Aristotle Atlantic Partners LLC Sells 9,045 Shares of Costco Wholesale Corporation $COST

Key Points

• Aristotle Atlantic Partners cut its Costco stake by 11.2% (sold 9,045 shares), leaving 71,487 shares valued at about $66.17 million — Costco is 1.9% of the fund's portfolio and its 14th-largest holding.
• Costco beat Q2 estimates (revenue $69.6B, EPS $4.58) with membership growth — especially executive memberships — and expanded in-warehouse offerings cited as key drivers of sales and higher-margin recurring fee income.
• Legal overhang from tariff-refund class actions could introduce liability and headline risk, even as Wall Street remains broadly positive (consensus "Moderate Buy" with an average price target near $1,039).

Aristotle Atlantic Partners LLC decreased its position in Costco Wholesale Corporation (NASDAQ:COST - Free Report) by 11.2% in the 3rd quarter, according to the company in its most recent 13F filing with the SEC. The fund owned 71,487 shares of the retailer's stock after selling 9,045 shares during the period. Costco Wholesale accounts for 1.9% of Aristotle Atlantic Partners LLC's investment portfolio, making the stock its 14th biggest holding. Aristotle Atlantic Partners LLC's holdings in Costco Wholesale were worth $66,170,000 at the end of the most recent quarter.

Other hedge funds have also recently modified their holdings of the company. Hurley Capital LLC grew 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 acquiring an additional 18 shares in the last quarter. Abich Financial Wealth Management LLC bought a new stake in Costco Wholesale during the third quarter worth $34,000. Collier Financial purchased a new position in Costco Wholesale in the third quarter worth $35,000. AXS Investments LLC purchased a new position in Costco Wholesale in the third quarter worth $36,000. Finally, Imprint Wealth LLC bought a new position in Costco Wholesale in the 3rd quarter valued at $36,000. Institutional investors own 68.48% of the company's stock.

Key Headlines Impacting Costco Wholesale

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

• Positive Sentiment: Q2 beat and membership strength: Costco reported stronger-than-expected FQ2 results (revenue and EPS beats) and management highlighted membership growth and traffic as key drivers, underpinning confidence in recurring fee income and sales momentum. Costco Reports $68.24B FQ2 Sales
• Positive Sentiment: Membership mix and premium sign‑ups: Executive membership growth (near 40M members, +~9%) supports higher-margin recurring fee income and may sustain revenue per member. This is a structural tailwind for margins and cash flow. Is a $130 Costco executive membership the new VIP status?
• Positive Sentiment: In‑warehouse innovation and product drops: Expanded in‑warehouse experiences, curated product drops (e.g., fashion/brand collaborations) and new assortments (including third‑party brands like Hiboy e‑bikes) are helping traffic and impulse sales. Costco Expands In‑Warehouse Experiences Hiboy C1 E‑Bike Lands at Costco
• Neutral Sentiment: Digital growth and traffic resilience: Management says digital sales and e‑commerce expansion remain contributors to growth, but macro headwinds (e.g., energy-driven pressure on discretionary budgets) add uncertainty to near‑term sales cadence. Costco Says Shoppers Are Still Spending Rising gas prices could offset tax refunds
• Neutral Sentiment: Insider sale: An EVP disclosed a sale of ~730 shares; the size is immaterial relative to Costco’s market cap and does not signal a clear change in insider confidence. Executive Form 4
• Negative Sentiment: Tariff‑refund lawsuits create legal overhang: Multiple proposed class‑action suits allege Costco must pass along refunds to customers after the Supreme Court struck down certain Trump‑era tariffs; plaintiffs seek substantial recoveries and class status, introducing potential liability, administrative burden and PR risk until resolved. Reuters: Costco customers sue
• Negative Sentiment: Complex legal landscape: Coverage notes the situation is “messy” — Costco has also pursued government action to recover tariff amounts, but parallel suits against the company could keep volatility and headline risk elevated until legal outcomes and any government refunds are clarified. Barron's: Tariff refunds are getting messy

Wall Street Analysts Forecast Growth

COST has been the subject of several research analyst reports. TD Cowen reaffirmed a "buy" rating on shares of Costco Wholesale in a research report on Friday, March 6th. 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 report on Friday, March 6th. DA Davidson restated a "neutral" rating and set a $1,000.00 price target on shares of Costco Wholesale in a research report on Friday, March 6th. Oppenheimer raised their price objective on shares of Costco Wholesale from $1,050.00 to $1,100.00 and gave the stock an "outperform" rating in a report on Thursday, February 5th. Finally, Guggenheim reaffirmed a "neutral" rating on shares of Costco Wholesale in a research report on Monday, December 22nd. Twenty-two investment analysts have rated the stock with a Buy rating, twelve have assigned a Hold rating and one has given a Sell rating to the stock. According to data from MarketBeat.com, the company presently has a consensus rating of "Moderate Buy" and an average price target of $1,039.13.

Insider Buying and Selling at Costco Wholesale

In related news, Director Susan L. Decker sold 458 shares of the stock in a transaction dated Friday, January 16th. The stock was sold at an average price of $955.00, for a total transaction of $437,390.00. Following the sale, the director owned 8,532 shares of the company's stock, valued at approximately $8,148,060. This represents a 5.09% decrease in their position. The sale was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Also, EVP Russell D. Miller sold 1,500 shares of the firm's stock in a transaction dated Friday, January 9th. The stock was sold at an average price of $916.32, for a total value of $1,374,480.00. Following the completion of the transaction, the executive vice president owned 8,240 shares of the company's stock, valued at approximately $7,550,476.80. This represents a 15.40% decrease in their position. The SEC filing for this sale provides additional information. Insiders have sold a total of 7,645 shares of company stock worth $7,049,302 in the last three months. 0.10% of the stock is currently owned by corporate insiders.

Costco Wholesale Stock Up 0.5%

Costco Wholesale stock opened at $1,008.43 on Friday. Costco Wholesale Corporation has a 1-year low of $844.06 and a 1-year high of $1,067.08. The firm has a market capitalization of $447.61 billion, a price-to-earnings ratio of 52.44, a P/E/G ratio of 5.10 and a beta of 1.01. 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 firm has a 50 day simple moving average of $975.52 and a 200 day simple moving average of $937.14.

Costco Wholesale (NASDAQ:COST - Get Free Report) last issued its earnings results on Thursday, March 5th. The retailer reported $4.58 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $4.55 by $0.03. Costco Wholesale had a net margin of 2.99% and a return on equity of 28.57%. The business had revenue of $69.60 billion for the quarter, compared to analysts' expectations of $68.96 billion. During the same quarter in the previous year, the firm posted $4.02 EPS. The business's revenue for the quarter was up 9.2% compared to the same quarter last year. On average, analysts predict that Costco Wholesale Corporation will post 18.03 earnings per share for the current year.

Costco Wholesale Announces Dividend

The business also recently disclosed a quarterly dividend, which was paid on Friday, February 13th. Investors of record on Friday, January 30th were paid a dividend of $1.30 per share. This represents a $5.20 dividend on an annualized basis and a dividend yield of 0.5%. The ex-dividend date was Friday, January 30th. Costco Wholesale's payout ratio is presently 27.04%.

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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