Platt Wealth Management LLC Sells 1,146 Shares of Costco Wholesale Corporation $COST

Key Points

• Platt Wealth Management cut its Costco position by 41%. The firm sold 1,146 shares during the second quarter, retaining 1,650 shares worth approximately $1.54 million.
• Institutional investors remain heavily invested in Costco. Other funds increased or initiated positions, and institutions collectively own 68.48% of the company’s stock.
• Analysts remain broadly positive, but Costco’s valuation is elevated. The stock has a “Moderate Buy” consensus rating with a $1,059.53 average price target, while its price-to-earnings ratio stands near 47.7 and its latest quarterly EPS narrowly missed estimates.

Platt Wealth Management LLC cut its holdings in shares of Costco Wholesale Corporation (NASDAQ:COST - Free Report) by 41.0% in the 2nd quarter, according to the company in its most recent filing with the Securities and Exchange Commission (SEC). The fund owned 1,650 shares of the retailer's stock after selling 1,146 shares during the quarter. Costco Wholesale makes up 1.2% of Platt Wealth Management LLC's investment portfolio, making the stock its 22nd largest holding. Platt Wealth Management LLC's holdings in Costco Wholesale were worth $1,543,000 as of its most recent SEC filing.

Other hedge funds also recently modified their holdings of the company. World Investment Advisors increased its holdings in shares of Costco Wholesale by 8.4% in the 4th quarter. World Investment Advisors now owns 20,081 shares of the retailer's stock worth $15,835,000 after buying an additional 1,560 shares during the last quarter. Sarasin & Partners LLP grew its position in Costco Wholesale by 6.9% during the 2nd quarter. Sarasin & Partners LLP now owns 214,194 shares of the retailer's stock worth $200,372,000 after acquiring an additional 13,795 shares during the last quarter. Perryman Financial Advisory Inc. AD bought a new position in shares of Costco Wholesale in the fourth quarter worth approximately $9,300,000. Retail Employees Superannuation Pty Ltd as trustee for Retail Employees Superannuation Trust bought a new stake in Costco Wholesale in the 4th quarter worth $5,813,000. Finally, Hyperion Asset Management Ltd increased its holdings in Costco Wholesale by 9.0% during the 2nd quarter. Hyperion Asset Management Ltd now owns 68,762 shares of the retailer's stock valued at $64,325,000 after purchasing an additional 5,656 shares during the period. Institutional investors own 68.48% of the company's stock.

Costco Wholesale News Summary

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

• Positive Sentiment: Medicare expansion creates a new growth opportunity. Costco is partnering with SCAN Group to offer Costco-branded Medicare Advantage and supplemental plans in select states. The initiative targets Costco’s large senior-member base and gives the company exposure to the approximately $600 billion Medicare market without requiring it to become a traditional insurer. Costco to Offer Medicare Plans for Older Adults
• Positive Sentiment: Costco raised its dividend by 13.1%. The increase reinforces the company’s strong cash-generation profile and may improve its appeal to income-oriented investors, although the stock’s high valuation limits its current dividend yield. Costco Just Upped Its Dividend
• Positive Sentiment: Additional monetization opportunities could support long-term growth. Analysts and commentators point to Costco’s retail-media business, AI-powered search capabilities and pharmacy operations as emerging growth engines alongside membership renewals, warehouse expansion and Kirkland Signature products. Costco Is Quietly Building Its Next Big Growth Engine
• Neutral Sentiment: Costco’s relative resilience compared with Walmart highlights its value proposition. Walmart reported weaker U.S. traffic and comparable-sales growth, while Costco was less affected, suggesting its membership model and perceived value may be helping it navigate consumer affordability pressures. Walmart Drops on Slow Same-Store Sales Growth
• Neutral Sentiment: A potential stock split is speculative. Costco shares have appreciated substantially since the prior 2-for-1 split 26 years ago. A future split could improve accessibility and trading liquidity, but it would not change the company’s underlying value or fundamentals. Costco Stock Split Analysis
• Negative Sentiment: Valuation and modest earnings pressure remain risks. Costco trades at a lofty earnings multiple, while its latest quarterly EPS narrowly missed estimates despite revenue exceeding expectations. That premium leaves less room for disappointment if membership growth, margins or consumer spending weaken.
• Negative Sentiment: The Medicare initiative will require execution. Entering a regulated, competitive insurance market could diversify revenue, but the pilot’s limited geographic rollout and potential healthcare-related complexity mean meaningful financial benefits may take time to develop. Costco Enters the Medicare Insurance Market

Wall Street Analyst Weigh In

Several analysts have weighed in on the company. Citigroup assumed coverage on Costco Wholesale in a research report on Thursday, June 18th. They set a "neutral" rating and a $1,020.00 price objective on the stock. TD Cowen restated a "buy" rating and set a $1,175.00 price target on shares of Costco Wholesale in a research report on Wednesday, June 3rd. Guggenheim reiterated a "neutral" rating on shares of Costco Wholesale in a report on Monday, June 1st. Truist Financial boosted their target price on shares of Costco Wholesale from $977.00 to $1,011.00 and gave the company a "hold" rating in a report on Friday, May 29th. Finally, Royal Bank Of Canada began coverage on shares of Costco Wholesale in a research report on Monday, July 13th. They issued a "sector perform" rating and a $1,000.00 target price on the stock. Twenty-two equities research analysts have rated the stock with a Buy rating, eleven have issued a Hold rating and one has assigned a Sell rating to the company's stock. According to data from MarketBeat.com, Costco Wholesale currently has an average rating of "Moderate Buy" and a consensus target price of $1,059.53.

Insider Buying and Selling

In other Costco Wholesale news, Director Kenneth D. Denman sold 885 shares of the business's stock in a transaction dated Tuesday, June 23rd. The stock was sold at an average price of $957.45, for a total transaction of $847,343.25. Following the completion of the sale, the director owned 4,779 shares of the company's stock, valued at approximately $4,575,653.55. The trade was a 15.62% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is accessible through the SEC website. Corporate insiders own 0.10% of the company's stock.

Costco Wholesale Stock Up 1.5%

Shares of Costco Wholesale stock opened at $947.74 on Friday. The company has a 50-day simple moving average of $947.14 and a two-hundred day simple moving average of $980.95. The stock has a market capitalization of $420.30 billion, a PE ratio of 47.67, a price-to-earnings-growth ratio of 4.44 and a beta of 0.87. Costco Wholesale Corporation has a 52-week low of $844.06 and a 52-week high of $1,096.50. The company has a debt-to-equity ratio of 0.17, a quick ratio of 0.61 and a current ratio of 1.07.

Costco Wholesale (NASDAQ:COST - Get Free Report) last released its quarterly earnings data on Thursday, May 28th. The retailer reported $4.93 EPS for the quarter, missing the consensus estimate of $4.94 by ($0.01). Costco Wholesale had a return on equity of 28.04% and a net margin of 3.01%.The business had revenue of $70.53 billion during the quarter, compared to the consensus estimate of $70.12 billion. During the same quarter in the previous year, the business posted $4.28 earnings per share. On average, analysts anticipate that Costco Wholesale Corporation will post 20.42 EPS for the current fiscal year.

Costco Wholesale Dividend Announcement

The firm also recently disclosed a quarterly dividend, which was paid on Friday, August 7th. Stockholders of record on Friday, July 24th were given a dividend of $1.47 per share. The ex-dividend date of this dividend was Friday, July 24th. This represents a $5.88 dividend on an annualized basis and a dividend yield of 0.6%. Costco Wholesale's payout ratio is presently 29.58%.

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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