Bank of America Forecasts Strong Price Appreciation for Costco Wholesale (NASDAQ:COST) Stock

Key Points

• Bank of America raised its price target on Costco from $1,185 to $1,200 and kept a buy rating, implying about 25.96% upside from the prior close.
• Several other analysts also turned more positive, with multiple firms lifting targets and maintaining bullish ratings; overall, Costco carries a Moderate Buy consensus and an average price target of $1,056.32.
• Despite the upbeat outlook, the stock fell 4.3% to $952.69 after Costco’s latest earnings showed EPS of $4.93, slightly below expectations, even as revenue came in above estimates at $70.53 billion.

Costco Wholesale (NASDAQ:COST - Get Free Report) had its price objective upped by investment analysts at Bank of America from $1,185.00 to $1,200.00 in a report released on Friday,Benzinga reports. The firm currently has a "buy" rating on the retailer's stock. Bank of America's target price suggests a potential upside of 25.96% from the company's previous close.

Several other research analysts have also recently weighed in on the company. Sanford C. Bernstein increased their price objective on Costco Wholesale from $1,192.00 to $1,194.00 and gave the stock an "outperform" rating in a research report on Friday. BTIG Research restated a "buy" rating and issued a $1,125.00 price objective on shares of Costco Wholesale in a research note on Friday. JPMorgan Chase & Co. upped their price objective on Costco Wholesale from $1,060.00 to $1,110.00 and gave the company an "overweight" rating in a research note on Friday, April 17th. Oppenheimer upped their price objective on Costco Wholesale from $1,100.00 to $1,160.00 and gave the company an "outperform" rating in a research note on Tuesday, May 19th. Finally, Jefferies Financial Group restated a "buy" rating and issued a $1,050.00 price objective on shares of Costco Wholesale in a research note on Thursday, March 5th. Twenty-one investment analysts have rated the stock with a Buy rating, eleven have issued a Hold rating and one has given a Sell rating to the company. According to MarketBeat, Costco Wholesale currently has an average rating of "Moderate Buy" and a consensus price target of $1,056.32.

Costco Wholesale Trading Down 4.3%

Shares of COST traded down $42.52 during midday trading on Friday, hitting $952.69. The stock had a trading volume of 3,323,692 shares, compared to its average volume of 2,126,741. Costco Wholesale has a fifty-two week low of $844.06 and a fifty-two week high of $1,096.50. The firm has a market cap of $422.66 billion, a P/E ratio of 49.56, a price-to-earnings-growth ratio of 4.94 and a beta of 0.92. The company has a current ratio of 1.06, a quick ratio of 0.59 and a debt-to-equity ratio of 0.18. The business has a 50-day simple moving average of $1,008.28 and a two-hundred day simple moving average of $962.53.

Costco Wholesale (NASDAQ:COST - Get Free Report) last announced its earnings results on Thursday, May 28th. The retailer reported $4.93 earnings per share (EPS) for the quarter, missing analysts' consensus estimates of $4.98 by ($0.05). The company had revenue of $70.53 billion for the quarter, compared to the consensus estimate of $69.68 billion. Costco Wholesale had a return on equity of 28.57% and a net margin of 2.99%.During the same period last year, the firm posted $4.28 EPS. As a group, equities analysts forecast that Costco Wholesale will post 20.33 EPS for the current year.

Insider Activity at Costco Wholesale

In other news, EVP Claudine Adamo sold 730 shares of the stock in a transaction dated Monday, March 9th. The stock was sold at an average price of $1,003.02, for a total transaction of $732,204.60. Following the transaction, the executive vice president directly owned 6,121 shares in the company, valued at approximately $6,139,485.42. This represents a 10.66% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Company insiders own 0.10% of the company's stock.

Hedge Funds Weigh In On Costco Wholesale

Several institutional investors and hedge funds have recently bought and sold shares of the stock. Brighton Jones LLC lifted its holdings in Costco Wholesale by 12.3% in the 4th quarter. Brighton Jones LLC now owns 19,825 shares of the retailer's stock worth $18,165,000 after buying an additional 2,172 shares during the period. Revolve Wealth Partners LLC boosted its position in shares of Costco Wholesale by 13.1% during the fourth 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 position in shares of Costco Wholesale by 4.5% during the second 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. boosted its position in shares of Costco Wholesale by 1.1% during the second 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 in the last quarter. Finally, Schnieders Capital Management LLC. boosted its position in shares of Costco Wholesale by 2.2% during the second 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 in the last quarter. 68.48% of the stock is currently owned by institutional investors.

Trending Headlines about Costco Wholesale

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

• Positive Sentiment: Costco delivered another strong quarter, with revenue of $70.53 billion and earnings per share of $4.93, while comparable sales and membership-driven demand remained robust. Costco Wholesale Corporation Reports Third Quarter and Year-To-Date Operating Results For Fiscal 2026
• Positive Sentiment: Membership fee income, digital sales, and e-commerce traffic all accelerated, showing that Costco’s core growth engine is still working well. Costco Q3 Earnings Beat on Strong Membership and Digital Growth
• Positive Sentiment: Analysts continued to sound upbeat, with several firms lifting price targets after the report, including Goldman Sachs, Bernstein, Morgan Stanley, BTIG, and Truist. Analyst Reaffirms Overweight on Costco, Citing Structural Strengths and Value Focus While Raising Price Target to $1,130
• Neutral Sentiment: Costco also benefited from record gas volumes and higher fuel-related traffic, which helped lift sales and same-store results. Higher gas prices are driving people to membership retailers — and Costco is the latest to benefit
• Negative Sentiment: The stock is under pressure because the market expected even more from a name that already trades at a premium multiple, and the EPS miss versus consensus gave bears a reason to sell. Why Costco Stock Was Sliding Today
• Negative Sentiment: Several articles pointed to margin compression and rising costs, suggesting profitability may be harder to expand even as sales remain strong. Is Costco a Buy After Its Latest Earnings Report?

Costco Wholesale Company Profile

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.

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