Arizona State Retirement System Trims Stake in Costco Wholesale Corporation $COST

Key Points

• Arizona State Retirement System trimmed its Costco stake by 2.4% in Q4, selling 3,094 shares and ending the period with 126,417 shares valued at about $109.0 million, roughly 0.6% of its portfolio and its 21st largest holding.
• Dividend hike and analyst sentiment: Costco raised its quarterly dividend to $1.47 ($5.88 annual) with an ex-dividend date of May 1, while analysts have lifted price targets and MarketBeat shows a consensus rating of "Moderate Buy" with a $1,045.97 target.
• Fundamentals and growth drivers: Costco slightly beat Q results (EPS $4.58 vs $4.55; revenue $69.6B, +9.2% YoY), and membership fee increases plus warehouse expansion are cited as tailwinds; institutional investors hold about 68.5% of the stock.

Arizona State Retirement System lowered its position in Costco Wholesale Corporation (NASDAQ:COST - Free Report) by 2.4% during the 4th quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission. The firm owned 126,417 shares of the retailer's stock after selling 3,094 shares during the quarter. Costco Wholesale comprises about 0.6% of Arizona State Retirement System's portfolio, making the stock its 21st largest position. Arizona State Retirement System's holdings in Costco Wholesale were worth $109,014,000 at the end of the most recent reporting period.

Several other hedge funds and other institutional investors have also made changes to their positions in COST. 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 worth $31,000 after purchasing an additional 18 shares during the last quarter. Abich Financial Wealth Management LLC bought a new position in shares of Costco Wholesale in the third quarter worth about $34,000. Collier Financial bought a new position in shares of Costco Wholesale in the third quarter worth about $35,000. AXS Investments LLC bought a new position in shares of Costco Wholesale in the third quarter worth about $36,000. Finally, Imprint Wealth LLC bought a new position in shares of Costco Wholesale in the third quarter worth about $36,000. Hedge funds and other institutional investors own 68.48% of the company's stock.

Key Stories Impacting Costco Wholesale

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

• Positive Sentiment: Board raised the quarterly cash dividend to $1.47 (annualized $5.88), signaling confidence in cash flow and making the stock more attractive to income-focused investors. Costco (COST) Approves Quarterly Dividend Increase Amid Robust Sales Growth
• Positive Sentiment: Coverage highlights that the September 2024 membership fee hike is now fully flowing into 2026 results, helping margin expansion and supporting recent EPS beats — a direct earnings tailwind. Costco Wholesale Corporation (COST): One of the Best Safe Stocks for Beginner Investors
• Positive Sentiment: Company continues to open new warehouses, plus a Costco Business Center and fuel station win that should boost regional sales and commercial accounts over time. Expansion supports long-term same-store growth and membership value. Costco aims for dozens more warehouses in coming years: Here’s when the newest open
• Neutral Sentiment: Multiple commentary pieces debate valuation: some say near-$1,000 price is justified by cash generation and resilience, others warn the stock looks expensive — this debate can mute buying momentum. Is Costco's Stock Too Expensive Now?
• Neutral Sentiment: Market-note pieces pointing to recent intraday moves and the stock’s position relative to its all-time high are creating short-term trading interest but not new fundamental news. Costco (COST) Ascends While Market Falls: Some Facts to Note
• Negative Sentiment: Sam’s Club launched initiatives touted as reasons some members might switch, renewing concerns about competitive pressure on membership growth and price-driven traffic. Sam's Club just gave members a reason to ditch Costco
• Negative Sentiment: Rivals such as BJ’s are expanding into new markets (e.g., Texas), adding localized competition that could pressure price or fuel margins in certain regions. New BJ's locations Texas: Club rivaling Costco, Sam's expands to Texas

Analysts Set New Price Targets

COST has been the topic of a number of research analyst reports. Gordon Haskett upped their price target on shares of Costco Wholesale from $1,000.00 to $1,100.00 in a report on Tuesday, February 3rd. Wells Fargo & Company upped their price target on shares of Costco Wholesale from $950.00 to $1,000.00 and gave the stock an "equal weight" rating in a report on Thursday, April 9th. Roth Mkm restated a "sell" rating on shares of Costco Wholesale in a report on Wednesday, February 4th. Sanford C. Bernstein restated an "outperform" rating and issued a $1,155.00 price target on shares of Costco Wholesale in a report on Monday, February 9th. Finally, Deutsche Bank Aktiengesellschaft upped their price target on shares of Costco Wholesale from $1,103.00 to $1,104.00 and gave the stock a "buy" rating in a report on Thursday, April 9th. Twenty-two investment analysts have rated the stock with a Buy rating, eleven have issued a Hold rating and one has assigned a Sell rating to the company's stock. According to MarketBeat.com, the company presently has a consensus rating of "Moderate Buy" and a consensus target price of $1,045.97.

Costco Wholesale Stock Down 0.3%

NASDAQ:COST opened at $1,011.15 on Friday. Costco Wholesale Corporation has a fifty-two week low of $844.06 and a fifty-two week high of $1,067.08. The stock has a market capitalization of $448.60 billion, a P/E ratio of 52.58, a P/E/G ratio of 5.00 and a beta of 0.99. The company has a debt-to-equity ratio of 0.18, a quick ratio of 0.59 and a current ratio of 1.06. The company's 50-day simple moving average is $997.12 and its 200-day simple moving average is $947.81.

Costco Wholesale (NASDAQ:COST - Get Free Report) last released its quarterly earnings results on Wednesday, March 11th. The retailer reported $4.58 earnings per share 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 period last year, the business earned $4.02 EPS. The company's revenue was up 9.2% compared to the same quarter last year. On average, equities analysts anticipate that Costco Wholesale Corporation will post 20.31 earnings per share for the current fiscal year.

Costco Wholesale Increases Dividend

The business also recently announced a quarterly dividend, which will be paid on Friday, May 15th. Investors of record on Friday, May 1st will be paid a $1.47 dividend. This is a boost from Costco Wholesale's previous quarterly dividend of $1.30. The ex-dividend date is Friday, May 1st. This represents a $5.88 dividend on an annualized basis and a yield of 0.6%. Costco Wholesale's dividend payout ratio (DPR) is 30.58%.

Insider Buying and Selling

In related news, EVP Claudine Adamo sold 730 shares of Costco Wholesale stock in a transaction that occurred on 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 completion of the sale, the executive vice president directly owned 6,121 shares in the company, valued at $6,139,485.42. This trade represents a 10.66% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. 0.10% of the stock is owned by company 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.

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