Bank of America Cuts Costco Wholesale (NASDAQ:COST) Price Target to $1,095.00

Costco Wholesale (NASDAQ:COST) had its price objective reduced by Bank of America from $1,200.00 to $1,095.00 in a research report sent to investors on Wednesday,Benzinga reports. Bank of America currently has a buy rating on the retailer’s stock.

A number of other brokerages have also commented on COST. Mizuho set a $1,100.00 price objective on shares of Costco Wholesale in a research report on Monday, June 1st. HC Wainwright reaffirmed a “buy” rating on shares of Costco Wholesale in a research report on Monday, June 1st. TD Cowen reiterated a “buy” rating and issued a $1,175.00 price target on shares of Costco Wholesale in a research note on Wednesday, June 3rd. UBS Group lifted their price target on shares of Costco Wholesale from $1,205.00 to $1,275.00 and gave the company a “buy” rating in a research note on Wednesday, May 20th. Finally, Citigroup assumed coverage on shares of Costco Wholesale in a research report on Thursday, June 18th. They set a “neutral” rating and a $1,020.00 price target on the stock. Twenty-two 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. Based on data from MarketBeat.com, Costco Wholesale has a consensus rating of “Moderate Buy” and a consensus price target of $1,052.65.

Costco Wholesale Trading Up 0.2%

NASDAQ:COST opened at $895.31 on Wednesday. Costco Wholesale has a twelve month low of $844.06 and a twelve month high of $1,096.50. The company has a quick ratio of 0.61, a current ratio of 1.07 and a debt-to-equity ratio of 0.17. The business has a 50 day moving average price of $936.55 and a two-hundred day moving average price of $971.19. The company has a market cap of $397.05 billion, a P/E ratio of 45.04, a price-to-earnings-growth ratio of 3.75 and a beta of 0.86.

Costco Wholesale Announces Dividend

The company also recently announced a quarterly dividend, which was paid on Friday, August 7th. Stockholders 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 0.7%. The ex-dividend date of this dividend was Friday, July 24th. Costco Wholesale’s dividend payout ratio is presently 29.58%.

Insider Transactions at Costco Wholesale

In related news, Director Kenneth Denman sold 885 shares of the firm’s stock in a transaction dated Tuesday, June 23rd. The shares were sold at an average price of $957.45, for a total value of $847,343.25. Following the completion of the sale, the director directly owned 4,779 shares in the company, valued at approximately $4,575,653.55. This trade represents a 15.62% decrease in their position. The sale was disclosed in a document filed with the SEC, which is accessible through the SEC website. Company insiders own 0.10% of the company’s stock.

Institutional Trading of Costco Wholesale

Several institutional investors and hedge funds have recently bought and sold shares of COST. Geode Capital Management LLC increased its holdings in shares of Costco Wholesale by 0.3% in the fourth quarter. Geode Capital Management LLC now owns 10,388,519 shares of the retailer’s stock valued at $8,919,573,000 after purchasing an additional 26,690 shares during the last quarter. Bank of America Corp DE raised its position in shares of Costco Wholesale by 11.5% in the first quarter. Bank of America Corp DE now owns 7,515,031 shares of the retailer’s stock valued at $7,488,203,000 after purchasing an additional 773,651 shares during the period. Diamant Asset Management Inc. raised its position in shares of Costco Wholesale by 99,278.0% in the first quarter. Diamant Asset Management Inc. now owns 6,726,899 shares of the retailer’s stock valued at $672,690,000 after purchasing an additional 6,720,130 shares during the period. Corient Private Wealth LLC lifted its stake in shares of Costco Wholesale by 838.9% during the 4th quarter. Corient Private Wealth LLC now owns 6,125,405 shares of the retailer’s stock worth $5,282,182,000 after buying an additional 5,472,968 shares during the last quarter. Finally, Norges Bank acquired a new stake in shares of Costco Wholesale during the 4th quarter worth about $5,195,415,000. Institutional investors own 68.48% of the company’s stock.

Key Headlines Impacting Costco Wholesale

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

• Positive Sentiment: Analysts expect Costco to report approximately $6.53 in earnings per share and $94.89 billion in revenue. UBS remains bullish, describing Costco’s warehouses as well stocked and emphasizing the resilience of its business model. Top Wall Street Forecasters Revamp Costco Expectations Ahead Of Q4 Earnings
• Positive Sentiment: Costco has expanded same-day delivery nationwide through DoorDash and broadened its Uber Eats coverage to nearly 600 warehouses in 47 states. The partnerships could improve convenience, increase digital sales and reinforce member loyalty, although they are unlikely to affect the quarter being reported. Costco expands US delivery reach via DoorDash and Uber Eats
• Positive Sentiment: Some bullish commentary suggests Costco could finish a strong year with a special cash dividend or other shareholder surprise, potentially providing an additional near-term catalyst before earnings. 1 Incredible Reason to Buy Costco Stock Before It Reports Earnings on Sept. 24
• Neutral Sentiment: The DoorDash rollout began too late to materially influence fourth-quarter results, meaning investors will focus instead on comparable sales, membership growth, renewal rates and margins. Costco’s DoorDash Launch Came Too Late to Touch the Quarter It Reports September 24
• Neutral Sentiment: Options markets appear to be pricing in a significant post-earnings move, highlighting elevated event risk around the September 24 report. COST Stock: Is the Options Market Overestimating Costco’s Q4 Post-Earnings Reaction?
• Negative Sentiment: Bank of America lowered its price target to $1,095 from $1,200, citing rising supply-chain costs and a more cautious margin outlook, although it retained a Buy rating. Costco faces margin pressure as BofA cuts price target
• Negative Sentiment: Costco’s premium valuation remains a concern: its elevated earnings multiple and relatively low dividend yield leave less room for disappointment, while recent comparisons with Target frame COST as a quality business rather than an obvious value stock. Is Costco Stock Too Expensive Now?
• Negative Sentiment: Higher fuel and supply costs have forced Costco to sharply raise prices on Kirkland motor oil and limit purchases, signaling potential inflationary pressure on consumers and operating costs. Costco nearly doubles price of store brand motor oil

Costco Wholesale Company Profile

Costco Wholesale Corporation operates membership-based warehouse clubs that offer a broad selection of merchandise at generally competitive prices. Its product range includes groceries, fresh foods, apparel, appliances, electronics, furniture, jewelry, hardware, and seasonal goods, along with private-label products sold under the Kirkland Signature brand.

The company also provides a variety of ancillary services, including gasoline stations, pharmacies, optical centers, hearing-aid centers, food courts, tire centers, and travel services.