Costco Wholesale Corporation $COST Stock: Generali Asset Management SPA SGR Grows Stake

Key Points

• Generali Asset Management increased its Costco stake by 6.3% in the third quarter, bringing its holdings to 22,000 shares valued at approximately $20 million. Institutional investors collectively own 68.48% of Costco’s stock.
• Costco reported quarterly earnings of $6.75 per share, exceeding estimates, while revenue rose 11.1% year over year to $95.72 billion. The company also declared a quarterly dividend of $1.47 per share, equal to a 0.6% annualized yield.
• Analysts maintain a broadly positive outlook, with a consensus “Moderate Buy” rating and an average price target of $1,086.19, although Costco’s elevated valuation—about 48 times earnings—remains a key risk. Two executives recently sold shares, while insiders collectively own only 0.10% of the company.

Generali Asset Management SPA SGR grew its holdings in shares of Costco Wholesale Corporation (NASDAQ:COST - Free Report) by 6.3% in the 3rd quarter, according to its most recent 13F filing with the Securities & Exchange Commission. The fund owned 22,000 shares of the retailer's stock after purchasing an additional 1,309 shares during the quarter. Generali Asset Management SPA SGR's holdings in Costco Wholesale were worth $20,027,000 as of its most recent filing with the Securities & Exchange Commission.

Other hedge funds and other institutional investors have also recently made changes to their positions in the company. State Street Corp grew its position in Costco Wholesale by 31.7% during the second quarter. State Street Corp now owns 23,901,594 shares of the retailer's stock valued at $22,359,224,000 after buying an additional 5,749,362 shares during the period. Bank of America Corp DE increased its holdings 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 buying an additional 773,651 shares during the last quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC increased its holdings 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 buying an additional 160,893 shares during the last quarter. Amundi raised its position in Costco Wholesale by 11.1% in the first quarter. Amundi now owns 2,839,016 shares of the retailer's stock worth $2,828,881,000 after acquiring an additional 283,360 shares during the period. Finally, Ascentis Wealth Management LLC raised its position in Costco Wholesale by 103,637.0% in the second quarter. Ascentis Wealth Management LLC now owns 2,500,062 shares of the retailer's stock worth $2,549,616,000 after acquiring an additional 2,497,652 shares during the period. Hedge funds and other institutional investors own 68.48% of the company's stock.

Insiders Place Their Bets

In related news, EVP William Richard Wilcox sold 1,100 shares of the company's stock in a transaction on Tuesday, October 13th. The shares were 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 owned 3,094 shares of the company's stock, valued at approximately $2,964,701.74. This represents a 26.23% decrease in their position. The sale was disclosed in a filing with the SEC, which is accessible through this link. Also, EVP Claudine Adamo sold 2,200 shares of the stock in a transaction 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 completion of the sale, the executive vice president owned 7,134 shares of the company's stock, valued at $6,534,244.62. The trade was a 23.57% decrease in their position. The disclosure for this sale is available in the SEC filing. Corporate insiders own 0.10% of the company's stock.

Costco Wholesale Trading Down 1.3%

Costco Wholesale stock opened at $992.13 on Wednesday. The firm has a 50 day moving average of $940.52 and a 200 day moving average of $969.21. The firm has a market capitalization of $439.64 billion, a price-to-earnings ratio of 47.79 and a beta of 0.88. Costco Wholesale Corporation has a 12-month low of $844.06 and a 12-month high of $1,096.50.

Costco Wholesale (NASDAQ:COST - Get Free Report) last released 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 firm had revenue of $95.72 billion for the quarter, compared to the consensus estimate of $94.97 billion. During the same quarter in the previous year, the business posted $5.87 EPS. Costco Wholesale's revenue was up 11.1% on a year-over-year basis. On average, analysts predict that Costco Wholesale Corporation will post 22.70 EPS for the current year.

Costco Wholesale Announces Dividend

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

Analysts Set New Price Targets

Several brokerages have recently weighed in on COST. Evercore reiterated an "outperform" rating on shares of Costco Wholesale in a research note on Tuesday, September 22nd. Sanford C. Bernstein reduced their price objective on 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. Guggenheim reaffirmed a "neutral" rating on shares of Costco Wholesale in a report on Monday, September 28th. Deutsche Bank Aktiengesellschaft decreased their target price on Costco Wholesale from $1,091.00 to $1,079.00 and set a "buy" rating on the stock in a report on Monday, September 28th. Finally, Freedom Broker lowered their target price on 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 investment analysts have rated the stock with a Buy rating, eight have given a Hold rating and one has given a Sell rating to the company's stock. According to MarketBeat, Costco Wholesale has a consensus rating of "Moderate Buy" and an average target price of $1,086.19.

More Costco Wholesale News

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

• Positive Sentiment: Digital and pharmacy growth offer upside. Costco’s AI-driven search traffic and related online sales are reportedly growing at triple-digit rates, while pharmacy sales have increased nearly 20%. Expanded services, including GLP-1 and fertility offerings, could strengthen member engagement and renewal rates. Costco's AI Search Traffic Soars
• Positive Sentiment: New partnerships may improve member value. NationsBenefits is making healthcare benefits redeemable at more than 600 participating Costco warehouses, potentially increasing traffic and spending among eligible members. NationsBenefits Expands Member Access
• Positive Sentiment: Technical momentum is improving. Market technician Katie Stockton said Costco’s momentum is strengthening heading into November, reinforcing the bullish view following recent gains and the company’s fifth consecutive earnings beat. Costco momentum is improving
• Positive Sentiment: Dividend and special-dividend potential provide shareholder support. Costco’s upcoming $1.47 dividend and speculation about a possible special dividend may attract income-oriented investors, although the regular yield remains modest at the current share price. Costco Special Dividend Prospects
• Neutral Sentiment: ETF activity was a modest technical headwind. ETFs were reported as net sellers of COST on October 23, which could add short-term supply but does not materially change Costco’s operating outlook. ETFs Are Net Sellers of Costco
• Negative Sentiment: Valuation is the central concern. With COST trading at roughly 48 times earnings and near record levels, analysts warn that expectations are extremely high. Mixed consumer and macroeconomic conditions mean even a modest slowdown or weaker guidance could pressure the stock. Costco Remains a Defensive Compounder
• Negative Sentiment: A proposed warehouse cancellation removes a potential expansion catalyst. Costco withdrew its application for a warehouse near Highway 55 in Eagle, although the impact is likely limited unless the decision signals broader permitting or expansion challenges. Costco pulls application for warehouse near Highway 55

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.

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