M Holdings Securities Inc. Acquires 2,911 Shares of Costco Wholesale Corporation $COST

Key Points

• M Holdings Securities acquired 2,911 Costco shares in the third quarter, valued at approximately $2.91 million.
• Institutional investors own 68.48% of Costco shares; several major investors, including State Street and Bank of America, recently increased their holdings.
• Costco reported October net sales up 12.6% year over year, while analysts’ average price target is $1,090.55. Its elevated valuation and recent executive share sales are potential investor considerations.

M Holdings Securities Inc. acquired a new stake in Costco Wholesale Corporation (NASDAQ:COST - Free Report) in the third quarter, according to the company in its most recent 13F filing with the SEC. The institutional investor acquired 2,911 shares of the retailer's stock, valued at approximately $2,906,000.

Other large investors have also recently made changes to their positions in the company. State Street Corp raised 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 during the period. Bank of America Corp DE boosted its stake in Costco Wholesale by 11.5% in 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 acquiring an additional 773,651 shares during the last quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC grew its position in shares of Costco Wholesale by 5.5% during 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 acquiring an additional 160,893 shares during the period. Amundi grew its position in shares of Costco Wholesale by 11.1% during the 1st quarter. Amundi now owns 2,839,016 shares of the retailer's stock valued at $2,828,881,000 after acquiring an additional 283,360 shares during the period. Finally, Legal & General Group Plc bought a new position in shares of Costco Wholesale during the 2nd quarter valued at approximately $2,362,188,000. 68.48% of the stock is owned by hedge funds and other institutional investors.

Key Costco Wholesale News

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

• Positive Sentiment: Costco reported October net sales of $24.50 billion, up 12.6% year over year. U.S. comparable sales rose 8.1% excluding gasoline-price changes, while digital growth also accelerated—evidence of continued customer demand. Costco's October Net Sales Jump 12.6% as Digital Growth Accelerates
• Positive Sentiment: JPMorgan raised its price target to $1,150 from $1,015 and maintained an overweight rating. Bank of America also kept its buy rating following the stronger U.S. comparable-sales results. JPMorgan price-target update Costco retains BofA buy as October U.S. comps rise
• Neutral Sentiment: Recent coverage points to solid share-price momentum, supported by a string of earnings beats, but investors may be watching whether earnings growth can justify the stock’s valuation. Costco Stock: Earnings Growth Could Shape the Next Big Move
• Negative Sentiment: Valuation remains a key risk: reports cite a trailing P/E near 49, leaving limited room for disappointment, while earnings revisions have raised concerns. Citi maintained a hold rating with a $1,020 target, reflecting a more cautious view than JPMorgan’s. Costco Stock: Why Analysts Are Split Despite Strong October Sales

Insiders Place Their Bets

In related news, EVP Claudine Adamo sold 2,200 shares of Costco Wholesale stock in a transaction on Tuesday, September 29th. The stock was sold at an average price of $915.93, for a total transaction 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 approximately $6,534,244.62. This trade represents a 23.57% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, EVP William Richard Wilcox sold 1,100 shares of Costco Wholesale 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 sale, 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 disclosure for this sale is available in the SEC filing. 0.10% of the stock is owned by insiders.

Analysts Set New Price Targets

Several equities research analysts have recently issued reports on the stock. Argus restated a "buy" rating and set a $1,230.00 price target on shares of Costco Wholesale in a research note on Monday, September 28th. BTIG Research reissued a "buy" rating and set a $1,125.00 price objective on shares of Costco Wholesale in a report on Wednesday, September 23rd. DA Davidson raised their target price on Costco Wholesale from $1,000.00 to $1,040.00 and gave the stock a "neutral" rating in a research report on Friday, September 25th. TD Cowen assumed coverage on Costco Wholesale in a research note on Friday, October 30th. They issued a "strong-buy" rating on the stock. Finally, Sanford C. Bernstein lowered their target price on Costco Wholesale from $1,144.00 to $1,143.00 and set an "outperform" rating on the stock in a research note on Friday, September 25th. One research analyst has rated the stock with a Strong Buy rating, twenty-four have issued a Buy rating, eight have given a Hold rating and one has given a Sell rating to the company's stock. According to data from MarketBeat.com, the stock presently has an average rating of "Moderate Buy" and an average price target of $1,090.55.

Costco Wholesale Stock Performance

Shares of Costco Wholesale stock opened at $1,053.56 on Monday. The company's 50-day moving average price is $952.42 and its 200-day moving average price is $972.49. 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 12-month low of $844.06 and a 12-month high of $1,096.50. The company has a market cap of $466.86 billion, a price-to-earnings ratio of 50.75, a PEG ratio of 4.66 and a beta of 0.85.

Costco Wholesale (NASDAQ:COST - Get Free Report) last issued its quarterly earnings data on Thursday, September 24th. The retailer reported $6.75 EPS for the quarter, beating the consensus estimate of $6.54 by $0.21. Costco Wholesale had a net margin of 3.04% and a return on equity of 27.60%. The company had revenue of $95.72 billion during the quarter, compared to analysts' expectations of $94.97 billion. During the same quarter in the previous year, the company earned $5.87 earnings per share. Costco Wholesale's revenue for the quarter was up 11.1% on a year-over-year basis. On average, equities analysts expect that Costco Wholesale Corporation will post 22.70 earnings per share for the current fiscal year.

Costco Wholesale Announces Dividend

The company also recently declared a quarterly dividend, which will be paid on Friday, November 13th. Stockholders of record on Friday, October 30th will be given a dividend of $1.47 per share. 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 payout ratio is 28.32%.

Costco Wholesale Company Profile

Costco Wholesale Corporation operates membership-based warehouse clubs that offer a broad selection of merchandise at generally low prices. Its products include groceries, fresh foods, appliances, electronics, apparel, furniture, and household goods, as well as its Kirkland Signature private-label line.

The company also provides services such as gasoline stations, pharmacies, optical and hearing-aid centers, food courts, and travel offerings. Costco serves members through warehouses and online channels.

Founded in 1983 in Seattle, Costco has expanded across North America, Europe, Asia, and Australia.

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