Aigen Investment Management LP Buys New Stake in Costco Wholesale Corporation $COST

Key Points

• Aigen Investment Management LP disclosed a new position in Costco, buying 2,723 shares valued at about $2.35 million in the fourth quarter.
• Institutional ownership remains very high, with hedge funds and other investors holding 68.48% of Costco shares; several large firms, including Vanguard and Geode, also added to their stakes.
• Costco continues to show strong fundamentals and shareholder returns: it posted $70.53 billion in quarterly revenue, raised its dividend to $1.47 per share, and analysts remain broadly positive with a Moderate Buy rating and average target price around $1,060.41.

Aigen Investment Management LP bought a new stake in Costco Wholesale Corporation (NASDAQ:COST - Free Report) in the 4th quarter, according to the company in its most recent filing with the Securities and Exchange Commission. The firm bought 2,723 shares of the retailer's stock, valued at approximately $2,348,000.

Several other institutional investors have also recently added to or reduced their stakes in the stock. Vanguard Group Inc. increased its holdings in Costco Wholesale by 0.4% in the 4th quarter. Vanguard Group Inc. now owns 43,620,717 shares of the retailer's stock valued at $37,615,889,000 after purchasing an additional 165,349 shares during the last quarter. Geode Capital Management LLC grew its stake 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 worth $8,919,573,000 after acquiring an additional 26,690 shares in the last quarter. Morgan Stanley grew its stake in shares of Costco Wholesale by 1.1% in the fourth quarter. Morgan Stanley now owns 9,523,423 shares of the retailer's stock worth $8,212,433,000 after acquiring an additional 107,775 shares in the last quarter. Norges Bank acquired a new position in shares of Costco Wholesale in the fourth quarter worth $5,195,415,000. Finally, Capital World Investors grew its stake in shares of Costco Wholesale by 2.0% in the fourth quarter. Capital World Investors now owns 3,937,286 shares of the retailer's stock worth $3,395,301,000 after acquiring an additional 77,650 shares in the last quarter. Institutional investors and hedge funds own 68.48% of the company's stock.

Costco Wholesale Stock Performance

Shares of COST stock opened at $982.35 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. The firm has a fifty day moving average price of $1,005.34 and a 200 day moving average price of $966.74. The company has a market cap of $435.65 billion, a P/E ratio of 49.41, a PEG ratio of 4.76 and a beta of 0.88. Costco Wholesale Corporation has a 12 month low of $844.06 and a 12 month high of $1,096.50.

Costco Wholesale (NASDAQ:COST - Get Free Report) last issued its earnings results 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 analyst estimates of $70.12 billion. Costco Wholesale had a return on equity of 28.04% and a net margin of 3.01%.During the same quarter in the previous year, the firm posted $4.28 EPS. Sell-side analysts predict that Costco Wholesale Corporation will post 20.38 earnings per share for the current fiscal year.

Costco Wholesale Increases Dividend

The company also recently announced a quarterly dividend, which was paid on Friday, May 15th. Investors of record on Friday, May 1st were paid a dividend of $1.47 per share. The ex-dividend date was Friday, May 1st. This is an increase from Costco Wholesale's previous quarterly dividend of $1.30. This represents a $5.88 dividend on an annualized basis and a dividend yield of 0.6%. Costco Wholesale's payout ratio is presently 29.58%.

Costco Wholesale News Summary

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

• Positive Sentiment: Erste Group Bank lifted its FY2026 and FY2027 earnings forecasts for Costco, signaling expectations for stronger profitability ahead.
• Positive Sentiment: Commentary in 24/7 Wall St. emphasized Costco’s membership-fee model as a resilient source of recurring revenue that can support long-term earnings growth.
• Positive Sentiment: Barchart coverage noted Costco as one of the retail names rewarding shareholders with a higher dividend, reinforcing the company’s capital-return appeal.
• Neutral Sentiment: Coverage that Costco offers shopping without a membership in limited cases is mainly informational and not likely to materially affect the stock.
• Neutral Sentiment: The Iowa court decision involving a former Costco manager appears to be a legal headline with limited direct impact on the company’s overall financial outlook.
• Negative Sentiment: Bloomberg reported rising plastic input costs may lead to higher prices for consumer goods later this year, which could add inflation pressure to Costco’s retail environment and potentially squeeze margins or demand.

Analyst Ratings Changes

Several equities analysts have commented on COST shares. UBS Group boosted their price target on shares of Costco Wholesale from $1,205.00 to $1,275.00 and gave the stock a "buy" rating in a research note on Wednesday, May 20th. Telsey Advisory Group boosted their price target on shares of Costco Wholesale from $1,125.00 to $1,135.00 and gave the stock an "outperform" rating in a research note on Thursday, April 9th. Daiwa Securities Group boosted their price target on shares of Costco Wholesale from $917.00 to $975.00 and gave the stock a "neutral" rating in a research note on Tuesday, March 10th. BMO Capital Markets boosted their price target on shares of Costco Wholesale from $1,175.00 to $1,315.00 and gave the stock an "outperform" rating in a research note on Friday, March 6th. Finally, Raymond James Financial boosted their price target on shares of Costco Wholesale from $1,000.00 to $1,100.00 and gave the stock an "outperform" rating in a research note on Friday, March 6th. Twenty-two 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 company. Based on data from MarketBeat, the stock has an average rating of "Moderate Buy" and an average target price of $1,060.41.

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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