store growth continues. A large Southern California warehouse is nearing completion, highlighting Costco’s ongoing domestic expansion and potential membership and sales contributions. Costco’s New California Location
- Neutral Sentiment: Costco is partnering with SCAN Health on a Medicare Advantage plan, potentially broadening member benefits and customer engagement, though the direct financial impact remains unclear. Why Costco? Experts Weigh In on SCAN Health’s New MA Plan
- Neutral Sentiment: Fall bakery promotions and favorable consumer coverage reinforce Costco’s retail appeal but are unlikely to materially change near-term earnings. Costco Fall Bakery Items
- Negative Sentiment: Valuation is the primary risk. Commentary argues that Costco’s exceptional operating record and decade-long stock gains are already reflected in a high earnings multiple, leaving less room for disappointment and potentially limiting upside. Why Investors Should Pause
- Negative Sentiment: Target may offer a more attractive risk-reward profile because of its lower valuation and improving momentum, creating a relative headwind for COST. Costco vs. Target
- Negative Sentiment: Walmart’s new rotisserie-chicken offering intensifies competition in a high-visibility Costco category, although the immediate impact on Costco’s results is uncertain. Walmart Challenges Costco With Rotisserie Chicken
Analysts Set New Price Targets
Several analysts recently issued reports on the company. Deutsche Bank Aktiengesellschaft reissued a “buy” rating and issued a $1,120.00 price target on shares of Costco Wholesale in a report on Thursday, August 6th. Bank of America upped their price target on shares of Costco Wholesale from $1,185.00 to $1,200.00 and gave the stock a “buy” rating in a research report on Friday, May 29th. Truist Financial increased their price objective on shares of Costco Wholesale from $977.00 to $1,011.00 and gave the stock a “hold” rating in a report on Friday, May 29th. DA Davidson reiterated a “neutral” rating and issued a $1,000.00 price objective on shares of Costco Wholesale in a research report on Thursday, June 4th. Finally, The Goldman Sachs Group boosted their target price on shares of Costco Wholesale from $1,088.00 to $1,159.00 and gave the company a “buy” rating in a research note on Friday, May 29th. Twenty-two equities research analysts have rated the stock with a Buy rating, eleven have issued a Hold rating and one has issued a Sell rating to the company’s stock. According to MarketBeat.com, the company presently has a consensus rating of “Moderate Buy” and an average target price of $1,059.53.
View Our Latest Research Report on Costco Wholesale
Costco Wholesale Price Performance
Shares of NASDAQ COST opened at $939.96 on Wednesday. Costco Wholesale Corporation has a twelve month low of $844.06 and a twelve month high of $1,096.50. The company has a current ratio of 1.07, a quick ratio of 0.61 and a debt-to-equity ratio of 0.17. The company has a market capitalization of $416.85 billion, a price-to-earnings ratio of 47.28, a PEG ratio of 4.31 and a beta of 0.87. The firm has a 50-day moving average of $945.29 and a two-hundred day moving average of $979.34.
Costco Wholesale Dividend Announcement
The firm also recently announced a quarterly dividend, which was paid on Friday, August 7th. Investors of record on Friday, July 24th were issued a $1.47 dividend. This represents a $5.88 dividend on an annualized basis and a dividend yield of 0.6%. The ex-dividend date was Friday, July 24th. Costco Wholesale’s payout ratio is presently 29.58%.
About Costco Wholesale
Costco Wholesale Corporation operates a global chain of membership-only warehouse clubs that sell a wide array of merchandise in bulk at discounted prices. The company’s product mix includes groceries, fresh and frozen food, household goods, electronics, apparel, and seasonal items, augmented by its prominent private-label brand, Kirkland Signature. Costco’s business model centers on annual membership fees and high-volume, low-margin sales, designed to drive repeat purchasing and strong customer loyalty among both consumers and small-business buyers.
Beyond merchandise, Costco provides a range of ancillary services that complement its warehouses, including gasoline stations, pharmacy and optical services, hearing aid centers, photo services, and travel and insurance products.
Read More
- Five stocks we like better than Costco Wholesale
- Dutch Bros Sell-Off Creates a Growth Opportunity
- NVIDIA’s MediaTek Bet Shows How It Plans to Defend Its AI Moat
- Is Abercrombie & Fitch’s Hot Streak Just Getting Started?
- Medtronic’s Stars Are Aligning for a Price Recovery
Want to see what other hedge funds are holding COST? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for Costco Wholesale Corporation (NASDAQ:COST – Free Report).
Receive News & Ratings for Costco Wholesale Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Costco Wholesale and related companies with MarketBeat.com's FREE daily email newsletter.
