Costco Wholesale Corporation $COST Stock Sold by Talbot Financial LLC

Key Points

• Talbot Financial reduced its Costco stake by 8.3% in the third quarter, selling 1,773 shares and retaining 19,677 shares valued at approximately $17.9 million. Institutional investors overall own 68.48% of Costco.
• Costco reported strong quarterly results, with revenue up 11.1% year over year to $95.72 billion and earnings of $6.75 per share, exceeding analyst expectations. September sales also reportedly rose 13% year over year.
• Valuation remains a concern: Costco trades at roughly 48 times earnings, while analysts maintain a “Moderate Buy” consensus with an average price target of $1,087.40. The company also declared a quarterly dividend of $1.47 per share, representing an annualized yield of about 0.6%.

Talbot Financial LLC reduced its holdings in shares of Costco Wholesale Corporation (NASDAQ:COST - Free Report) by 8.3% in the 3rd quarter, according to the company in its most recent disclosure with the Securities & Exchange Commission. The firm owned 19,677 shares of the retailer's stock after selling 1,773 shares during the quarter. Costco Wholesale accounts for 1.3% of Talbot Financial LLC's portfolio, making the stock its 25th largest position. Talbot Financial LLC's holdings in Costco Wholesale were worth $17,913,000 as of its most recent SEC filing.

Several other large investors also recently made changes to their positions in COST. State Street Corp lifted its holdings in shares of Costco Wholesale by 31.7% during the 2nd quarter. State Street Corp now owns 23,901,594 shares of the retailer's stock valued at $22,359,224,000 after acquiring an additional 5,749,362 shares in the last quarter. Bank of America Corp DE boosted its position in Costco Wholesale by 11.5% during the 1st quarter. Bank of America Corp DE now owns 7,515,031 shares of the retailer's stock worth $7,488,203,000 after purchasing an additional 773,651 shares during the period. Diamant Asset Management Inc. increased its holdings in Costco Wholesale by 99,278.0% in the 1st quarter. Diamant Asset Management Inc. now owns 6,726,899 shares of the retailer's stock valued at $672,690,000 after purchasing an additional 6,720,130 shares in the last quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC increased its holdings in Costco Wholesale by 5.5% in the 2nd 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 in the last quarter. Finally, Amundi increased its holdings in Costco Wholesale by 11.1% in the 1st 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 in the last quarter. Institutional investors and hedge funds own 68.48% of the company's stock.

Key Headlines Impacting Costco Wholesale

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

• Positive Sentiment: Costco is reportedly adding a $2.99 sweet treat to its food-court menu. While financially modest, the low-priced offering could reinforce the company’s value proposition and drive additional customer traffic. Costco adds a $2.99 food-court treat
• Positive Sentiment: Recent sales momentum remains a key support for COST, with September sales reportedly increasing 13% year over year. The growth highlights continued customer demand despite broader concerns about retail spending. Costco valuation and sales growth
• Positive Sentiment: Costco is scheduled to pay a quarterly dividend of $1.47 per share on Nov. 13. Although its approximately 0.6% yield is low, regular and occasional special dividends add to the long-term shareholder return case. Costco dividend analysis
• Neutral Sentiment: Costco continues expanding its warehouse footprint, including a 152,000-square-foot location with a 32-pump gas station scheduled to open in November. The project offers incremental growth potential, though its near-term earnings effect is likely limited. New Costco warehouse opening
• Neutral Sentiment: Analyses comparing Costco with Walmart emphasize Costco’s stronger competitive moat and recent relative performance, but also frame the stock as a long-term quality investment rather than a clear short-term bargain. Costco versus Walmart comparison
• Negative Sentiment: Truist analyst Scot Ciccarelli reaffirmed a Hold rating and a $955 price target, indicating limited upside after Costco’s strong run. The target is below recent trading levels, reinforcing valuation concerns. Truist Costco rating
• Negative Sentiment: Costco trades at a demanding valuation—roughly 48 times earnings—despite its strong sales growth. Rising prices for oil and protein could also pressure margins or merchandise affordability, increasing the risk of investor disappointment. Costco price tracker and inflation

Analysts Set New Price Targets

Several research analysts have commented on COST shares. Deutsche Bank Aktiengesellschaft cut their price objective on Costco Wholesale from $1,091.00 to $1,079.00 and set a "buy" rating on the stock in a research report on Monday, September 28th. Tigress Financial upped their target price on Costco Wholesale from $1,065.00 to $1,250.00 and gave the stock a "buy" rating in a research report on Thursday, October 15th. Sanford C. Bernstein decreased their target price on Costco Wholesale from $1,144.00 to $1,143.00 and set an "outperform" rating for the company in a research report on Friday, September 25th. JPMorgan Chase & Co. lowered their target price on Costco Wholesale from $1,100.00 to $1,015.00 and set an "overweight" rating for the company in a research note on Friday, September 25th. Finally, Royal Bank Of Canada reiterated a "sector perform" rating and set a $1,000.00 target price on shares of Costco Wholesale in a report on Friday, October 9th. Twenty-four investment analysts have rated the stock with a Buy rating, eight have assigned a Hold rating and one has issued a Sell rating to the company's stock. Based on data from MarketBeat, the company has a consensus rating of "Moderate Buy" and an average target price of $1,087.40.

Insider Transactions at Costco Wholesale

In other Costco Wholesale news, EVP William Richard Wilcox sold 1,100 shares of the company's stock in a transaction dated 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 directly owned 3,094 shares of the company's stock, valued at $2,964,701.74. This represents a 26.23% decrease in their position. The transaction was disclosed in a filing with the SEC, which is available at the SEC website. Also, EVP Claudine Adamo sold 2,200 shares of the firm's stock in a transaction dated Tuesday, September 29th. The shares were sold at an average price of $915.93, for a total value of $2,015,046.00. Following the sale, 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 disclosure for this sale is available in the SEC filing. Corporate insiders own 0.10% of the company's stock.

Costco Wholesale Price Performance

Shares of COST stock opened at $995.53 on Tuesday. The company has a market capitalization of $441.15 billion, a PE ratio of 47.95, a price-to-earnings-growth ratio of 4.23 and a beta of 0.88. The firm has a fifty day simple moving average of $934.01 and a 200-day simple moving average of $963.03. The company has a current ratio of 1.06, a quick ratio of 0.62 and a debt-to-equity ratio of 0.11. Costco Wholesale Corporation has a twelve month low of $844.06 and a twelve month high of $1,096.50.

Costco Wholesale (NASDAQ:COST - Get Free Report) last released its quarterly earnings results on Thursday, September 24th. The retailer reported $6.75 earnings per share for the quarter, beating analysts' consensus estimates 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 during the quarter, compared to analyst estimates of $94.97 billion. During the same period last year, the business earned $5.87 EPS. The business's revenue was up 11.1% on a year-over-year basis. Equities research analysts anticipate that Costco Wholesale Corporation will post 22.70 earnings per share for the current fiscal year.

Costco Wholesale Dividend Announcement

The company also recently disclosed 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 yield of 0.6%. The ex-dividend date of this dividend is Friday, October 30th. Costco Wholesale's dividend 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.

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