Assetmark Inc. Has $60.51 Million Stake in Costco Wholesale Corporation $COST

Key Points

• Assetmark Inc. reduced its Costco stake by 2.2% in the second quarter, selling 1,424 shares and retaining 64,684 shares valued at approximately $60.51 million. Institutional investors and hedge funds collectively own 68.48% of Costco.
• Analyst sentiment remains favorable, with 22 Buy ratings, 11 Holds and one Sell rating, producing a consensus “Moderate Buy” rating and average price target of $1,059.53.
• Costco’s latest quarterly revenue exceeded estimates at $70.53 billion, but EPS narrowly missed expectations at $4.93. Shares traded near $961.35, while the stock’s elevated P/E ratio of 48.36 highlights valuation concerns despite continued membership and fee-income growth.

Assetmark Inc. trimmed its stake in Costco Wholesale Corporation (NASDAQ:COST - Free Report) by 2.2% during the second quarter, according to its most recent 13F filing with the SEC. The institutional investor owned 64,684 shares of the retailer's stock after selling 1,424 shares during the period. Assetmark Inc.'s holdings in Costco Wholesale were worth $60,510,000 at the end of the most recent reporting period.

Other institutional investors and hedge funds have also recently added to or reduced their stakes in the company. Diamant Asset Management Inc. boosted its holdings in Costco Wholesale by 99,278.0% during the first quarter. Diamant Asset Management Inc. now owns 6,726,899 shares of the retailer's stock valued at $672,690,000 after acquiring an additional 6,720,130 shares during the period. Norges Bank acquired a new position in shares of Costco Wholesale during the 4th quarter worth about $5,195,415,000. Corient Private Wealth LLC lifted its position in shares of Costco Wholesale by 838.9% during the 4th quarter. Corient Private Wealth LLC now owns 6,125,405 shares of the retailer's stock worth $5,282,182,000 after purchasing an additional 5,472,968 shares during the last quarter. Ascentis Wealth Management LLC lifted its position in shares of Costco Wholesale by 103,637.0% during the 2nd quarter. Ascentis Wealth Management LLC now owns 2,500,062 shares of the retailer's stock worth $2,549,616,000 after purchasing an additional 2,497,652 shares during the last quarter. Finally, Cardano Risk Management B.V. boosted its stake in Costco Wholesale by 907.1% during the 4th quarter. Cardano Risk Management B.V. now owns 1,785,080 shares of the retailer's stock valued at $1,539,346,000 after purchasing an additional 1,607,833 shares during the period. 68.48% of the stock is currently owned by institutional investors and hedge funds.

Analyst Ratings Changes

A number of analysts have issued reports on the company. UBS Group raised their target price on Costco Wholesale from $1,205.00 to $1,275.00 and gave the company a "buy" rating in a report on Wednesday, May 20th. Royal Bank Of Canada assumed coverage on Costco Wholesale in a report on Monday, July 13th. They set a "sector perform" rating and a $1,000.00 price target for the company. Bank of America increased their price objective on Costco Wholesale from $1,185.00 to $1,200.00 and gave the company a "buy" rating in a research report on Friday, May 29th. Guggenheim reaffirmed a "neutral" rating on shares of Costco Wholesale in a research report on Monday, June 1st. Finally, Oppenheimer boosted their target price on shares of Costco Wholesale from $1,100.00 to $1,160.00 and gave the stock an "outperform" rating in a research report on Tuesday, May 19th. Twenty-two research analysts have rated the stock with a Buy rating, eleven have issued a Hold rating and one has issued a Sell rating to the company. According to MarketBeat.com, Costco Wholesale presently has a consensus rating of "Moderate Buy" and an average target price of $1,059.53.

More Costco Wholesale News

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

• Positive Sentiment: Costco plans to offer co-branded Medicare Advantage plans with nonprofit insurer SCAN Group, initially in two states pending regulatory approval. The offerings may eventually include pharmacy, vision, hearing and over-the-counter benefits, potentially increasing member engagement and monetization. Costco launching Medicare Advantage plans with SCAN Group
• Positive Sentiment: Analysts and market commentary continue to highlight Costco’s Executive membership growth, digital sales conversion and rising fee income as evidence that the company is extracting more value from its membership base. Costco also retains broadly favorable analyst coverage, with a consensus view around “Moderate Buy.” Can Costco Stock Reach New Highs in Member Monetization?
• Neutral Sentiment: Costco brought back a popular Kirkland product discontinued two years ago. The move may support customer goodwill and traffic, but it is unlikely to materially affect earnings or valuation. Costco discontinued this Kirkland favorite 2 years ago. Now it's back
• Negative Sentiment: Despite a 121% five-year total return, Costco’s valuation remains a concern. Its elevated earnings multiple leaves less room for disappointment, particularly after the latest quarterly EPS slightly missed estimates, even though revenue exceeded expectations. Costco Stock Looks Fully Priced Despite 121% Returns And Earnings Questions

Insider Transactions at Costco Wholesale

In other Costco Wholesale news, Director Kenneth D. Denman sold 885 shares of the business's stock in a transaction on Tuesday, June 23rd. The shares were sold at an average price of $957.45, for a total value of $847,343.25. Following the sale, the director owned 4,779 shares of the company's stock, valued at $4,575,653.55. The trade was a 15.62% decrease in their position. The sale was disclosed in a filing with the SEC, which can be accessed through this link. 0.10% of the stock is owned by company insiders.

Costco Wholesale Price Performance

Shares of COST stock opened at $961.35 on Wednesday. The stock has a 50 day moving average of $949.20 and a two-hundred day moving average of $981.20. The company has a current ratio of 1.07, a quick ratio of 0.61 and a debt-to-equity ratio of 0.17. Costco Wholesale Corporation has a 12 month low of $844.06 and a 12 month high of $1,096.50. The company has a market capitalization of $426.34 billion, a P/E ratio of 48.36, a P/E/G ratio of 4.57 and a beta of 0.87.

Costco Wholesale (NASDAQ:COST - Get Free Report) last released 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). The firm had revenue of $70.53 billion for the quarter, compared to the consensus estimate of $70.12 billion. Costco Wholesale had a net margin of 3.01% and a return on equity of 28.04%. During the same quarter in the prior year, the firm posted $4.28 earnings per share. As a group, equities analysts expect that Costco Wholesale Corporation will post 20.42 EPS for the current year.

Costco Wholesale Dividend Announcement

The firm also recently declared a quarterly dividend, which was paid on Friday, August 7th. Shareholders of record on Friday, July 24th were paid a dividend of $1.47 per share. The ex-dividend date was Friday, July 24th. This represents a $5.88 dividend on an annualized basis and a yield of 0.6%. Costco Wholesale's payout ratio is currently 29.58%.

Costco Wholesale 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.

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.

Continue following MarketBeat

Add MarketBeat as your preferred source on Google to see our latest stories in your feed.

Add As Preferred Source