Costco Wholesale Corporation $COST Stock Acquired by Howland Capital Management LLC

Key Points

• Howland Capital Management increased its Costco stake by 6.1% in the third quarter to 28,588 shares valued at approximately $26.0 million. Institutional investors collectively own 68.48% of the company.
• Costco reported quarterly EPS of $6.75 and revenue of $95.72 billion, exceeding analyst expectations, while revenue grew 11.1% year over year. The company also declared a quarterly dividend of $1.47 per share.
• Analysts remain broadly bullish, with a consensus “Moderate Buy” rating and an average price target of $1,086.19, but the stock’s high valuation—a P/E ratio of 48.33—along with insider selling and intensifying competition remain risks.

Howland Capital Management LLC lifted its holdings in Costco Wholesale Corporation (NASDAQ:COST - Free Report) by 6.1% during the third quarter, according to the company in its most recent 13F filing with the Securities & Exchange Commission. The fund owned 28,588 shares of the retailer's stock after buying an additional 1,650 shares during the period. Costco Wholesale comprises 0.9% of Howland Capital Management LLC's holdings, making the stock its 28th largest holding. Howland Capital Management LLC's holdings in Costco Wholesale were worth $26,025,000 as of its most recent SEC filing.

Several other hedge funds have also recently made changes to their positions in COST. State Street Corp grew its position in Costco Wholesale by 31.7% in the second quarter. State Street Corp now owns 23,901,594 shares of the retailer's stock worth $22,359,224,000 after acquiring an additional 5,749,362 shares in the last quarter. Bank of America Corp DE raised its position in Costco Wholesale by 11.5% during the first quarter. Bank of America Corp DE now owns 7,515,031 shares of the retailer's stock valued at $7,488,203,000 after purchasing an additional 773,651 shares during the period. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC raised its position in Costco Wholesale by 5.5% during the second quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC now owns 3,068,312 shares of the retailer's stock valued at $2,870,314,000 after purchasing an additional 160,893 shares during the period. Amundi raised its position in Costco Wholesale by 11.1% during the first quarter. Amundi now owns 2,839,016 shares of the retailer's stock valued at $2,828,881,000 after purchasing an additional 283,360 shares during the period. Finally, Ascentis Wealth Management LLC lifted its stake in shares of Costco Wholesale by 103,637.0% in the 2nd quarter. Ascentis Wealth Management LLC now owns 2,500,062 shares of the retailer's stock valued at $2,549,616,000 after purchasing an additional 2,497,652 shares during the last quarter. 68.48% of the stock is currently owned by hedge funds and other institutional investors.

Insider Buying and Selling

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

More Costco Wholesale News

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

• Positive Sentiment: Analyst support remains strong. CICC initiated coverage with an Outperform rating, while Tigress Financial raised its price target to $1,250. Erste Group also increased its FY2028 EPS estimate to $25.07 from $25.01, above the current-year consensus estimate of $22.70. CICC coverage article Tigress Financial price target article
• Positive Sentiment: Growth and customer engagement remain key positives. Costco’s membership model has delivered substantial long-term shareholder returns, and the company is reportedly using purchasing data to better target high-spending members. REJURAN Cosmetics is also expanding through Costco’s first Beauty Table program, potentially adding traffic and broadening its premium beauty offering. Costco customer spending article REJURAN retail expansion article
• Neutral Sentiment: Long-term growth screens are favorable, and analysts’ average recommendation is equivalent to a Buy. However, these reports largely reiterate existing optimism rather than provide a new earnings catalyst. Zacks growth stock article
• Negative Sentiment: Valuation and competition remain concerns. Costco trades at a high earnings multiple, leaving the stock sensitive to profit-taking or disappointing growth. Kroger is planning major investments and price cuts to win back market share from Costco and Walmart, which could intensify grocery competition and pressure margins. Kroger competition article

Wall Street Analysts Forecast Growth

COST has been the subject of a number of recent research reports. Royal Bank Of Canada reiterated a "sector perform" rating and issued a $1,000.00 target price on shares of Costco Wholesale in a report on Friday, October 9th. Weiss Ratings upgraded Costco Wholesale from a "hold (c+)" rating to a "buy (b-)" rating in a research report on Thursday, October 8th. CICC Research assumed coverage on Costco Wholesale in a research report on Wednesday. They issued an "outperform" rating and a $1,050.00 price target for the company. Sanford C. Bernstein dropped their price objective on shares of Costco Wholesale from $1,144.00 to $1,143.00 and set an "outperform" rating for the company in a research note on Friday, September 25th. Finally, Freedom Broker cut their price objective on shares of Costco Wholesale from $1,030.00 to $1,010.00 and set a "buy" rating on the stock in a research report on Friday, September 25th. Twenty-five equities research analysts have rated the stock with a Buy rating, eight have assigned a Hold rating and one has given a Sell rating to the company. According to data from MarketBeat.com, Costco Wholesale presently has a consensus rating of "Moderate Buy" and an average target price of $1,086.19.

Costco Wholesale Trading Down 1.5%

Shares of COST opened at $1,003.32 on Friday. Costco Wholesale Corporation has a 1-year low of $844.06 and a 1-year high of $1,096.50. The company has a 50-day moving average of $937.96 and a 200 day moving average of $963.21. The firm has a market capitalization of $444.60 billion, a price-to-earnings ratio of 48.33, a PEG ratio of 4.35 and a beta of 0.88. 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 (NASDAQ:COST - Get Free Report) last issued its earnings results on Thursday, September 24th. The retailer reported $6.75 EPS for the quarter, topping analysts' consensus estimates of $6.54 by $0.21. The business had revenue of $95.72 billion for the quarter, compared to the consensus estimate of $94.97 billion. Costco Wholesale had a net margin of 3.04% and a return on equity of 27.60%. The company's revenue for the quarter was up 11.1% compared to the same quarter last year. During the same period in the prior year, the firm earned $5.87 EPS. On average, research analysts expect that Costco Wholesale Corporation will post 22.70 EPS for the current year.

Costco Wholesale Dividend Announcement

The company also recently declared a quarterly dividend, which will be paid on Friday, November 13th. Investors of record on Friday, October 30th will be issued a $1.47 dividend. The ex-dividend date is Friday, October 30th. This represents a $5.88 dividend on an annualized basis and a dividend yield of 0.6%. Costco Wholesale's payout ratio is presently 28.32%.

Costco Wholesale Company Profile

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.

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.