Costco Wholesale Corporation $COST Stock: StrongBox Wealth LLC Raises Holdings

StrongBox Wealth LLC increased its stake in shares of Costco Wholesale Corporation (NASDAQ:COST) by 11.1% during the 3rd quarter, Holdings Channel reports. The institutional investor owned 8,978 shares of the retailer’s stock after buying an additional 898 shares during the period. Costco Wholesale makes up 2.2% of StrongBox Wealth LLC’s holdings, making the stock its 14th biggest holding. StrongBox Wealth LLC’s holdings in Costco Wholesale were worth $8,173,000 at the end of the most recent quarter.

A number of other hedge funds have also recently added to or reduced their stakes in the stock. State Street Corp raised its stake in shares of Costco Wholesale by 31.7% in the second quarter. State Street Corp now owns 23,901,594 shares of the retailer’s stock worth $22,359,224,000 after acquiring an additional 5,749,362 shares during the last quarter. Bank of America Corp DE lifted its position in shares of Costco Wholesale by 11.5% during the first quarter. Bank of America Corp DE now owns 7,515,031 shares of the retailer’s stock worth $7,488,203,000 after purchasing an additional 773,651 shares in the last quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC lifted its position in shares of Costco Wholesale by 5.5% during the second quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC now owns 3,068,312 shares of the retailer’s stock worth $2,870,314,000 after purchasing an additional 160,893 shares in the last quarter. Amundi grew its stake in shares of Costco Wholesale by 11.1% during the first quarter. Amundi now owns 2,839,016 shares of the retailer’s stock valued at $2,828,881,000 after purchasing an additional 283,360 shares during the last quarter. Finally, Ascentis Wealth Management LLC grew its stake in shares of Costco Wholesale by 103,637.0% during the second quarter. Ascentis Wealth Management LLC now owns 2,500,062 shares of the retailer’s stock valued at $2,549,616,000 after purchasing an additional 2,497,652 shares during the last quarter. Institutional investors own 68.48% of the company’s stock.

Insider Activity at Costco Wholesale

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

Costco Wholesale Stock Performance

Shares of NASDAQ:COST opened at $1,065.59 on Friday. The company has a current ratio of 1.06, a quick ratio of 0.62 and a debt-to-equity ratio of 0.11. Costco Wholesale Corporation has a 1-year low of $844.06 and a 1-year high of $1,096.50. The stock has a market capitalization of $472.19 billion, a P/E ratio of 51.33, a P/E/G ratio of 4.47 and a beta of 0.85. The business has a 50-day moving average price of $950.04 and a two-hundred day moving average price of $972.05.

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

Costco Wholesale Dividend Announcement

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

Analysts Set New Price Targets

A number of brokerages recently weighed in on COST. DA Davidson raised their price target on shares of Costco Wholesale from $1,000.00 to $1,040.00 and gave the company a “neutral” rating in a report on Friday, September 25th. HSBC upgraded shares of Costco Wholesale to a “buy” rating in a research report on Friday, September 25th. BMO Capital Markets reaffirmed an “outperform” rating on shares of Costco Wholesale in a report on Friday, September 25th. Tigress Financial increased their price objective on Costco Wholesale from $1,065.00 to $1,250.00 and gave the company a “buy” rating in a research report on Thursday, October 15th. Finally, CICC Research began coverage on Costco Wholesale in a research note on Wednesday, October 21st. They issued an “outperform” rating and a $1,050.00 target price for the company. One research analyst has rated the stock with a Strong Buy rating, twenty-four have assigned a Buy rating, eight have assigned a Hold rating and one has assigned a Sell rating to the company’s stock. According to MarketBeat.com, Costco Wholesale currently has an average rating of “Moderate Buy” and a consensus target price of $1,090.55.

Key Costco Wholesale News

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

• Positive Sentiment: JPMorgan raised its price target to $1,150 from $1,015 and maintained an Overweight rating, citing potential upside from the current level. JPMorgan analyst recommendations
• Positive Sentiment: October net sales increased 12.6% year over year to $24.50 billion. U.S. comparable sales also rose 12.6%; Bank of America noted that U.S. comps were up 8.1% after adjusting for gasoline price changes and maintained its Buy rating. The strong sales momentum is a key near-term catalyst. Costco October sales results Bank of America rating and U.S. comparable sales
• Negative Sentiment: Valuation concerns persist after Costco’s rally: some commentary argues the stock’s elevated earnings multiple leaves limited room for disappointment. Citi maintained a Hold rating and $1,020 price target, below the recently quoted share price. Citi rating and price target Costco valuation discussion

Costco Wholesale Profile

Costco Wholesale Corporation operates a membership-based warehouse retail business under the Costco name. The company sells merchandise in bulk and at competitive prices through warehouse clubs and e-commerce platforms, serving individual consumers, businesses and other organizations.

Its product selection includes groceries and fresh foods, household supplies, appliances, electronics, furniture, apparel, health and beauty products, jewelry, automotive products and prescription drugs. Costco also provides services such as optical care, pharmacy services, hearing-aid sales, travel offerings and fuel sales, depending on location.

The company traces its roots to Price Club, which opened in San Diego in 1976.