Rice Hall James & Associates LLC Invests $935,000 in Costco Wholesale Corporation $COST

Rice Hall James & Associates LLC bought a new position in shares of Costco Wholesale Corporation (NASDAQ:COST) in the second quarter, HoldingsChannel reports. The firm bought 1,000 shares of the retailer’s stock, valued at approximately $935,000.

Several other institutional investors also recently bought and sold shares of COST. Gunpowder Capital Management LLC dba Oliver Wealth Management bought a new position in shares of Costco Wholesale during the 4th quarter valued at about $27,000. Mcguire Capital Advisors Inc. purchased a new position in shares of Costco Wholesale during the fourth quarter valued at about $28,000. Lifetime Wealth Management P.C. bought a new stake in shares of Costco Wholesale in the fourth quarter worth about $28,000. Manning & Napier Advisors LLC increased its holdings in shares of Costco Wholesale by 750.0% in the first 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 last quarter. Finally, Entrust Financial LLC purchased a new stake in shares of Costco Wholesale in the fourth quarter worth about $31,000. 68.48% of the stock is owned by hedge funds and other institutional investors.

Costco Wholesale Trading Up 1.2%

Shares of COST opened at $945.47 on Friday. The company has a current ratio of 1.07, a quick ratio of 0.61 and a debt-to-equity ratio of 0.17. Costco Wholesale Corporation has a twelve month low of $844.06 and a twelve month high of $1,096.50. The company has a market cap of $419.30 billion, a P/E ratio of 47.56, a P/E/G ratio of 4.45 and a beta of 0.87. The company’s fifty day simple moving average is $945.80 and its 200-day simple moving average is $979.92.

Costco Wholesale (NASDAQ:COST) last announced its earnings results on Thursday, May 28th. The retailer reported $4.93 earnings per share (EPS) for the quarter, missing the consensus estimate of $4.94 by ($0.01). Costco Wholesale had a net margin of 3.01% and a return on equity of 28.04%. The business had revenue of $70.53 billion for the quarter, compared to analysts’ expectations of $70.12 billion. During the same quarter last year, the firm earned $4.28 EPS. As a group, analysts expect that Costco Wholesale Corporation will post 20.42 EPS for the current year.

Costco Wholesale Dividend Announcement

The business also recently disclosed a quarterly dividend, which was paid on Friday, August 7th. Shareholders of record on Friday, July 24th were given a $1.47 dividend. This represents a $5.88 annualized dividend and a yield of 0.6%. The ex-dividend date of this dividend was Friday, July 24th. Costco Wholesale’s payout ratio is 29.58%.

Key Costco Wholesale News

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

• Positive Sentiment: Delivery expansion could boost engagement: Costco is now offering delivery for customizable sheet cakes and party platters, improving convenience and potentially encouraging larger, higher-margin event-related purchases. Costco delivery for cakes and party platters
• Positive Sentiment: Physical expansion continues: Costco opened its first warehouse in Celina, Texas, one of the nation’s fastest-growing cities. New locations can add membership revenue and sales over time, although the financial contribution will develop gradually. Costco opens Celina store
• Positive Sentiment: Long-term investor appeal remains intact: Commentary highlights Costco’s strong competitive moat, membership economics and potential for dividend growth. Its partnership with SCAN Health Plan to offer Medicare Advantage and supplemental plans also provides a potential new customer-engagement channel. Costco Medicare partnership
• Neutral Sentiment: Pricing strategy is both a strength and a challenge: Costco continues to hold its iconic rotisserie chicken at $4.99 by controlling production costs. The price reinforces customer loyalty, but inflation and supply costs could pressure margins if the company maintains the price indefinitely. Costco rotisserie chicken and inflation
• Negative Sentiment: Legal and valuation concerns are weighing on sentiment: Costco is refunding certain tariff duties while contesting a related class-action lawsuit, creating uncertainty over costs and potential liabilities. Separately, the stock’s high earnings multiple and position below its 200-day moving average leave it vulnerable to profit-taking; its latest quarterly EPS narrowly missed estimates despite a revenue beat. Costco tariff refunds and lawsuit

Analysts Set New Price Targets

A number of brokerages recently commented on COST. Guggenheim reissued a “neutral” rating on shares of Costco Wholesale in a research note on Monday, June 1st. Truist Financial lifted their price objective on Costco Wholesale from $977.00 to $1,011.00 and gave the stock a “hold” rating in a research note on Friday, May 29th. DA Davidson reaffirmed a “neutral” rating and set a $1,000.00 price objective on shares of Costco Wholesale in a report on Thursday, June 4th. The Goldman Sachs Group increased their target price on Costco Wholesale from $1,088.00 to $1,159.00 and gave the company a “buy” rating in a research report on Friday, May 29th. Finally, UBS Group raised their target price on shares of Costco Wholesale from $1,205.00 to $1,275.00 and gave the company a “buy” rating in a report on Wednesday, May 20th. Twenty-two analysts have rated the stock with a Buy rating, eleven have assigned a Hold rating and one has assigned a Sell rating to the stock. According to data from MarketBeat, the stock presently has a consensus rating of “Moderate Buy” and an average target price of $1,059.53.

Insider Transactions at Costco Wholesale

In other Costco Wholesale news, Director Kenneth D. Denman sold 885 shares of the firm’s stock in a transaction on Tuesday, June 23rd. The stock was sold at an average price of $957.45, for a total transaction of $847,343.25. Following the transaction, the director directly owned 4,779 shares in the company, valued at $4,575,653.55. This trade represents a 15.62% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available through the SEC website. 0.10% of the stock is currently owned by company insiders.

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.