Ruggaard & Associates LLC purchased a new stake in Costco Wholesale Corporation (NASDAQ:COST – Free Report) during the 2nd quarter, Holdings Channel.com reports. The fund purchased 756 shares of the retailer’s stock, valued at approximately $707,000.
A number of other hedge funds and other institutional investors also recently added to or reduced their stakes in COST. C M Bidwell & Associates Ltd. acquired a new position in shares of Costco Wholesale in the 2nd quarter valued at $28,000. Gunpowder Capital Management LLC dba Oliver Wealth Management purchased a new stake in Costco Wholesale in the fourth quarter valued at $27,000. Burk Holdings LLC purchased a new stake in Costco Wholesale in the second quarter valued at $30,000. Manning & Napier Advisors LLC acquired a new position in Costco Wholesale in the second quarter valued at $30,000. Finally, Mcguire Capital Advisors Inc. acquired a new position in Costco Wholesale in the fourth quarter valued at $28,000. Institutional investors and hedge funds own 68.48% of the company’s stock.
Insider Buying and Selling at Costco Wholesale
In other Costco Wholesale news, Director Kenneth Denman sold 885 shares of the business’s stock in a transaction on Tuesday, June 23rd. The shares were sold at an average price of $957.45, for a total value of $847,343.25. Following the transaction, the director directly owned 4,779 shares of the company’s stock, valued at approximately $4,575,653.55. The trade was a 15.62% decrease in their position. The sale was disclosed in a filing with the SEC, which can be accessed through the SEC website. 0.10% of the stock is currently owned by corporate insiders.
Costco Wholesale Price Performance
Costco Wholesale Dividend Announcement
The business also recently declared a quarterly dividend, which was paid on Friday, August 7th. Stockholders of record on Friday, July 24th were paid a dividend of $1.47 per share. This represents a $5.88 annualized dividend and a dividend yield of 0.6%. The ex-dividend date was Friday, July 24th. Costco Wholesale’s dividend payout ratio is 29.58%.
Key Headlines Impacting Costco Wholesale
Here are the key news stories impacting Costco Wholesale this week:
- Positive Sentiment: Strong August sales: Net sales increased 9.9% year over year, with comparable sales rising across regions and digitally enabled sales advancing 17.9%. The figures point to resilient member demand and continued e-commerce momentum. Costco’s August Sales Rise 9.9% as Digital Growth Stays Strong
- Positive Sentiment: Analyst support remains broad: BTIG reiterated a Buy rating with a $1,125 target, while Bank of America maintained its Buy rating and $1,200 target. Analysts cited resilient core performance, market-share gains, and higher earnings estimates. BTIG Reaffirms Buy on Costco
- Positive Sentiment: Long-term shareholder appeal: Commentary highlighted Costco’s consistent dividend growth since 2004, membership model, customer loyalty, and potential for continued earnings expansion.
- Neutral Sentiment: Store expansion: Costco is reportedly considering a new location in Thompson’s Station, Tennessee, supporting its long-term warehouse growth strategy, although the potential site has no immediate earnings impact.
- Neutral Sentiment: Mixed analyst valuation signals: DA Davidson reaffirmed a Neutral rating with a $1,000 target, while Bernstein retained a Buy rating but lowered its target to $1,144, indicating less room for upside despite confidence in the business.
- Negative Sentiment: Valuation concerns: Jim Cramer and other commentators argued that COST trades at roughly 43–49 times earnings, leaving the stock vulnerable if growth slows or results merely meet expectations. Cramer Says Costco at 49 Times Earnings Is the Mistake Loyal Shoppers Keep Making
- Negative Sentiment: Regulatory risk: The Department of Justice expanded a beef-pricing antitrust inquiry to Costco, seeking information on prices, costs, margins, purchasing, and supply-chain practices. Potential compliance costs or scrutiny could pressure sentiment. US DOJ Widens Beef Price Inquiry
- Negative Sentiment: Costco Next shutdown: The company’s online marketplace reportedly went offline without notice, raising questions about its digital strategy, although the platform is not viewed as central to Costco’s core business. Costco Next Online Marketplace Shut Down
Wall Street Analyst Weigh In
A number of analysts have recently commented on COST shares. The Goldman Sachs Group lifted their target price on Costco Wholesale from $1,088.00 to $1,159.00 and gave the stock a “buy” rating in a research report on Friday, May 29th. Bank of America raised their price target on Costco Wholesale from $1,185.00 to $1,200.00 and gave the stock a “buy” rating in a research note on Friday, May 29th. UBS Group lifted their price target on Costco Wholesale from $1,205.00 to $1,275.00 and gave the stock a “buy” rating in a research report on Wednesday, May 20th. HC Wainwright reiterated a “buy” rating on shares of Costco Wholesale in a research note on Monday, June 1st. Finally, Mizuho set a $1,100.00 price objective on Costco Wholesale in a report on Monday, June 1st. Twenty-one research analysts have rated the stock with a Buy rating, twelve have assigned a Hold rating and one has given a Sell rating to the company’s stock. According to MarketBeat.com, the company currently has a consensus rating of “Moderate Buy” and a consensus price target of $1,056.90.
Read Our Latest Stock Analysis on Costco Wholesale
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.
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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).
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