Arax Advisory Partners Sells 2,593 Shares of Costco Wholesale Corporation $COST

Key Points

• Arax Advisory Partners reduced its Costco stake by 20.4% in the fourth quarter, selling 2,593 shares and leaving it with 10,142 shares worth about $8.75 million.
• Costco’s latest earnings slightly missed EPS expectations at $4.93 versus $4.94, but revenue came in above forecasts at $70.53 billion. Analysts still see Costco earning about 20.38 EPS for the full year.
• The company recently raised its quarterly dividend to $1.47 per share, while analysts remain broadly positive with a consensus rating of Moderate Buy and an average price target of $1,060.41.

Arax Advisory Partners trimmed its holdings in Costco Wholesale Corporation (NASDAQ:COST - Free Report) by 20.4% during the fourth quarter, according to its most recent disclosure with the Securities and Exchange Commission. The institutional investor owned 10,142 shares of the retailer's stock after selling 2,593 shares during the period. Arax Advisory Partners' holdings in Costco Wholesale were worth $8,746,000 as of its most recent filing with the Securities and Exchange Commission.

Other large investors have also recently made changes to their positions in the company. Hurley Capital LLC raised its holdings in shares of Costco Wholesale by 120.0% in the third quarter. Hurley Capital LLC now owns 33 shares of the retailer's stock valued at $31,000 after purchasing an additional 18 shares during the last quarter. Entrust Financial LLC purchased a new stake in shares of Costco Wholesale in the fourth quarter valued at about $31,000. Joseph Group Capital Management purchased a new stake in shares of Costco Wholesale in the fourth quarter valued at about $33,000. Abich Financial Wealth Management LLC purchased a new stake in shares of Costco Wholesale in the third quarter valued at about $34,000. Finally, Imprint Wealth LLC purchased a new stake in shares of Costco Wholesale in the third quarter valued at about $36,000. 68.48% of the stock is owned by institutional investors.

Costco Wholesale News Roundup

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.

Costco Wholesale Stock Performance

NASDAQ COST opened at $982.35 on Friday. Costco Wholesale Corporation has a 52-week low of $844.06 and a 52-week high of $1,096.50. The company has a 50-day simple moving average of $1,005.34 and a 200 day simple moving average of $966.74. The company has a debt-to-equity ratio of 0.17, a quick ratio of 0.61 and a current ratio of 1.07. The company has a market capitalization of $435.65 billion, a PE ratio of 49.41, a price-to-earnings-growth ratio of 4.76 and a beta of 0.88.

Costco Wholesale (NASDAQ:COST - Get Free Report) last posted its quarterly earnings data on Thursday, May 28th. The retailer reported $4.93 earnings per share (EPS) for the quarter, missing analysts' consensus estimates of $4.94 by ($0.01). Costco Wholesale had a return on equity of 28.04% and a net margin of 3.01%.The company had revenue of $70.53 billion for the quarter, compared to analysts' expectations of $70.12 billion. During the same quarter last year, the business posted $4.28 EPS. On average, research analysts predict that Costco Wholesale Corporation will post 20.38 EPS for the current year.

Costco Wholesale Increases Dividend

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

Analysts Set New Price Targets

Several brokerages have recently commented on COST. Daiwa Securities Group increased their target price 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. Guggenheim reiterated a "neutral" rating on shares of Costco Wholesale in a report on Monday, June 1st. UBS Group increased their target price on shares of Costco Wholesale from $1,205.00 to $1,275.00 and gave the company a "buy" rating in a report on Wednesday, May 20th. Oppenheimer increased their target price on shares of Costco Wholesale from $1,100.00 to $1,160.00 and gave the company an "outperform" rating in a report on Tuesday, May 19th. Finally, BTIG Research reiterated a "buy" rating and issued a $1,125.00 target price on shares of Costco Wholesale in a report on Friday, May 29th. Twenty-two analysts have rated the stock with a Buy rating, eleven have issued a Hold rating and one has given 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 $1,060.41.

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.

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