Costco Wholesale (NASDAQ:COST) Shares Up 1.1% After Analyst Upgrade

Costco Wholesale Corporation (NASDAQ:COST) shares rose 1.1% on Friday after Tigress Financial raised their price target on the stock from $1,065.00 to $1,250.00. Tigress Financial currently has a buy rating on the stock. Costco Wholesale traded as high as $993.19 and last traded at $989.11. 2,382,518 shares traded hands during trading, an increase of 9% from the average session volume of 2,194,810 shares. The stock had previously closed at $978.01.

COST has been the subject of a number of other research reports. HSBC upgraded shares of Costco Wholesale to a “buy” rating in a research note on Friday, September 25th. TD Cowen restated a “buy” rating on shares of Costco Wholesale in a research note on Friday, September 25th. Citigroup initiated coverage on shares of Costco Wholesale in a research note on Thursday, June 18th. They set a “neutral” rating and a $1,020.00 price objective on the stock. Deutsche Bank Aktiengesellschaft dropped their target price on shares of Costco Wholesale from $1,091.00 to $1,079.00 and set a “buy” rating on the stock in a report on Monday, September 28th. Finally, Robert W. Baird set a $1,175.00 target price on shares of Costco Wholesale in a research note on Friday, September 25th. Twenty-four equities research analysts have rated the stock with a Buy rating, eight have assigned a Hold rating and one has issued a Sell rating to the stock. Based on data from MarketBeat, the company currently has an average rating of “Moderate Buy” and an average price target of $1,087.40.

Insider Activity at Costco Wholesale

In related news, EVP William Richard Wilcox sold 1,100 shares of Costco Wholesale stock in a transaction that occurred on Tuesday, October 13th. The stock was sold at an average price of $958.21, for a total transaction of $1,054,031.00. Following the completion of the sale, the executive vice president directly owned 3,094 shares of the company’s stock, valued at approximately $2,964,701.74. This trade represents a 26.23% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is accessible through the SEC website. Also, EVP Claudine Adamo sold 2,200 shares of the business’s stock in a transaction on Tuesday, September 29th. The shares were sold at an average price of $915.93, for a total value of $2,015,046.00. Following the completion of the sale, the executive vice president owned 7,134 shares of the company’s stock, valued at $6,534,244.62. This trade represents a 23.57% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Company insiders own 0.10% of the company’s stock.

Key Costco Wholesale News

Here are the key news stories impacting Costco Wholesale this week:

• Positive Sentiment: Improved comparable sales: Costco’s September comparable sales growth accelerated to 7.6%, while reported net sales rose 13% year over year to $30.02 billion. Digitally enabled sales increased 19%, reinforcing the strength of Costco’s membership base and e-commerce operations. September Sales Growth and Costco’s Outlook
• Positive Sentiment: Analyst price-target increase: Tigress Financial raised its Costco price target 17%, from $1,065 to $1,250, and maintained a Buy rating. The firm cited Costco’s digital growth, membership expansion and resilient consumer demand, implying substantial upside from recent trading levels. Tigress Financial Raises Costco Price Target
• Positive Sentiment: Technical and defensive support: COST reclaimed its 50-day and 200-day moving averages, while investors continued rotating toward retailers selling everyday necessities amid elevated inflation and economic uncertainty. Costco Fundamental and Technical Signals
• Positive Sentiment: Shareholder return: Costco declared a quarterly dividend of $1.47 per share, payable November 13 to shareholders of record October 30. The payout highlights continued cash-generation capacity, though the yield remains modest. Costco Quarterly Dividend Announcement
• Neutral Sentiment: Costco’s strong growth outlook is balanced by margin pressure and a valuation near 48 times earnings, meaning investors may require continued membership, sales and profit growth to justify the premium.
• Negative Sentiment: Higher interest rates and persistent inflation could pressure discretionary spending and market valuations. An executive’s sale of 1,100 shares is a minor sentiment negative, but not necessarily a signal of deteriorating fundamentals.

Institutional Investors Weigh In On Costco Wholesale

A number of institutional investors have recently modified their holdings of COST. Wealth Effects LLC increased its stake in Costco Wholesale by 1.2% in the first quarter. Wealth Effects LLC now owns 874 shares of the retailer’s stock valued at $871,000 after purchasing an additional 10 shares in the last quarter. Folger Nolan Fleming Douglas Capital Management Inc. raised its holdings in Costco Wholesale by 1.8% in the first quarter. Folger Nolan Fleming Douglas Capital Management Inc. now owns 551 shares of the retailer’s stock worth $549,000 after purchasing an additional 10 shares during the period. First National Bank of Hutchinson raised its holdings in Costco Wholesale by 0.9% in the first quarter. First National Bank of Hutchinson now owns 1,098 shares of the retailer’s stock worth $1,094,000 after purchasing an additional 10 shares during the period. Frisch Financial Group Inc. raised its holdings in Costco Wholesale by 1.0% in the first quarter. Frisch Financial Group Inc. now owns 1,049 shares of the retailer’s stock worth $1,045,000 after purchasing an additional 10 shares during the period. Finally, Main Street Group LTD boosted its position in shares of Costco Wholesale by 0.8% during the first quarter. Main Street Group LTD now owns 1,226 shares of the retailer’s stock worth $1,221,000 after purchasing an additional 10 shares in the last quarter. Institutional investors own 68.48% of the company’s stock.

Costco Wholesale Stock Up 1.1%

The company has a market cap of $438.30 billion, a price-to-earnings ratio of 47.64, a price-to-earnings-growth ratio of 4.20 and a beta of 0.88. The company has a current ratio of 1.06, a quick ratio of 0.62 and a debt-to-equity ratio of 0.11. The firm’s fifty day moving average price is $932.33 and its 200-day moving average price is $963.09.

Costco Wholesale (NASDAQ:COST) last issued its quarterly earnings data on Thursday, September 24th. The retailer reported $6.75 EPS for the quarter, topping the consensus estimate of $6.54 by $0.21. The business had revenue of $95.72 billion for the quarter, compared to the consensus estimate of $94.97 billion. Costco Wholesale had a return on equity of 27.60% and a net margin of 3.04%. The firm’s revenue was up 11.1% compared to the same quarter last year. During the same quarter last year, the business posted $5.87 EPS. Sell-side analysts predict that Costco Wholesale Corporation will post 22.70 earnings per share for the current year.

Costco Wholesale Announces Dividend

The firm also recently announced a quarterly dividend, which will be paid on Friday, November 13th. Shareholders of record on Friday, October 30th will be paid a $1.47 dividend. This represents a $5.88 dividend on an annualized basis and a yield of 0.6%. The ex-dividend date of this dividend is Friday, October 30th. Costco Wholesale’s payout ratio is presently 28.32%.

Costco Wholesale Company Profile

Costco Wholesale Corporation operates a membership-based warehouse retail business under the Costco name. The company sells a broad selection of merchandise, including groceries, fresh foods, beverages, appliances, electronics, furniture, apparel, jewelry, hardware, and seasonal products. It also offers services such as gasoline, pharmacies, optical departments, hearing-aid centers, food courts, travel services, and business delivery in selected markets.

Costco markets many products under its private-label Kirkland Signature brand and sells merchandise through warehouse locations and e-commerce platforms.