Windward Capital Management Co. CA Sells 2,229 Shares of Costco Wholesale Corporation $COST

Key Points

• Windward Capital Management Co. CA trimmed its Costco stake, selling 2,229 shares (-3.2%) in Q4 and now holds 66,569 shares worth $57.41 million, which is 4.5% of the fund and its fifth-largest holding.
• Costco beat quarterly expectations and raised its dividend: Q results showed EPS $4.58 vs. $4.55 consensus and revenue $69.6B (up 9.2% YoY), and the board approved a quarterly dividend of $1.47 ($5.88 annual), ex-dividend May 1.
• Analysts remain broadly positive with a consensus "Moderate Buy" rating and an average target of $1,045.97 (22 Buys, 11 Holds, 1 Sell), and several firms recently lifted price targets.

Windward Capital Management Co. CA cut its position in shares of Costco Wholesale Corporation (NASDAQ:COST - Free Report) by 3.2% in the 4th quarter, according to the company in its most recent disclosure with the SEC. The fund owned 66,569 shares of the retailer's stock after selling 2,229 shares during the quarter. Costco Wholesale accounts for 4.5% of Windward Capital Management Co. CA's investment portfolio, making the stock its 5th biggest holding. Windward Capital Management Co. CA's holdings in Costco Wholesale were worth $57,405,000 at the end of the most recent quarter.

A number of other hedge funds have also made changes to their positions in COST. Hurley Capital LLC grew its position in shares of Costco Wholesale by 120.0% in the third quarter. Hurley Capital LLC now owns 33 shares of the retailer's stock valued at $31,000 after purchasing an additional 18 shares during the last quarter. Abich Financial Wealth Management LLC acquired a new stake in Costco Wholesale during the 3rd quarter valued at $34,000. Collier Financial purchased a new position in Costco Wholesale during the third quarter worth $35,000. AXS Investments LLC purchased a new position in Costco Wholesale during the third quarter worth $36,000. Finally, Imprint Wealth LLC acquired a new position in shares of Costco Wholesale in the third quarter worth $36,000. Hedge funds and other institutional investors own 68.48% of the company's stock.

Analyst Ratings Changes

COST has been the topic of a number of analyst reports. Truist Financial increased their price objective on Costco Wholesale from $926.00 to $977.00 and gave the company a "hold" rating in a research note on Friday, March 6th. Sanford C. Bernstein reissued an "outperform" rating and issued a $1,155.00 target price on shares of Costco Wholesale in a research note on Monday, February 9th. Citigroup reaffirmed a "neutral" rating on shares of Costco Wholesale in a research note on Friday, February 20th. Gordon Haskett lifted their price target on shares of Costco Wholesale from $1,000.00 to $1,100.00 in a report on Tuesday, February 3rd. Finally, Rothschild & Co Redburn boosted their price objective on shares of Costco Wholesale from $890.00 to $1,000.00 and gave the company a "neutral" rating in a research report on Tuesday, February 17th. Twenty-two 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 data from MarketBeat.com, the company currently has an average rating of "Moderate Buy" and a consensus target price of $1,045.97.

Costco Wholesale Trading Up 1.1%

NASDAQ COST opened at $1,014.38 on Friday. Costco Wholesale Corporation has a 12 month low of $844.06 and a 12 month high of $1,067.08. The company has a 50-day moving average of $997.26 and a 200-day moving average of $947.11. 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 $450.03 billion, a P/E ratio of 52.75, a P/E/G ratio of 4.95 and a beta of 0.99.

Costco Wholesale (NASDAQ:COST - Get Free Report) last released its earnings results on Wednesday, March 11th. The retailer reported $4.58 earnings per share (EPS) for the quarter, topping the consensus estimate of $4.55 by $0.03. The business had revenue of $69.60 billion for the quarter, compared to analysts' expectations of $68.96 billion. Costco Wholesale had a net margin of 2.99% and a return on equity of 28.57%. The company's quarterly revenue was up 9.2% on a year-over-year basis. During the same period last year, the company earned $4.02 earnings per share. As a group, equities analysts predict that Costco Wholesale Corporation will post 20.31 earnings per share for the current year.

Costco Wholesale Increases Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Friday, May 15th. Stockholders of record on Friday, May 1st will be issued a $1.47 dividend. This is a positive change from Costco Wholesale's previous quarterly dividend of $1.30. The ex-dividend date is Friday, May 1st. This represents a $5.88 dividend on an annualized basis and a dividend yield of 0.6%. Costco Wholesale's dividend payout ratio (DPR) is 27.04%.

Insider Activity

In related news, EVP Claudine Adamo sold 730 shares of the 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 transaction 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 position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through the SEC website. Insiders own 0.10% of the company's stock.

Key Stories Impacting Costco Wholesale

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

• Positive Sentiment: Board raised the quarterly cash dividend (to $1.47/share), boosting shareholder yield and signaling management confidence in cash flow and margins. Costco (COST) Approves Quarterly Dividend Increase Amid Robust Sales Growth
• Positive Sentiment: Company guidance and rollout plans: Costco says it’s aiming to open dozens more warehouses in the coming years, which supports top-line growth and capacity expansion. Costco aims for dozens more warehouses in coming years: Here’s when the newest open
• Positive Sentiment: Local openings/new formats adding incremental revenue: recent reports cover a Costco Business Center with a fuel station in Haltom City and an upcoming Pensacola opening—both expand footprint and fuel/grocery sales opportunities. Haltom City lands Costco Business Center, fuel station in major economic win Pensacola's Costco has an opening date. Sort of.
• Neutral Sentiment: Market coverage notes Costco’s outperformance while the broader market slides—reflects defensive/quality perception but is descriptive rather than a new catalyst. Costco (COST) Ascends While Market Falls: Some Facts to Note
• Neutral Sentiment: Valuation and long-term investor pieces debate whether Costco is “too expensive” or a long-term buy after a pullback—these narratives can influence sentiment but don’t change fundamentals immediately. Is Costco's Stock Too Expensive Now?
• Negative Sentiment: Competitive pressure: TheStreet reports Sam’s Club may be gaining advantages that could lure members away from Costco, posing a risk to membership growth and margins. Sam's Club just gave members a reason to ditch Costco
• Negative Sentiment: New rivals/expansion: BJ’s announced expansion into Texas, increasing regional competition for fuel and membership sales in some markets. New BJ's locations Texas: Club rivaling Costco, Sam's expands to Texas

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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