Costco Wholesale Corporation $COST Position Lowered by BlackRock Inc.

Key Points

• BlackRock reduced its Costco position by 2.1% in the second quarter, selling 744,206 shares. It still held 34.2 million shares worth approximately $32.0 billion, representing 7.71% of Costco’s outstanding stock.
• Analysts maintain a generally positive outlook, with 22 Buy, 11 Hold and one Sell rating. The stock has a “Moderate Buy” consensus and an average price target of $1,059.53.
• Costco reported quarterly revenue above expectations but narrowly missed EPS estimates, while shares opened at $945.47 and traded below their 200-day moving average. The company also pays a $1.47 quarterly dividend, equal to a 0.6% annualized yield.

BlackRock Inc. lessened its holdings in shares of Costco Wholesale Corporation (NASDAQ:COST - Free Report) by 2.1% in the second quarter, according to the company in its most recent filing with the Securities & Exchange Commission. The fund owned 34,202,834 shares of the retailer's stock after selling 744,206 shares during the period. Costco Wholesale accounts for approximately 0.5% of BlackRock Inc.'s holdings, making the stock its 29th biggest position. BlackRock Inc. owned 7.71% of Costco Wholesale worth $31,995,725,000 as of its most recent SEC filing.

A number of other hedge funds and other institutional investors also recently bought and sold shares of COST. Occidental Asset Management LLC lifted its holdings in shares of Costco Wholesale by 2.9% in the 2nd quarter. Occidental Asset Management LLC now owns 1,042 shares of the retailer's stock worth $974,000 after purchasing an additional 29 shares during the last quarter. Dunhill Financial LLC grew its stake in Costco Wholesale by 10.3% during the 2nd quarter. Dunhill Financial LLC now owns 310 shares of the retailer's stock worth $290,000 after buying an additional 29 shares during the last quarter. Deutsche Bank AG grew its stake in Costco Wholesale by 8.1% during the 2nd quarter. Deutsche Bank AG now owns 1,463,192 shares of the retailer's stock worth $1,368,772,000 after buying an additional 109,754 shares during the last quarter. Perigon Wealth Management LLC increased its position in Costco Wholesale by 2.4% in the second quarter. Perigon Wealth Management LLC now owns 22,257 shares of the retailer's stock worth $20,821,000 after buying an additional 520 shares during the period. Finally, Commerzbank Aktiengesellschaft FI increased its position in Costco Wholesale by 40.0% in the second quarter. Commerzbank Aktiengesellschaft FI now owns 15,546 shares of the retailer's stock worth $14,543,000 after buying an additional 4,439 shares during the period. 68.48% of the stock is currently owned by institutional investors and hedge funds.

Wall Street Analyst Weigh In

COST has been the subject of several analyst reports. BTIG Research reissued a "buy" rating and set a $1,125.00 price target on shares of Costco Wholesale in a report on Friday, May 29th. Royal Bank Of Canada assumed coverage on shares of Costco Wholesale in a research note on Monday, July 13th. They issued a "sector perform" rating and a $1,000.00 price target on the stock. TD Cowen restated a "buy" rating and issued a $1,175.00 target price on shares of Costco Wholesale in a research report on Wednesday, June 3rd. Oppenheimer boosted their price target on 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. Finally, DA Davidson reiterated a "neutral" rating and issued a $1,000.00 price objective on shares of Costco Wholesale in a report on Thursday, June 4th. 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 company's stock. According to data from MarketBeat.com, Costco Wholesale currently has an average rating of "Moderate Buy" and an average target price of $1,059.53.

Costco Wholesale Price Performance

COST stock opened at $945.47 on Friday. The firm has a 50-day moving average of $945.80 and a two-hundred day moving average of $979.92. The firm has a market capitalization of $419.30 billion, a PE ratio of 47.56, a P/E/G ratio of 4.45 and a beta of 0.87. Costco Wholesale Corporation has a one year low of $844.06 and a one year high of $1,096.50. 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 (NASDAQ:COST - Get Free Report) last announced its quarterly earnings data on Thursday, May 28th. The retailer reported $4.93 earnings per share (EPS) for the quarter, missing the consensus estimate of $4.94 by ($0.01). Costco Wholesale had a return on equity of 28.04% and a net margin of 3.01%.The business had revenue of $70.53 billion during the quarter, compared to analysts' expectations of $70.12 billion. During the same period in the prior year, the company posted $4.28 earnings per share. On average, analysts forecast that Costco Wholesale Corporation will post 20.42 earnings per share for the current year.

Costco Wholesale Announces Dividend

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

Costco Wholesale News Roundup

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

• Positive Sentiment: Delivery expansion could boost engagement: Costco is now offering delivery for customizable sheet cakes and party platters, improving convenience and potentially encouraging larger, higher-margin event-related purchases. Costco delivery for cakes and party platters
• Positive Sentiment: Physical expansion continues: Costco opened its first warehouse in Celina, Texas, one of the nation’s fastest-growing cities. New locations can add membership revenue and sales over time, although the financial contribution will develop gradually. Costco opens Celina store
• Positive Sentiment: Long-term investor appeal remains intact: Commentary highlights Costco’s strong competitive moat, membership economics and potential for dividend growth. Its partnership with SCAN Health Plan to offer Medicare Advantage and supplemental plans also provides a potential new customer-engagement channel. Costco Medicare partnership
• Neutral Sentiment: Pricing strategy is both a strength and a challenge: Costco continues to hold its iconic rotisserie chicken at $4.99 by controlling production costs. The price reinforces customer loyalty, but inflation and supply costs could pressure margins if the company maintains the price indefinitely. Costco rotisserie chicken and inflation
• Negative Sentiment: Legal and valuation concerns are weighing on sentiment: Costco is refunding certain tariff duties while contesting a related class-action lawsuit, creating uncertainty over costs and potential liabilities. Separately, the stock’s high earnings multiple and position below its 200-day moving average leave it vulnerable to profit-taking; its latest quarterly EPS narrowly missed estimates despite a revenue beat. Costco tariff refunds and lawsuit

Insider Buying and Selling at Costco Wholesale

In related news, Director Kenneth D. Denman sold 885 shares of Costco Wholesale 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 completion of the sale, the director owned 4,779 shares of the company's stock, valued at approximately $4,575,653.55. The trade was a 15.62% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. Corporate insiders own 0.10% of the company's stock.

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.

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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