Main Street Research LLC Has $53.78 Million Stock Holdings in Costco Wholesale Corporation $COST

Key Points

• Main Street Research LLC trimmed its Costco stake by 1.7% in the fourth quarter, but still held 62,366 shares valued at about $53.78 million. Costco remains a meaningful holding, making up roughly 3% of the fund’s portfolio.
• Institutional ownership remains heavy, with hedge funds and other investors holding about 68.48% of Costco’s stock. Several firms increased positions, suggesting continued professional interest in the retailer.
• Wall Street remains broadly positive on Costco, with analysts maintaining a Moderate Buy consensus and an average price target of $1,052.60. Recent commentary, however, notes valuation concerns after the stock’s strong rally and share price above $1,000.

Main Street Research LLC lessened its position in Costco Wholesale Corporation (NASDAQ:COST - Free Report) by 1.7% during the fourth quarter, according to the company in its most recent 13F filing with the SEC. The fund owned 62,366 shares of the retailer's stock after selling 1,093 shares during the quarter. Costco Wholesale makes up about 3.0% of Main Street Research LLC's portfolio, making the stock its 16th biggest position. Main Street Research LLC's holdings in Costco Wholesale were worth $53,780,000 at the end of the most recent reporting period.

A number of other hedge funds and other institutional investors have also bought and sold shares of COST. FORA Capital LLC acquired a new position in shares of Costco Wholesale during the 3rd quarter worth approximately $2,781,000. World Investment Advisors increased its position in shares of Costco Wholesale by 8.4% during the 4th quarter. World Investment Advisors now owns 20,081 shares of the retailer's stock worth $15,835,000 after purchasing an additional 1,560 shares during the last quarter. Teacher Retirement System of Texas increased its position in shares of Costco Wholesale by 24.5% during the 4th quarter. Teacher Retirement System of Texas now owns 140,429 shares of the retailer's stock worth $121,098,000 after purchasing an additional 27,625 shares during the last quarter. Curtis Advisory Group LLC increased its position in shares of Costco Wholesale by 56.7% during the 4th quarter. Curtis Advisory Group LLC now owns 4,535 shares of the retailer's stock worth $3,911,000 after purchasing an additional 1,641 shares during the last quarter. Finally, Mariner LLC increased its position in shares of Costco Wholesale by 1.5% during the 3rd quarter. Mariner LLC now owns 399,894 shares of the retailer's stock worth $370,140,000 after purchasing an additional 5,937 shares during the last quarter. Institutional investors and hedge funds own 68.48% of the company's stock.

Key Costco Wholesale News

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

• Positive Sentiment: Costco remains a top momentum and growth name, with multiple recent pieces highlighting strong long-term performance and continued investor interest as the shares trade near record levels. Why Costco (COST) is a Top Momentum Stock for the Long-Term
• Positive Sentiment: Speculation about a possible stock split has intensified after Costco broke back above the $1,000 share-price milestone, which can boost sentiment by making the stock seem more accessible to retail investors. Costco Stock Split Rumors Explode as COST Smashes $1,000 Milestone Again
• Positive Sentiment: Analysts and market coverage continue to point to Costco’s solid operating momentum and long-term return profile, reinforcing the view that the business is executing well even after a big run-up. A Look At Costco Wholesale (COST) Valuation As Shares Trade Near Recent Highs
• Neutral Sentiment: Costco is expanding its footprint, including rezoning and land purchase activity for new locations, which supports long-term growth but is not likely to move the stock much on its own. New details emerge in proposed north Macon Costco project
• Neutral Sentiment: Costco is also seeing incremental membership-related promotion and seasonal deal coverage, which may help traffic but appears too small to materially affect the share price near term. This Costco deal cuts the price of membership to $45 - here's how to get it
• Negative Sentiment: Near-term pressure is coming from valuation concerns: several articles note that Costco’s stock is already priced for strong execution, leaving little room for disappointment after the recent rally. Costco Q3 Earnings Preview: Great Business With Limited Upside
• Negative Sentiment: Costco also traded lower in sympathy with Walmart after Walmart’s earnings and guidance disappointed investors, sparking broader concern about the consumer-retail backdrop. Costco Stock Dips After Walmart's Q1 Report: What's Going On?
• Negative Sentiment: Costco is facing headlines around tariff refunds and a tax dispute in Japan, adding some legal and regulatory noise, though these issues do not appear to be the main driver of today’s move. Costco suit highlights gaps in $166B tariff refund process

Wall Street Analyst Weigh In

COST has been the topic of several recent analyst reports. UBS Group boosted their price target on Costco Wholesale from $1,205.00 to $1,275.00 and gave the stock a "buy" rating in a research report on Wednesday, May 20th. JPMorgan Chase & Co. boosted their price target on Costco Wholesale from $1,060.00 to $1,110.00 and gave the stock an "overweight" rating in a research report on Friday, April 17th. DA Davidson reaffirmed a "neutral" rating and set a $1,000.00 price target on shares of Costco Wholesale in a research report on Friday, April 10th. Oppenheimer boosted their price target on Costco Wholesale from $1,100.00 to $1,160.00 and gave the stock an "outperform" rating in a research report on Tuesday, May 19th. Finally, Citigroup reaffirmed a "neutral" rating on shares of Costco Wholesale in a research report on Friday, February 20th. Twenty-two equities research analysts have rated the stock with a Buy rating, eleven have given a Hold rating and one has assigned a Sell rating to the stock. According to data from MarketBeat.com, Costco Wholesale has a consensus rating of "Moderate Buy" and an average price target of $1,052.60.

Insider Buying and Selling at Costco Wholesale

In related news, EVP Claudine Adamo sold 730 shares of the business's stock in a transaction that occurred on Monday, March 9th. The stock was sold at an average price of $1,003.02, for a total transaction of $732,204.60. Following the transaction, the executive vice president directly owned 6,121 shares of the company's stock, valued at approximately $6,139,485.42. The trade was a 10.66% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Insiders own 0.10% of the company's stock.

Costco Wholesale Price Performance

COST stock opened at $1,028.24 on Monday. The company has a current ratio of 1.06, a quick ratio of 0.59 and a debt-to-equity ratio of 0.18. The firm has a market capitalization of $456.18 billion, a PE ratio of 53.47, a PEG ratio of 5.06 and a beta of 0.92. Costco Wholesale Corporation has a 1-year low of $844.06 and a 1-year high of $1,096.50. The business's 50 day simple moving average is $1,007.87 and its 200 day simple moving average is $960.36.

Costco Wholesale (NASDAQ:COST - Get Free Report) last posted its earnings results on Wednesday, March 11th. The retailer reported $4.58 earnings per share for the quarter, topping analysts' consensus estimates of $4.55 by $0.03. The business had revenue of $69.60 billion for the quarter, compared to analyst estimates of $68.96 billion. Costco Wholesale had a return on equity of 28.57% and a net margin of 2.99%.The firm's revenue was up 9.2% compared to the same quarter last year. During the same period in the previous year, the firm earned $4.02 EPS. As a group, research analysts anticipate that Costco Wholesale Corporation will post 20.33 EPS for the current year.

Costco Wholesale Increases Dividend

The firm also recently announced a quarterly dividend, which was paid on Friday, May 15th. Investors of record on Friday, May 1st were issued 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 of this dividend was Friday, May 1st. This is a boost from Costco Wholesale's previous quarterly dividend of $1.30. Costco Wholesale's payout ratio is presently 30.58%.

About Costco Wholesale

Costco Wholesale Corporation operates a global chain of membership-only warehouse clubs that sell a wide array of merchandise in bulk at discounted prices. The company's product mix includes groceries, fresh and frozen food, household goods, electronics, apparel, and seasonal items, augmented by its prominent private-label brand, Kirkland Signature. Costco's business model centers on annual membership fees and high-volume, low-margin sales, designed to drive repeat purchasing and strong customer loyalty among both consumers and small-business buyers.

Beyond merchandise, Costco provides a range of ancillary services that complement its warehouses, including gasoline stations, pharmacy and optical services, hearing aid centers, photo services, and travel and insurance products.

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