Plato Investment Management Ltd Buys Shares of 12,544 Costco Wholesale Corporation $COST

Plato Investment Management Ltd purchased a new position in shares of Costco Wholesale Corporation (NASDAQ:COST) during the second quarter, according to its most recent 13F filing with the Securities and Exchange Commission. The fund purchased 12,544 shares of the retailer’s stock, valued at approximately $11,666,000. Costco Wholesale makes up about 0.7% of Plato Investment Management Ltd’s holdings, making the stock its 28th biggest position.

A number of other institutional investors also recently made changes to their positions in the stock. Brighton Jones LLC raised its holdings in Costco Wholesale by 12.3% during the fourth quarter. Brighton Jones LLC now owns 19,825 shares of the retailer’s stock worth $18,165,000 after purchasing an additional 2,172 shares in the last quarter. Revolve Wealth Partners LLC boosted its stake in Costco Wholesale by 13.1% during the 4th quarter. Revolve Wealth Partners LLC now owns 1,123 shares of the retailer’s stock valued at $1,029,000 after purchasing an additional 130 shares in the last quarter. Sivia Capital Partners LLC boosted its stake in Costco Wholesale by 4.5% during the 2nd quarter. Sivia Capital Partners LLC now owns 3,853 shares of the retailer’s stock valued at $3,814,000 after purchasing an additional 165 shares in the last quarter. Pinnacle Wealth Planning Services Inc. increased its position in shares of Costco Wholesale by 1.1% during the 2nd quarter. Pinnacle Wealth Planning Services Inc. now owns 2,110 shares of the retailer’s stock valued at $2,089,000 after purchasing an additional 23 shares during the period. Finally, Schnieders Capital Management LLC. increased its position in shares of Costco Wholesale by 2.2% during the 2nd quarter. Schnieders Capital Management LLC. now owns 8,502 shares of the retailer’s stock valued at $8,416,000 after purchasing an additional 182 shares during the period. 68.48% of the stock is owned by institutional investors and hedge funds.

Costco Wholesale News Roundup

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

• Positive Sentiment: Costco’s membership program remains a key long-term growth engine, with recurring membership revenue and renewal strength potentially supporting profitability and cash flow. Costco Has a Secret Growth Engine
• Positive Sentiment: Analysts and commentators continue to view Costco as a durable long-term compounder; one projection suggests a $10,000 investment could grow to $13,400 over five years, although that is an opinion rather than company guidance. Costco Five-Year Investment Projection
• Positive Sentiment: Costco is expanding its physical footprint with a new Celina, Texas, warehouse, while a delivery upgrade could improve convenience and sales of popular merchandise. Costco Celina Warehouse
• Positive Sentiment: A partnership with SCAN Health Plan to offer Medicare Advantage and supplemental plans could create an additional member-engagement and revenue opportunity, though the financial impact is not yet clear. Costco and SCAN Medicare Partnership
• Neutral Sentiment: New projects in Newington, New Hampshire, involving Costco and other companies are advancing, but the report provides limited information on Costco’s direct financial benefit. Newington Projects Advance
• Negative Sentiment: Costco’s premium valuation leaves little room for disappointment: the company recently reported quarterly EPS of $4.93, narrowly missing the $4.94 consensus estimate, despite revenue exceeding expectations. Its P/E ratio near 47 also increases sensitivity to weaker-than-expected results. Costco Stock Performance and Key Facts
• Negative Sentiment: Costco is refunding certain tariff duties while defending a related class-action lawsuit. Refund costs, possible liabilities, and reputational concerns may weigh on investor sentiment. Costco Tariff Refunds and Lawsuit
• Negative Sentiment: Competitive pressure is increasing as JCPenney targets the same value-oriented, “treasure hunt” retail appeal, potentially challenging Costco’s customer engagement at the margin. JCPenney Targets Costco’s Retail Strategy

Analyst Upgrades and Downgrades

COST has been the subject of several research analyst reports. The Goldman Sachs Group upped their price objective on Costco Wholesale from $1,088.00 to $1,159.00 and gave the company a “buy” rating in a report on Friday, May 29th. Guggenheim reiterated a “neutral” rating on shares of Costco Wholesale in a research report on Monday, June 1st. JPMorgan Chase & Co. cut their price target on shares of Costco Wholesale from $1,110.00 to $1,100.00 and set an “overweight” rating for the company in a report on Thursday, July 9th. Royal Bank Of Canada started coverage on shares of Costco Wholesale in a research report on Monday, July 13th. They set a “sector perform” rating and a $1,000.00 price objective for the company. Finally, Bank of America lifted their price objective on shares of 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. Twenty-two equities research analysts have rated the stock with a Buy rating, eleven have given a Hold rating and one has assigned a Sell rating to the stock. According to data from MarketBeat.com, the stock presently has a consensus rating of “Moderate Buy” and a consensus price target of $1,059.53.

Insider Activity at Costco Wholesale

In related news, Director Kenneth D. Denman sold 885 shares of the firm’s stock in a transaction that occurred 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 completion of the transaction, the director owned 4,779 shares of the company’s stock, valued at approximately $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 accessible through this hyperlink. Company insiders own 0.10% of the company’s stock.

Costco Wholesale Trading Down 2.2%

Shares of COST opened at $934.66 on Friday. The business’s 50-day moving average price is $945.92 and its 200 day moving average price is $980.16. The company has a current ratio of 1.07, a quick ratio of 0.61 and a debt-to-equity ratio of 0.17. The stock has a market capitalization of $414.50 billion, a P/E ratio of 47.02, a P/E/G ratio of 4.55 and a beta of 0.87. Costco Wholesale Corporation has a 1-year low of $844.06 and a 1-year high of $1,096.50.

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

Costco Wholesale Dividend Announcement

The company also recently declared a quarterly dividend, which was paid on Friday, August 7th. Investors of record on Friday, July 24th were given a $1.47 dividend. 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%.

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.