AlphaQuest LLC Grows Stock Holdings in Costco Wholesale Corporation $COST

Key Points

• AlphaQuest LLC sharply increased its Costco stake, boosting its holdings by 223.1% in the fourth quarter to 1,764 shares valued at about $1.52 million. Several other institutional investors also raised positions, and hedge funds now own 68.48% of Costco’s stock.
• Costco reported solid quarterly results, with earnings of $4.58 per share and revenue of $69.6 billion, both ahead of analyst expectations. Revenue rose 9.2% year over year, and analysts still expect full-year EPS of 20.33.
• The company raised its dividend to $1.47 per quarter from $1.30, putting the annualized payout at $5.88 per share for a 0.6% yield. Analyst sentiment remains broadly positive, with an average rating of “Moderate Buy” and an average price target of $1,052.60.

AlphaQuest LLC lifted its position in shares of Costco Wholesale Corporation (NASDAQ:COST - Free Report) by 223.1% during the fourth quarter, according to the company in its most recent filing with the SEC. The institutional investor owned 1,764 shares of the retailer's stock after buying an additional 1,218 shares during the quarter. AlphaQuest LLC's holdings in Costco Wholesale were worth $1,521,000 at the end of the most recent quarter.

Other large investors also recently modified their holdings of the company. FORA Capital LLC purchased a new stake in shares of Costco Wholesale during the 3rd quarter valued at about $2,781,000. World Investment Advisors raised its position in shares of Costco Wholesale by 8.4% during the 4th quarter. World Investment Advisors now owns 20,081 shares of the retailer's stock valued at $15,835,000 after buying an additional 1,560 shares in the last quarter. Teacher Retirement System of Texas raised its position in shares of Costco Wholesale by 24.5% during the 4th quarter. Teacher Retirement System of Texas now owns 140,429 shares of the retailer's stock valued at $121,098,000 after buying an additional 27,625 shares in the last quarter. Curtis Advisory Group LLC raised its position in shares of Costco Wholesale by 56.7% during the 4th quarter. Curtis Advisory Group LLC now owns 4,535 shares of the retailer's stock valued at $3,911,000 after buying an additional 1,641 shares in the last quarter. Finally, Mariner LLC raised its position in shares of Costco Wholesale by 1.5% during the 3rd quarter. Mariner LLC now owns 399,894 shares of the retailer's stock valued at $370,140,000 after buying an additional 5,937 shares in the last quarter. Hedge funds and other institutional investors own 68.48% of the company's stock.

Costco Wholesale Price Performance

Shares of COST stock opened at $1,003.69 on Thursday. The company has a debt-to-equity ratio of 0.18, a current ratio of 1.06 and a quick ratio of 0.59. The company has a market capitalization of $445.29 billion, a P/E ratio of 52.19, a P/E/G ratio of 4.93 and a beta of 0.92. The company's 50-day simple moving average is $1,008.29 and its two-hundred day simple moving average is $962.02. Costco Wholesale Corporation has a one year low of $844.06 and a one year high of $1,096.50.

Costco Wholesale (NASDAQ:COST - Get Free Report) last issued its earnings results on Wednesday, March 11th. The retailer reported $4.58 EPS for the quarter, topping analysts' consensus estimates of $4.55 by $0.03. The business had revenue of $69.60 billion for the quarter, compared to the consensus estimate of $68.96 billion. Costco Wholesale had a net margin of 2.99% and a return on equity of 28.57%. The company's revenue for the quarter was up 9.2% compared to the same quarter last year. During the same period in the prior year, the firm earned $4.02 EPS. As a group, equities analysts anticipate that Costco Wholesale Corporation will post 20.33 EPS for the current year.

Costco Wholesale Increases Dividend

The business also recently announced a quarterly dividend, which was paid on Friday, May 15th. Shareholders of record on Friday, May 1st were paid a $1.47 dividend. The ex-dividend date was Friday, May 1st. This represents a $5.88 dividend on an annualized basis and a yield of 0.6%. This is an increase from Costco Wholesale's previous quarterly dividend of $1.30. Costco Wholesale's payout ratio is currently 30.58%.

Analysts Set New Price Targets

Several brokerages recently commented on COST. Daiwa Securities Group upped their price target on shares of Costco Wholesale from $917.00 to $975.00 and gave the company a "neutral" rating in a report on Tuesday, March 10th. Truist Financial upped their price target on shares of Costco Wholesale from $926.00 to $977.00 and gave the company a "hold" rating in a report on Friday, March 6th. TD Cowen reiterated a "buy" rating on shares of Costco Wholesale in a report on Friday, March 6th. BMO Capital Markets upped their price target on shares of Costco Wholesale from $1,175.00 to $1,315.00 and gave the company an "outperform" rating in a report on Friday, March 6th. Finally, Wells Fargo & Company upped their price target on shares of Costco Wholesale from $950.00 to $1,000.00 and gave the company an "equal weight" rating in a report on Thursday, April 9th. 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 company. According to data from MarketBeat, Costco Wholesale currently has an average rating of "Moderate Buy" and an average price target of $1,052.60.

Trending Headlines about Costco Wholesale

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

• Positive Sentiment: Analysts and media coverage remain constructive, with multiple firms reiterating bullish views and price targets implying upside if Costco delivers another solid quarter. Analyst Reaffirms Buy on Costco, Sees Attractive Upside with Unchanged $1,185 Price Target
• Positive Sentiment: Pre-earnings commentary highlights strong monthly sales, membership growth, e-commerce gains, and higher gas prices potentially boosting traffic and top-line momentum. Costco Heads into Earnings with Monthly Sales Already Doing the Heavy Lifting
• Positive Sentiment: Some analysts are calling Costco a top defensive consumer stock, reinforcing its reputation as a steady performer in uncertain markets. Bernstein Calls Costco (COST) a Top Defensive Consumer Stock
• Neutral Sentiment: Multiple previews note that investors are largely waiting for Thursday’s earnings report to reset expectations, with the stock seen as capable of moving sharply depending on guidance and margin commentary. Here's How Much Costco Stock Is Expected to Move After Earnings Q3 FY2026
• Neutral Sentiment: There was also a separate headline about an optical-services scheduling issue and a grapevine pest concern involving Costco-sold plants, but these appear limited in scope and are less likely to affect the broader investment thesis. Costco optical customers face frustration trying to schedule eye exams
• Negative Sentiment: Pre-earnings caution and valuation pressure are weighing on the shares, with some market watchers saying it may be prudent to wait for results rather than chase the stock now. Costco Q3 Preview: Stock Could Hit $1,200 Or Fall To $960, Market Expert Says 'Prudent To Wait This One Out'
• Negative Sentiment: A federal jury verdict in a disability discrimination case raised legal and compliance concerns, creating a modest overhang ahead of earnings. Costco Discrimination Verdict Puts Legal And Compliance Risks In Focus

Insider Buying and Selling

In other Costco Wholesale news, EVP Claudine Adamo sold 730 shares of the company's stock in a transaction dated Monday, March 9th. The shares were sold at an average price of $1,003.02, for a total value of $732,204.60. Following the transaction, the executive vice president directly owned 6,121 shares in the company, valued at $6,139,485.42. This represents a 10.66% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this hyperlink. 0.10% of the stock is owned by corporate 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.

Want to see what other hedge funds are holding COST? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for Costco Wholesale Corporation (NASDAQ:COST - Free Report).

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.