Costco Wholesale Corporation $COST Shares Sold by Frank Rimerman Advisors LLC

Key Points

• Frank Rimerman Advisors LLC cut its Costco stake by 23.5% in the third quarter, selling 1,918 shares and retaining 6,231 shares valued at $5.67 million. Institutional investors collectively own 68.48% of Costco.
• Costco reported quarterly EPS of $6.75, exceeding the $6.54 consensus estimate, while revenue rose 11.1% year over year to $95.72 billion. Analysts maintain a “Moderate Buy” consensus rating with an average price target of $1,087.40.
• The company declared a quarterly dividend of $1.47 per share, equivalent to $5.88 annually and a 0.6% yield. Despite strong operating results, Costco trades at a high 47.64 price-to-earnings ratio, leaving the stock exposed to valuation and macroeconomic risks.

Frank Rimerman Advisors LLC trimmed its stake in Costco Wholesale Corporation (NASDAQ:COST - Free Report) by 23.5% in the 3rd quarter, according to the company in its most recent filing with the Securities and Exchange Commission (SEC). The firm owned 6,231 shares of the retailer's stock after selling 1,918 shares during the period. Frank Rimerman Advisors LLC's holdings in Costco Wholesale were worth $5,672,000 as of its most recent filing with the Securities and Exchange Commission (SEC).

Other hedge funds and other institutional investors have also made changes to their positions in the company. Encompass More Asset Management boosted its stake in Costco Wholesale by 65.2% in the 3rd quarter. Encompass More Asset Management now owns 423 shares of the retailer's stock worth $385,000 after purchasing an additional 167 shares in the last quarter. Fiscal Wisdom Wealth Management LLC increased its stake in shares of Costco Wholesale by 2.4% during the third quarter. Fiscal Wisdom Wealth Management LLC now owns 1,128 shares of the retailer's stock worth $1,026,000 after purchasing an additional 26 shares in the last quarter. Forbes J M & Co. LLP lifted its holdings in Costco Wholesale by 0.5% in the 3rd quarter. Forbes J M & Co. LLP now owns 2,419 shares of the retailer's stock valued at $2,202,000 after purchasing an additional 12 shares in the last quarter. Align Financial LLC boosted its holdings in shares of Costco Wholesale by 40.2% during the 3rd quarter. Align Financial LLC now owns 387 shares of the retailer's stock worth $352,000 after purchasing an additional 111 shares during the last quarter. Finally, AlphaStar Capital Management LLC grew its holdings in shares of Costco Wholesale by 22.8% in the third quarter. AlphaStar Capital Management LLC now owns 3,525 shares of the retailer's stock valued at $3,209,000 after purchasing an additional 655 shares during the period. Institutional investors own 68.48% of the company's stock.

Costco Wholesale Stock Performance

Shares of COST opened at $989.11 on Monday. The company has a debt-to-equity ratio of 0.11, a current ratio of 1.06 and a quick ratio of 0.62. Costco Wholesale Corporation has a 1-year low of $844.06 and a 1-year high of $1,096.50. The stock has a market cap of $438.30 billion, a price-to-earnings ratio of 47.64, a price-to-earnings-growth ratio of 4.23 and a beta of 0.88. The firm has a 50 day simple moving average of $933.15 and a 200-day simple moving average of $963.04.

Costco Wholesale (NASDAQ:COST - Get Free Report) last announced its quarterly earnings data on Thursday, September 24th. The retailer reported $6.75 earnings per share for the quarter, topping the consensus estimate of $6.54 by $0.21. Costco Wholesale had a net margin of 3.04% and a return on equity of 27.60%. The business had revenue of $95.72 billion for the quarter, compared to analyst estimates of $94.97 billion. During the same period in the prior year, the firm posted $5.87 EPS. The company's revenue was up 11.1% on a year-over-year basis. Equities analysts forecast that Costco Wholesale Corporation will post 22.70 EPS for the current fiscal year.

Costco Wholesale Dividend Announcement

The firm also recently announced a quarterly dividend, which will be paid on Friday, November 13th. Shareholders of record on Friday, October 30th will be issued a $1.47 dividend. The ex-dividend date of this dividend is Friday, October 30th. This represents a $5.88 dividend on an annualized basis and a yield of 0.6%. Costco Wholesale's dividend payout ratio (DPR) is currently 28.32%.

Wall Street Analyst Weigh In

Several research firms have recently commented on COST. UBS Group restated a "buy" rating on shares of Costco Wholesale in a research report on Thursday, September 17th. Freedom Broker cut their price target on shares of Costco Wholesale from $1,030.00 to $1,010.00 and set a "buy" rating on the stock in a research note on Friday, September 25th. Deutsche Bank Aktiengesellschaft decreased their price objective on Costco Wholesale from $1,091.00 to $1,079.00 and set a "buy" rating for the company in a report on Monday, September 28th. Mizuho lowered their price objective on shares of Costco Wholesale from $1,100.00 to $1,065.00 and set an "outperform" rating on the stock in a research report on Friday, September 25th. Finally, BTIG Research restated a "buy" rating and issued a $1,125.00 price objective on shares of Costco Wholesale in a research report on Wednesday, September 23rd. Twenty-four investment analysts have rated the stock with a Buy rating, eight have issued a Hold rating and one has issued a Sell rating to the company's stock. According to MarketBeat, Costco Wholesale has a consensus rating of "Moderate Buy" and a consensus price target of $1,087.40.

Costco Wholesale News Roundup

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

• Positive Sentiment: September sales accelerated: Costco reported September net sales of $30.02 billion, up 13% year over year, while digitally enabled sales increased 19%. The results reinforce the strength of Costco’s membership model, e-commerce business and value-focused offering. September Sales Growth
• Positive Sentiment: Analyst support remains strong: Tigress Financial reiterated a Buy rating while setting a $1,065 price target after previously publicizing a higher $1,250 target. Other coverage highlights Costco’s sales growth, membership loyalty and digital gains, supporting the recent recovery above key moving averages. Tigress Financial Price Target
• Positive Sentiment: Dividend maintained: Costco declared a quarterly dividend of $1.47 per share, payable November 13 to shareholders of record October 30. While the approximately 0.6% yield is modest, the payment signals continued cash-flow strength. Costco Dividend Announcement
• Positive Sentiment: Expansion pipeline: Proposed warehouse projects in Macon and Oakland, along with a planned Merced County relocation, point to continued investment in Costco’s store network. Infrastructure financing of up to $30 million could support the Macon development. Macon Costco Project
• Neutral Sentiment: Costco’s fiscal 2027 executive bonus plan adds sustainability-related measures. The change may support long-term operational goals, but it is unlikely to materially affect near-term earnings. Costco Executive Bonus Update
• Negative Sentiment: Valuation and macro risks remain: Costco trades at a high earnings multiple, leaving the stock vulnerable if growth or membership trends slow. Persistent inflation and potentially higher interest rates could also pressure consumer spending and market valuations.
• Negative Sentiment: An executive sold 1,100 shares worth approximately $1.05 million. The transaction is relatively small compared with Costco’s market value, but it may add a modest cautionary signal for investors. Costco Insider Sale

Insider Buying and Selling

In related news, EVP William Richard Wilcox sold 1,100 shares of the business's stock in a transaction that occurred on Tuesday, October 13th. The stock was sold at an average price of $958.21, for a total transaction of $1,054,031.00. Following the completion of the transaction, the executive vice president owned 3,094 shares in the company, valued at $2,964,701.74. The trade was a 26.23% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, EVP Claudine Adamo sold 2,200 shares of the stock in a transaction dated Tuesday, September 29th. The stock was sold at an average price of $915.93, for a total transaction of $2,015,046.00. Following the completion of the sale, the executive vice president directly owned 7,134 shares in the company, valued at approximately $6,534,244.62. This trade represents a 23.57% decrease in their position. The SEC filing for this sale provides additional information. Insiders own 0.10% of the company's stock.

About Costco Wholesale

Costco Wholesale Corporation operates a membership-based warehouse retail business under the Costco name. The company sells merchandise in bulk and at competitive prices through warehouse clubs and e-commerce platforms, serving individual consumers, businesses and other organizations.

Its product selection includes groceries and fresh foods, household supplies, appliances, electronics, furniture, apparel, health and beauty products, jewelry, automotive products and prescription drugs. Costco also provides services such as optical care, pharmacy services, hearing-aid sales, travel offerings and fuel sales, depending on location.

The company traces its roots to Price Club, which opened in San Diego in 1976.

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