B. Metzler seel. Sohn & Co. AG Makes New $30.76 Million Investment in Costco Wholesale Corporation $COST

Key Points

• B. Metzler seel. Sohn & Co. AG acquired 32,886 Costco shares during the second quarter, valued at approximately $30.76 million. Institutional investors collectively own 68.48% of the company.
• Costco maintains a largely positive analyst outlook, with a consensus rating of “Moderate Buy” and an average price target of $1,059.53, supported by expected earnings momentum, membership growth and international expansion.
• Valuation remains the main risk: Costco trades at a PE ratio of 47.28, while competition from Walmart and comparatively more attractively valued retailers could limit further upside.

B. Metzler seel. Sohn & Co. AG bought a new stake in shares of Costco Wholesale Corporation (NASDAQ:COST - Free Report) during the second quarter, according to the company in its most recent filing with the Securities and Exchange Commission. The fund bought 32,886 shares of the retailer's stock, valued at approximately $30,764,000.

Other institutional investors and hedge funds have also bought and sold shares of the company. Palisade Asset Management LLC boosted its position in shares of Costco Wholesale by 1.4% during the 4th quarter. Palisade Asset Management LLC now owns 702 shares of the retailer's stock worth $605,000 after purchasing an additional 10 shares in the last quarter. Graybill Wealth Management LTD. increased its position in Costco Wholesale by 0.3% in the 4th quarter. Graybill Wealth Management LTD. now owns 3,194 shares of the retailer's stock valued at $2,754,000 after buying an additional 10 shares in the last quarter. Wealth Effects LLC raised its stake in Costco Wholesale by 1.2% during the 1st quarter. Wealth Effects LLC now owns 874 shares of the retailer's stock worth $871,000 after buying an additional 10 shares during the period. Folger Nolan Fleming Douglas Capital Management Inc. raised its stake in Costco Wholesale by 1.8% during the 1st quarter. Folger Nolan Fleming Douglas Capital Management Inc. now owns 551 shares of the retailer's stock worth $549,000 after buying an additional 10 shares during the period. Finally, First National Bank of Hutchinson boosted its holdings in Costco Wholesale by 0.9% in the first quarter. First National Bank of Hutchinson now owns 1,098 shares of the retailer's stock worth $1,094,000 after acquiring an additional 10 shares in the last quarter. 68.48% of the stock is owned by institutional investors.

Key Costco Wholesale News

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

• Positive Sentiment: Earnings expectations remain favorable. Costco’s history of exceeding estimates, combined with analysts’ expectations for strong sales and earnings momentum, could support the shares ahead of the next quarterly report. Why Costco Could Beat Earnings Estimates Again
• Positive Sentiment: Analyst maintains bullish outlook. Mizuho reiterated a Buy rating and a $1,100 price target, citing confidence in Costco’s membership-driven growth and core operating performance. Analyst Reiterates Buy on Costco
• Positive Sentiment: International expansion offers a longer-term growth driver. Solid international comparable sales, additional warehouse capacity and expansion opportunities in Asia and Europe could gradually make overseas markets more important to Costco’s growth. Can International Markets Become Costco’s Biggest Driver?
• Positive Sentiment: New-store growth continues. A large Southern California warehouse is nearing completion, highlighting Costco’s ongoing domestic expansion and potential membership and sales contributions. Costco’s New California Location
• Neutral Sentiment: Costco is partnering with SCAN Health on a Medicare Advantage plan, potentially broadening member benefits and customer engagement, though the direct financial impact remains unclear. Why Costco? Experts Weigh In on SCAN Health’s New MA Plan
• Neutral Sentiment: Fall bakery promotions and favorable consumer coverage reinforce Costco’s retail appeal but are unlikely to materially change near-term earnings. Costco Fall Bakery Items
• Negative Sentiment: Valuation is the primary risk. Commentary argues that Costco’s exceptional operating record and decade-long stock gains are already reflected in a high earnings multiple, leaving less room for disappointment and potentially limiting upside. Why Investors Should Pause
• Negative Sentiment: Target may offer a more attractive risk-reward profile because of its lower valuation and improving momentum, creating a relative headwind for COST. Costco vs. Target
• Negative Sentiment: Walmart’s new rotisserie-chicken offering intensifies competition in a high-visibility Costco category, although the immediate impact on Costco’s results is uncertain. Walmart Challenges Costco With Rotisserie Chicken

Costco Wholesale Price Performance

Shares of NASDAQ:COST opened at $939.96 on Wednesday. The company has a current ratio of 1.07, a quick ratio of 0.61 and a debt-to-equity ratio of 0.17. The stock has a market cap of $416.85 billion, a PE ratio of 47.28, a price-to-earnings-growth ratio of 4.31 and a beta of 0.87. The stock's fifty day simple moving average is $945.29 and its two-hundred day simple moving average is $979.34. Costco Wholesale Corporation has a 1-year low of $844.06 and a 1-year high of $1,096.50.

Costco Wholesale Announces Dividend

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

Insider Transactions at Costco Wholesale

In other Costco Wholesale news, Director Kenneth D. Denman sold 885 shares of Costco Wholesale stock in a transaction that occurred on Tuesday, June 23rd. The shares were sold at an average price of $957.45, for a total transaction of $847,343.25. Following the transaction, the director owned 4,779 shares of the company's stock, valued at $4,575,653.55. This trade represents a 15.62% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through the SEC website. Insiders own 0.10% of the company's stock.

Analyst Upgrades and Downgrades

A number of equities research analysts have commented on the company. UBS Group raised their price objective on Costco Wholesale from $1,205.00 to $1,275.00 and gave the company a "buy" rating in a research note on Wednesday, May 20th. Deutsche Bank Aktiengesellschaft reiterated a "buy" rating and issued a $1,120.00 target price on shares of Costco Wholesale in a report on Thursday, August 6th. Roth Capital lifted their price target on shares of Costco Wholesale from $769.00 to $781.00 and gave the company a "sell" rating in a research report on Friday, May 29th. Mizuho set a $1,100.00 price target on shares of Costco Wholesale in a research note on Monday, June 1st. Finally, Bank of America upped their price objective on shares of Costco Wholesale from $1,185.00 to $1,200.00 and gave the stock a "buy" rating in a report on Friday, May 29th. 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. According to data from MarketBeat, the company has a consensus rating of "Moderate Buy" and a consensus target price 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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