Assenagon Asset Management S.A. Has $627.05 Million Position in Costco Wholesale Corporation $COST

Key Points

• Assenagon Asset Management increased its Costco stake by 31.5% in the second quarter, purchasing 160,619 additional shares and bringing its position to 670,304 shares valued at approximately $627.05 million. Institutional investors collectively own 68.48% of Costco.
• Costco reported quarterly revenue of $70.53 billion, ahead of estimates, though EPS of $4.93 narrowly missed expectations. The company declared a quarterly dividend of $1.47 per share, representing a 0.6% yield.
• Analysts maintain a generally favorable outlook, with a consensus “Moderate Buy” rating and an average price target of $1,059.53, while noting that Costco’s elevated valuation leaves the stock sensitive to any slowdown in sales or earnings growth.

Assenagon Asset Management S.A. boosted its holdings in Costco Wholesale Corporation (NASDAQ:COST - Free Report) by 31.5% during the 2nd quarter, according to its most recent disclosure with the Securities & Exchange Commission. The institutional investor owned 670,304 shares of the retailer's stock after buying an additional 160,619 shares during the quarter. Costco Wholesale makes up 0.8% of Assenagon Asset Management S.A.'s holdings, making the stock its 16th biggest holding. Assenagon Asset Management S.A. owned approximately 0.15% of Costco Wholesale worth $627,049,000 as of its most recent SEC filing.

A number of other hedge funds and other institutional investors have also recently modified their holdings of the stock. Gunpowder Capital Management LLC dba Oliver Wealth Management bought a new stake in Costco Wholesale during the 4th quarter worth approximately $27,000. Mcguire Capital Advisors Inc. acquired a new position in Costco Wholesale during the 4th quarter worth about $28,000. Lifetime Wealth Management P.C. acquired a new position in Costco Wholesale during the 4th quarter worth about $28,000. Manning & Napier Advisors LLC grew its position in shares of Costco Wholesale by 750.0% in the 1st quarter. Manning & Napier Advisors LLC now owns 34 shares of the retailer's stock valued at $34,000 after buying an additional 30 shares during the last quarter. Finally, Entrust Financial LLC bought a new stake in shares of Costco Wholesale in the 4th quarter valued at about $31,000. Institutional investors own 68.48% of the company's stock.

Costco Wholesale Stock Up 0.8%

Costco Wholesale stock opened at $949.15 on Friday. The company has a market capitalization of $420.93 billion, a PE ratio of 47.74, a PEG ratio of 4.55 and a beta of 0.87. Costco Wholesale Corporation has a 12-month low of $844.06 and a 12-month high of $1,096.50. The firm's fifty day moving average is $950.68 and its 200 day moving average is $982.24. The company has a quick ratio of 0.61, a current ratio of 1.07 and a debt-to-equity ratio of 0.17.

Costco Wholesale (NASDAQ:COST - Get Free Report) last posted its quarterly 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). 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 during the quarter, compared to analyst estimates of $70.12 billion. During the same quarter in the previous year, the business posted $4.28 earnings per share. As a group, sell-side analysts predict that Costco Wholesale Corporation will post 20.42 EPS for the current fiscal year.

Costco Wholesale Announces Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Friday, August 7th. Stockholders of record on Friday, July 24th will be given a dividend of $1.47 per share. This represents a $5.88 dividend on an annualized basis and a dividend yield of 0.6%. The ex-dividend date of this dividend is Friday, July 24th. Costco Wholesale's dividend payout ratio is 29.58%.

Insider Activity at Costco Wholesale

In other news, Director Kenneth D. Denman sold 885 shares of the firm's stock in a transaction dated Tuesday, June 23rd. The stock was sold at an average price of $957.45, for a total value of $847,343.25. Following the completion of the sale, the director directly owned 4,779 shares in the company, valued at $4,575,653.55. This trade represents a 15.62% decrease in their position. The sale was disclosed in a filing with the SEC, which is available at this link. 0.10% of the stock is currently owned by corporate insiders.

Costco Wholesale News Roundup

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

• Positive Sentiment: Strong July sales support the investment case. Costco reported July net sales of $23.12 billion, up 10.7% year over year, while sales for the first 48 weeks of the fiscal year rose 10.1% to $273.55 billion. The results indicate continued customer traffic and spending momentum and are likely the main reason the stock has increased. Costco Wholesale Corporation Reports July Sales Results
• Positive Sentiment: Comparable-store sales also improved in July. MarketWatch reported that Costco’s same-store sales increased, suggesting that growth was not driven solely by new warehouse openings. Broad-based comparable sales are generally viewed favorably because they indicate stronger underlying demand and member engagement. Costco Same-Store Sales Rise in July
• Positive Sentiment: Costco’s brand strategy continues to attract attention. Lord & Taylor is reportedly pursuing a Costco-like model, including greater emphasis on private-label merchandise. The comparison highlights the strength of Costco’s Kirkland Signature brand and the competitive advantages of its membership and private-label ecosystem. Formerly bankrupt department store bets on Costco strategy
• Neutral Sentiment: Analysts remain focused on valuation. A TipRanks review noted that COST has risen about 10% year to date while inflation remains a concern. Strong sales support earnings expectations, but the stock’s high earnings multiple leaves less room for disappointing results or slowing growth. Is Costco Stock Still a Good Buy After Its July Sales Report?
• Neutral Sentiment: Articles about student benefits, new groceries, and higher-income consumer spending provide lifestyle or industry context but do not materially change Costco’s earnings outlook. Costco Student Discount
• Negative Sentiment: A proposed tax-sharing agreement connected to a potential Costco and gas-station development has drawn opposition from local residents. The issue appears localized and is unlikely to affect Costco’s near-term financial results, but it could create permitting or reputational friction. Residents Oppose Tax-Sharing Agreement

Wall Street Analysts Forecast Growth

COST has been the subject of a number of recent analyst reports. Citigroup started coverage on shares of Costco Wholesale in a research report on Thursday, June 18th. They set a "neutral" rating and a $1,020.00 target price for the company. DA Davidson reaffirmed a "neutral" rating and issued a $1,000.00 price objective on shares of Costco Wholesale in a research note on Thursday, June 4th. Truist Financial lifted their target price on shares of Costco Wholesale from $977.00 to $1,011.00 and gave the stock a "hold" rating in a research note on Friday, May 29th. Royal Bank Of Canada started coverage on shares of Costco Wholesale in a report on Monday, July 13th. They issued a "sector perform" rating and a $1,000.00 target price on the stock. Finally, JPMorgan Chase & Co. dropped their price objective on Costco Wholesale from $1,110.00 to $1,100.00 and set an "overweight" rating on the stock in a research note on Thursday, July 9th. Twenty-two research analysts have rated the stock with a Buy rating, eleven have given a Hold rating and one has given a Sell rating to the stock. According to data from MarketBeat, the company has an average rating of "Moderate Buy" and a consensus price target of $1,059.53.

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.

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.

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