Nomura Asset Management Co. Ltd. Has $187.46 Million Stake in Costco Wholesale Corporation $COST

Key Points

• Nomura Asset Management increased its Costco stake by 2.8% in the fourth quarter, holding 217,379 shares valued at about $187.5 million. Costco remains a meaningful position in the firm's portfolio.
• Costco reported quarterly earnings of $4.93 per share, slightly below analyst expectations, while revenue of $70.53 billion came in above estimates. The company also lifted its quarterly dividend to $1.47 per share from $1.30.
• Wall Street remains broadly bullish on Costco, with several firms raising price targets and the stock carrying a Moderate Buy consensus. However, the shares were trading lower and still face valuation concerns after the earnings report.

Nomura Asset Management Co. Ltd. lifted its stake in shares of Costco Wholesale Corporation (NASDAQ:COST - Free Report) by 2.8% during the fourth quarter, according to its most recent disclosure with the Securities and Exchange Commission. The institutional investor owned 217,379 shares of the retailer's stock after purchasing an additional 5,967 shares during the period. Costco Wholesale makes up about 0.5% of Nomura Asset Management Co. Ltd.'s investment portfolio, making the stock its 27th biggest position. Nomura Asset Management Co. Ltd.'s holdings in Costco Wholesale were worth $187,455,000 as of its most recent filing with the Securities and Exchange Commission.

Other large investors also recently modified their holdings of the company. Hurley Capital LLC lifted its position in shares of Costco Wholesale by 120.0% during the third quarter. Hurley Capital LLC now owns 33 shares of the retailer's stock worth $31,000 after purchasing an additional 18 shares in the last quarter. Entrust Financial LLC acquired a new position in shares of Costco Wholesale during the fourth quarter worth approximately $31,000. Joseph Group Capital Management acquired a new position in shares of Costco Wholesale during the fourth quarter worth approximately $33,000. Abich Financial Wealth Management LLC acquired a new position in shares of Costco Wholesale during the third quarter worth approximately $34,000. Finally, Collier Financial acquired a new position in shares of Costco Wholesale during the third quarter worth approximately $35,000. 68.48% of the stock is currently owned by institutional investors and hedge funds.

Insider Buying and Selling

In other Costco Wholesale news, EVP Claudine Adamo sold 730 shares of the company's stock in a transaction that occurred on Monday, March 9th. The shares were sold at an average price of $1,003.02, for a total value of $732,204.60. Following the completion of the sale, the executive vice president owned 6,121 shares of the company's stock, valued at approximately $6,139,485.42. This represents a 10.66% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. Insiders own 0.10% of the company's stock.

Costco Wholesale Trading Down 3.9%

COST opened at $956.32 on Friday. The company has a debt-to-equity ratio of 0.18, a current ratio of 1.06 and a quick ratio of 0.59. The company has a market cap of $424.27 billion, a price-to-earnings ratio of 49.73, a price-to-earnings-growth ratio of 4.71 and a beta of 0.92. The firm has a 50 day simple moving average of $1,007.80 and a 200 day simple moving average of $962.48. Costco Wholesale Corporation has a fifty-two week low of $844.06 and a fifty-two week high of $1,096.50.

Costco Wholesale (NASDAQ:COST - Get Free Report) last posted its quarterly earnings results on Thursday, May 28th. The retailer reported $4.93 earnings per share for the quarter, missing analysts' consensus estimates of $4.95 by ($0.02). The business had revenue of $70.53 billion for the quarter, compared to the consensus estimate of $70.13 billion. Costco Wholesale had a return on equity of 28.57% and a net margin of 2.99%.During the same period last year, the firm earned $4.28 earnings per share. On average, sell-side analysts anticipate that Costco Wholesale Corporation will post 20.36 earnings per share for the current year.

Costco Wholesale Increases Dividend

The company also recently announced a quarterly dividend, which was paid on Friday, May 15th. Shareholders of record on Friday, May 1st were paid a $1.47 dividend. 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. This represents a $5.88 annualized dividend and a yield of 0.6%. Costco Wholesale's payout ratio is currently 30.58%.

Analyst Ratings Changes

COST has been the topic of a number of research reports. The Goldman Sachs Group upped their target price on shares of Costco Wholesale from $1,088.00 to $1,159.00 and gave the stock a "buy" rating in a research report on Friday. UBS Group boosted their price target on shares of Costco Wholesale from $1,205.00 to $1,275.00 and gave the stock a "buy" rating in a research note on Wednesday, May 20th. Oppenheimer boosted their price target on shares of Costco Wholesale from $1,100.00 to $1,160.00 and gave the stock an "outperform" rating in a research note on Tuesday, May 19th. Roth Mkm boosted their price target on shares of Costco Wholesale from $769.00 to $781.00 and gave the stock a "sell" rating in a research note on Friday. Finally, TD Cowen reissued a "buy" rating on shares of Costco Wholesale in a research note on Friday, March 6th. Twenty-one research analysts have rated the stock with a Buy rating, eleven have assigned a Hold rating and one has assigned a Sell rating to the stock. According to MarketBeat.com, the stock presently has a consensus rating of "Moderate Buy" and an average target price of $1,056.32.

Key Costco Wholesale News

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

• Positive Sentiment: Costco posted strong third-quarter results, with revenue of $70.53 billion topping estimates and same-store sales rising 9.8%, showing that members are still spending on essentials and value-focused purchases.
• Positive Sentiment: Gasoline sales were a standout, with Costco’s gas stations setting all-time or record volume levels as drivers sought lower-priced fuel amid elevated energy costs. Article Title
• Positive Sentiment: Digital growth and membership strength continued to support results, helping offset margin pressure and reinforcing Costco’s value-driven model.
• Positive Sentiment: Several Wall Street firms raised price targets or reiterated bullish ratings, including Bank of America, Goldman Sachs, Bernstein, BTIG, and Morgan Stanley, signaling confidence in Costco’s long-term fundamentals.
• Neutral Sentiment: DA Davidson reaffirmed a neutral rating with a $1,000 target, suggesting modest upside but not a strong catalyst for a re-rating.
• Neutral Sentiment: Costco said it will return U.S. tariff refunds to members “in some form,” which may help customer loyalty but does not yet provide a clear financial boost.
• Negative Sentiment: EPS of $4.93 missed consensus by a small margin, and investors appear focused on the earnings shortfall more than the sales beat.
• Negative Sentiment: Margin pressure from higher costs and a premium valuation have prompted some traders to sell after the report, limiting enthusiasm despite the strong top-line performance.

Costco Wholesale Profile

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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