Charles Schwab Investment Management Inc. Has $2.85 Billion Stake in Costco Wholesale Corporation (NASDAQ:COST)

Key Points

• Charles Schwab Investment Management Inc. increased its stake in Costco Wholesale by 4.1% in Q1, owning approximately 3 million shares valued at nearly $2.85 billion.
• Costco reports a strong quarterly performance with $63.21 billion in revenue and earnings per share of $4.28, beating analysts' expectations.
• The company has announced a quarterly dividend of $1.30 per share, set to be paid to investors on August 15th, with a dividend yield of 0.5%.

Charles Schwab Investment Management Inc. increased its stake in shares of Costco Wholesale Corporation (NASDAQ:COST - Free Report) by 4.1% in the first quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission (SEC). The fund owned 3,018,594 shares of the retailer's stock after buying an additional 118,690 shares during the quarter. Charles Schwab Investment Management Inc. owned about 0.68% of Costco Wholesale worth $2,854,925,000 at the end of the most recent quarter.

Other institutional investors also recently added to or reduced their stakes in the company. Investment Management Corp VA ADV acquired a new stake in Costco Wholesale in the 4th quarter valued at about $25,000. Aspect Partners LLC raised its position in shares of Costco Wholesale by 24.4% during the first quarter. Aspect Partners LLC now owns 56 shares of the retailer's stock worth $53,000 after purchasing an additional 11 shares during the period. Capital A Wealth Management LLC acquired a new stake in shares of Costco Wholesale during the fourth quarter worth $58,000. Mascagni Wealth Management Inc. acquired a new stake in shares of Costco Wholesale during the fourth quarter worth $59,000. Finally, Bank & Trust Co increased its position in shares of Costco Wholesale by 20.4% in the first quarter. Bank & Trust Co now owns 65 shares of the retailer's stock worth $61,000 after acquiring an additional 11 shares in the last quarter. Institutional investors and hedge funds own 68.48% of the company's stock.

Costco Wholesale Stock Up 0.4%

NASDAQ COST traded up $3.53 during trading hours on Friday, hitting $980.98. 2,188,224 shares of the company traded hands, compared to its average volume of 2,172,175. The business's 50-day moving average is $979.28 and its 200-day moving average is $984.62. Costco Wholesale Corporation has a twelve month low of $837.63 and a twelve month high of $1,078.23. The company has a debt-to-equity ratio of 0.21, a quick ratio of 0.52 and a current ratio of 1.02. The stock has a market capitalization of $435.05 billion, a price-to-earnings ratio of 55.64, a P/E/G ratio of 6.08 and a beta of 0.96.

Costco Wholesale (NASDAQ:COST - Get Free Report) last announced its quarterly earnings results on Thursday, May 29th. The retailer reported $4.28 earnings per share for the quarter, topping analysts' consensus estimates of $4.24 by $0.04. The firm had revenue of $63.21 billion for the quarter, compared to the consensus estimate of $62.93 billion. Costco Wholesale had a return on equity of 30.48% and a net margin of 2.92%. The business's revenue was up 8.0% compared to the same quarter last year. During the same quarter in the previous year, the business earned $3.78 earnings per share. Sell-side analysts anticipate that Costco Wholesale Corporation will post 18.03 earnings per share for the current year.

Costco Wholesale Dividend Announcement

The firm also recently declared a quarterly dividend, which will be paid on Friday, August 15th. Shareholders of record on Friday, August 1st will be given a dividend of $1.30 per share. This represents a $5.20 dividend on an annualized basis and a yield of 0.5%. The ex-dividend date of this dividend is Friday, August 1st. Costco Wholesale's payout ratio is 29.50%.

Insiders Place Their Bets

In related news, EVP Pierre Riel sold 2,000 shares of Costco Wholesale stock in a transaction dated Friday, June 6th. The shares were sold at an average price of $1,014.15, for a total transaction of $2,028,300.00. Following the completion of the sale, the executive vice president owned 8,210 shares of the company's stock, valued at approximately $8,326,171.50. The trade was a 19.59% decrease in their position. The sale was disclosed in a filing with the SEC, which is accessible through the SEC website. Also, Director Susan L. Decker sold 547 shares of the company's stock in a transaction dated Wednesday, June 18th. The shares were sold at an average price of $980.00, for a total transaction of $536,060.00. Following the completion of the transaction, the director owned 11,531 shares in the company, valued at approximately $11,300,380. This trade represents a 4.53% decrease in their position. The disclosure for this sale can be found here. Insiders sold 9,547 shares of company stock worth $9,472,510 in the last three months. 0.18% of the stock is owned by corporate insiders.

Analyst Upgrades and Downgrades

COST has been the subject of several research reports. Truist Financial raised their price target on shares of Costco Wholesale from $995.00 to $1,042.00 and gave the stock a "hold" rating in a report on Friday, May 30th. Loop Capital decreased their price target on shares of Costco Wholesale from $1,115.00 to $1,110.00 and set a "buy" rating for the company in a report on Thursday, May 29th. Wall Street Zen upgraded shares of Costco Wholesale from a "hold" rating to a "buy" rating in a report on Friday, June 6th. Telsey Advisory Group reaffirmed an "outperform" rating and issued a $1,100.00 target price on shares of Costco Wholesale in a research report on Monday. Finally, Mizuho started coverage on Costco Wholesale in a research note on Friday, April 11th. They issued a "neutral" rating and a $975.00 price objective on the stock. Ten analysts have rated the stock with a hold rating and twenty have issued a buy rating to the company. According to data from MarketBeat, the company presently has a consensus rating of "Moderate Buy" and an average target price of $1,040.81.

About Costco Wholesale

Costco Wholesale Corporation, together with its subsidiaries, engages in the operation of membership warehouses in the United States, Puerto Rico, Canada, Mexico, Japan, the United Kingdom, Korea, Australia, Taiwan, China, Spain, France, Iceland, New Zealand, and Sweden. The company offers branded and private-label products in a range of merchandise categories.