L & S Advisors Inc Decreases Position in Costco Wholesale Corporation (NASDAQ:COST)

Key Points

• L & S Advisors Inc reduced its stake in Costco Wholesale by 29.2%, selling 2,387 shares, leaving them with 5,788 shares valued at approximately $5.48 million.
• Costco's earnings report for the last quarter showed earnings per share of $4.28, exceeding analysts' expectations of $4.24.
• Recent insider trades indicate significant selling activity, with two executives reducing their holdings by over 19% and 40% respectively.

L & S Advisors Inc trimmed its holdings in shares of Costco Wholesale Corporation (NASDAQ:COST - Free Report) by 29.2% in the 1st quarter, according to the company in its most recent Form 13F filing with the Securities and Exchange Commission. The fund owned 5,788 shares of the retailer's stock after selling 2,387 shares during the quarter. L & S Advisors Inc's holdings in Costco Wholesale were worth $5,475,000 at the end of the most recent reporting period.

Several other institutional investors and hedge funds have also made changes to their positions in the business. Investment Management Corp VA ADV purchased a new stake in shares of Costco Wholesale during the fourth quarter worth about $25,000. Aspect Partners LLC grew its stake 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 acquiring an additional 11 shares during the last quarter. Capital A Wealth Management LLC purchased a new stake in Costco Wholesale in the fourth quarter valued at approximately $58,000. Mascagni Wealth Management Inc. purchased a new stake in Costco Wholesale in the fourth quarter valued at approximately $59,000. Finally, Bank & Trust Co boosted its position in Costco Wholesale by 20.4% in the first quarter. Bank & Trust Co now owns 65 shares of the retailer's stock valued at $61,000 after buying an additional 11 shares during the last quarter. 68.48% of the stock is currently owned by institutional investors.

Insider Transactions at Costco Wholesale

In other news, EVP Patrick J. Callans sold 3,000 shares of the business's stock in a transaction dated Monday, June 9th. The stock was sold at an average price of $1,002.77, for a total transaction of $3,008,310.00. Following the completion of the transaction, the executive vice president directly owned 58,543 shares of the company's stock, valued at approximately $58,705,164.11. The trade was a 4.87% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which can be accessed through the SEC website. Also, Director Susan L. Decker sold 547 shares of the business's stock in a transaction dated Wednesday, June 18th. The stock was sold at an average price of $980.00, for a total value of $536,060.00. Following the transaction, the director directly owned 11,531 shares of the company's stock, valued at approximately $11,300,380. This represents a 4.53% decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last 90 days, insiders sold 9,547 shares of company stock valued at $9,472,510. 0.18% of the stock is owned by insiders.

Wall Street Analyst Weigh In

A number of equities research analysts recently commented on COST shares. Wall Street Zen upgraded Costco Wholesale from a "hold" rating to a "buy" rating in a research report on Friday, June 6th. Loop Capital dropped their target price on Costco Wholesale from $1,115.00 to $1,110.00 and set a "buy" rating on the stock in a research report on Thursday, May 29th. Truist Financial upped their target price on Costco Wholesale from $995.00 to $1,042.00 and gave the company a "hold" rating in a research report on Friday, May 30th. Mizuho assumed coverage on Costco Wholesale in a report on Friday, April 11th. They issued a "neutral" rating and a $975.00 price target for the company. Finally, Stifel Nicolaus set a $1,035.00 price target on Costco Wholesale in a report on Thursday, May 29th. Nine investment analysts have rated the stock with a hold rating and twenty have issued a buy rating to the stock. Based on data from MarketBeat, the stock currently has a consensus rating of "Moderate Buy" and a consensus price target of $1,037.48.

Costco Wholesale Trading Up 0.3%

Costco Wholesale stock traded up $2.85 during midday trading on Monday, reaching $955.37. 2,388,420 shares of the stock traded hands, compared to its average volume of 2,166,006. The firm has a market cap of $423.69 billion, a PE ratio of 54.19, a price-to-earnings-growth ratio of 5.92 and a beta of 0.96. The company has a current ratio of 1.02, a quick ratio of 0.52 and a debt-to-equity ratio of 0.21. The company has a 50-day simple moving average of $983.34 and a two-hundred day simple moving average of $984.69. Costco Wholesale Corporation has a 12-month low of $793.00 and a 12-month high of $1,078.23.

Costco Wholesale (NASDAQ:COST - Get Free Report) last released its earnings results on Thursday, May 29th. The retailer reported $4.28 earnings per share for the quarter, beating the consensus estimate of $4.24 by $0.04. The company had revenue of $63.21 billion during 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%. Costco Wholesale's revenue was up 8.0% compared to the same quarter last year. During the same period in the previous year, the company posted $3.78 EPS. Research analysts expect that Costco Wholesale Corporation will post 18.03 earnings per share for the current fiscal year.

Costco Wholesale Announces Dividend

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

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.