Costco Wholesale (NASDAQ:COST) Trading Down 1.2% - Here's Why

Costco Wholesale Co. (NASDAQ:COST - Get Free Report)'s share price dropped 1.2% during mid-day trading on Tuesday . The stock traded as low as $1,044.00 and last traded at $1,044.08. Approximately 740,468 shares traded hands during trading, a decline of 64% from the average daily volume of 2,047,354 shares. The stock had previously closed at $1,056.85.

Wall Street Analysts Forecast Growth

A number of research firms have recently weighed in on COST. Sanford C. Bernstein reissued an "outperform" rating on shares of Costco Wholesale in a research report on Friday, March 7th. Telsey Advisory Group reiterated a "hold" rating on shares of Costco Wholesale in a report on Tuesday. Barclays increased their price target on Costco Wholesale from $940.00 to $980.00 and gave the stock an "equal weight" rating in a research note on Monday, March 10th. Loop Capital reduced their target price on Costco Wholesale from $1,115.00 to $1,110.00 and set a "buy" rating on the stock in a research report on Thursday, May 29th. Finally, Truist Financial lifted their price target on Costco Wholesale from $995.00 to $1,042.00 and gave the company a "hold" rating in a report on Friday, May 30th. Eleven investment analysts have rated the stock with a hold rating and nineteen have given a buy rating to the company. According to MarketBeat.com, the stock presently has a consensus rating of "Moderate Buy" and a consensus target price of $1,035.32.

Costco Wholesale Trading Down 0.4%

The business's 50-day simple moving average is $991.17 and its two-hundred day simple moving average is $978.09. The company has a current ratio of 0.98, a quick ratio of 0.43 and a debt-to-equity ratio of 0.23. The company has a market capitalization of $466.62 billion, a PE ratio of 61.76, a PEG ratio of 6.15 and a beta of 1.00.

Costco Wholesale (NASDAQ:COST - Get Free Report) last issued its quarterly earnings results on Thursday, May 29th. The retailer reported $4.28 EPS for the quarter, beating analysts' consensus estimates of $4.24 by $0.04. Costco Wholesale had a return on equity of 32.31% and a net margin of 2.93%. The firm had revenue of $63.21 billion during the quarter, compared to the consensus estimate of $62.93 billion. During the same quarter in the prior year, the business posted $3.78 earnings per share. Costco Wholesale's revenue for the quarter was up 8.0% on a year-over-year basis. On average, analysts predict that Costco Wholesale Co. will post 18.03 earnings per share for the current year.

Costco Wholesale Increases Dividend

The business also recently declared a quarterly dividend, which was paid on Friday, May 16th. Investors of record on Friday, May 2nd were issued a $1.30 dividend. The ex-dividend date of this dividend was Friday, May 2nd. This is a boost from Costco Wholesale's previous quarterly dividend of $1.16. This represents a $5.20 annualized dividend and a yield of 0.49%. Costco Wholesale's dividend payout ratio is currently 30.36%.

Insiders Place Their Bets

In other Costco Wholesale news, CEO Roland Michael Vachris sold 3,600 shares of the company's stock in a transaction that occurred on Tuesday, March 11th. The stock was sold at an average price of $931.00, for a total transaction of $3,351,600.00. Following the sale, the chief executive officer now owns 41,077 shares in the company, valued at $38,242,687. This represents a 8.06% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available through this link. Also, EVP Gary Millerchip sold 1,100 shares of the company's stock in a transaction that occurred on Thursday, March 27th. The shares were sold at an average price of $940.01, for a total value of $1,034,011.00. Following the sale, the executive vice president now directly owns 11,165 shares in the company, valued at approximately $10,495,211.65. This represents a 8.97% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold a total of 9,600 shares of company stock valued at $9,140,195 in the last ninety days. Corporate insiders own 0.18% of the company's stock.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently modified their holdings of COST. Investment Management Corp VA ADV bought a new stake in shares of Costco Wholesale in the 4th quarter worth approximately $25,000. Synergy Investment Management LLC acquired a new position in Costco Wholesale during the 4th quarter worth $31,000. NewSquare Capital LLC grew its stake in shares of Costco Wholesale by 250.0% in the fourth quarter. NewSquare Capital LLC now owns 35 shares of the retailer's stock worth $32,000 after purchasing an additional 25 shares in the last quarter. Collier Financial acquired a new position in shares of Costco Wholesale during the fourth quarter valued at $35,000. Finally, Anderson Financial Strategies LLC increased its holdings in shares of Costco Wholesale by 900.0% during the first quarter. Anderson Financial Strategies LLC now owns 40 shares of the retailer's stock valued at $38,000 after purchasing an additional 36 shares during the period. 68.48% of the stock is owned by institutional investors and hedge funds.

About Costco Wholesale

Costco Wholesale Corporation, together with its subsidiaries, engages in the operation of membership warehouses in the United States, Puerto Rico, Canada, Mexico, Japan, the United Kingdom, Korea, Australia, Taiwan, China, Spain, France, Iceland, New Zealand, and Sweden. The company offers branded and private-label products in a range of merchandise categories.