WCG Wealth Advisors LLC Invests $9.13 Million in Costco Wholesale Corporation $COST

Key Points

• WCG Wealth Advisors LLC initiated a new position in Costco, buying 10,586 shares worth about $9.13 million in the fourth quarter.
• Institutional interest in Costco remains strong overall, with several large hedge funds and asset managers adding to positions; the article says 68.48% of the stock is owned by hedge funds and other institutional investors.
• Costco continues to show solid operating momentum, reporting May net sales of $24.01 billion and receiving fresh Buy ratings and higher price targets from analysts, though some commentary warns the stock’s rich valuation may limit upside.

WCG Wealth Advisors LLC purchased a new stake in Costco Wholesale Corporation (NASDAQ:COST - Free Report) in the fourth quarter, according to the company in its most recent filing with the SEC. The firm purchased 10,586 shares of the retailer's stock, valued at approximately $9,129,000.

Several other hedge funds have also recently added to or reduced their stakes in COST. Norges Bank acquired a new stake in shares of Costco Wholesale in the fourth quarter worth approximately $5,195,415,000. Assenagon Asset Management S.A. increased its stake in shares of Costco Wholesale by 1,586.8% in the fourth quarter. Assenagon Asset Management S.A. now owns 1,137,436 shares of the retailer's stock worth $980,857,000 after buying an additional 1,070,005 shares during the last quarter. Amundi increased its stake in shares of Costco Wholesale by 45.0% in the third quarter. Amundi now owns 3,176,606 shares of the retailer's stock worth $2,893,697,000 after buying an additional 986,182 shares during the last quarter. Northwestern Mutual Wealth Management Co. boosted its holdings in Costco Wholesale by 182.4% in the fourth quarter. Northwestern Mutual Wealth Management Co. now owns 536,059 shares of the retailer's stock worth $462,265,000 after purchasing an additional 346,208 shares during the period. Finally, Voloridge Investment Management LLC boosted its holdings in Costco Wholesale by 112.2% in the third quarter. Voloridge Investment Management LLC now owns 477,425 shares of the retailer's stock worth $441,919,000 after purchasing an additional 252,453 shares during the period. 68.48% of the stock is currently 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 May net sales of $24.01 billion, up 14.5% year over year, with comparable sales also showing solid growth across the U.S. and e-commerce. Costco Wholesale Corporation Reports May Sales Results
• Positive Sentiment: UBS reiterated a Buy rating and raised its price target to $1,275, citing robust comparable sales and reaccelerating digital sales as signs of sustained operational strength. Costco: Robust Comps and Reaccelerating Digital Sales Support Buy Rating, Price Target Reaffirmed at $1275
• Positive Sentiment: TD Cowen also reaffirmed its Buy rating, reinforcing the view that Costco’s sales momentum and membership model remain attractive to analysts. Costco Wholesale NASDAQ: COST Given "Buy" Rating at TD Cowen
• Neutral Sentiment: Recent commentary highlighted Costco’s strong Q3 results, including EPS of $4.93 and revenue of $70.5 billion, but noted that the stock still trades at a rich valuation, which may limit near-term upside. Is Costco Stock a Buy, Hold or Sell After Its Q3 Earnings Beat?
• Neutral Sentiment: Articles also pointed to Costco’s gasoline-driven traffic, rising membership fees, and digital offerings as longer-term growth drivers, while insider sales and valuation concerns remain factors investors are watching. What Costco Wholesale (COST)'s Gasoline-Fueled Q3 Earnings Beat Means For Shareholders
• Negative Sentiment: Some market commentary argued that Costco’s premium multiple leaves little room for error, and one article suggested the stock was downgraded in updated blue-chip rankings. Costco (COST) Keeps Delivering. The Valuation Keeps Getting in the Way

Costco Wholesale Price Performance

NASDAQ COST opened at $961.83 on Thursday. The stock's 50-day moving average price is $1,006.79 and its two-hundred day moving average price is $963.58. 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 company has a market cap of $426.72 billion, a PE ratio of 48.38, a PEG ratio of 4.62 and a beta of 0.88. Costco Wholesale Corporation has a 1 year low of $844.06 and a 1 year high of $1,096.50.

Costco Wholesale (NASDAQ:COST - Get Free Report) last posted its quarterly earnings data on Thursday, May 28th. The retailer reported $4.93 earnings per share (EPS) for the quarter, missing the consensus estimate of $4.94 by ($0.01). The company had revenue of $70.53 billion for the quarter, compared to analyst estimates of $70.12 billion. Costco Wholesale had a return on equity of 28.72% and a net margin of 3.01%.During the same quarter in the previous year, the firm posted $4.28 EPS. On average, analysts predict that Costco Wholesale Corporation will post 20.38 EPS for the current year.

Costco Wholesale Increases Dividend

The business also recently disclosed a quarterly dividend, which was paid on Friday, May 15th. Shareholders of record on Friday, May 1st were issued a dividend of $1.47 per share. This represents a $5.88 annualized dividend and a yield of 0.6%. The ex-dividend date was Friday, May 1st. This is a boost from Costco Wholesale's previous quarterly dividend of $1.30. Costco Wholesale's dividend payout ratio is presently 29.58%.

Wall Street Analysts Forecast Growth

COST has been the subject of several analyst reports. The Goldman Sachs Group boosted their price target on shares of Costco Wholesale from $1,088.00 to $1,159.00 and gave the company a "buy" rating in a report on Friday, May 29th. Truist Financial boosted their price target 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. Rothschild & Co Redburn boosted their price target on shares of Costco Wholesale from $890.00 to $1,000.00 and gave the company a "neutral" rating in a report on Tuesday, February 17th. Mizuho set a $1,100.00 price target on shares of Costco Wholesale in a report on Monday. Finally, JPMorgan Chase & Co. boosted their price target on shares of Costco Wholesale from $1,060.00 to $1,110.00 and gave the company an "overweight" rating in a report on Friday, April 17th. 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. According to MarketBeat.com, the stock currently has a consensus rating of "Moderate Buy" and an average price target of $1,060.41.

Insider Transactions at Costco Wholesale

In other Costco Wholesale news, EVP Claudine Adamo sold 730 shares of the business's stock in a transaction dated 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 sale, the executive vice president owned 6,121 shares in the company, valued at approximately $6,139,485.42. The trade was a 10.66% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Insiders own 0.10% of the company's stock.

Costco Wholesale Company 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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