Costco Wholesale (NASDAQ:COST) Receives Buy Rating from BTIG Research

BTIG Research reaffirmed their buy rating on shares of Costco Wholesale (NASDAQ:COST) in a research report report published on Friday,Benzinga reports. They currently have a $1,125.00 price target on the retailer’s stock.

COST has been the topic of a number of other reports. Citigroup reaffirmed a “neutral” rating on shares of Costco Wholesale in a research note on Friday, February 20th. Oppenheimer lifted their price target on 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. Raymond James Financial lifted their price target on Costco Wholesale from $1,000.00 to $1,100.00 and gave the stock an “outperform” rating in a research note on Friday, March 6th. UBS Group raised 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 report on Wednesday, May 20th. Finally, Weiss Ratings raised shares of Costco Wholesale from a “hold (c+)” rating to a “buy (b-)” rating in a research note on Tuesday, March 17th. Twenty-one analysts have rated the stock with a Buy rating, eleven have given a Hold rating and one has given a Sell rating to the company’s stock. Based on data from MarketBeat, the company has an average rating of “Moderate Buy” and an average target price of $1,056.32.

Costco Wholesale Stock Performance

NASDAQ:COST opened at $956.32 on Friday. The business has a 50 day moving average of $1,007.80 and a 200 day moving average of $962.48. The company has a market capitalization of $424.27 billion, a price-to-earnings ratio of 49.73, a PEG ratio of 4.90 and a beta of 0.92. Costco Wholesale has a 1-year low of $844.06 and a 1-year high of $1,096.50. The company has a debt-to-equity ratio of 0.18, a current ratio of 1.06 and a quick ratio of 0.59.

Costco Wholesale (NASDAQ:COST) last released its earnings results on Thursday, May 28th. The retailer reported $4.93 earnings per share for the quarter, missing analysts’ consensus estimates of $4.98 by ($0.05). The firm had revenue of $70.53 billion during the quarter, compared to the consensus estimate of $69.68 billion. Costco Wholesale had a return on equity of 28.57% and a net margin of 2.99%.During the same quarter in the previous year, the firm earned $4.28 EPS. On average, sell-side analysts predict that Costco Wholesale will post 20.33 earnings per share for the current fiscal 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 is a boost from Costco Wholesale’s previous quarterly dividend of $1.30. This represents a $5.88 dividend on an annualized basis and a dividend yield of 0.6%. The ex-dividend date was Friday, May 1st. Costco Wholesale’s dividend payout ratio is currently 30.58%.

Insider Activity at Costco Wholesale

In related news, EVP Claudine Adamo sold 730 shares of the company’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 completion of the transaction, the executive vice president owned 6,121 shares in the company, valued at $6,139,485.42. This represents a 10.66% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this hyperlink. 0.10% of the stock is currently owned by corporate insiders.

Hedge Funds Weigh In On Costco Wholesale

Hedge funds and other institutional investors have recently made changes to their positions in the business. Lbmc Investment Advisors LLC boosted its position in Costco Wholesale by 0.5% in the fourth quarter. Lbmc Investment Advisors LLC now owns 2,041 shares of the retailer’s stock worth $1,760,000 after purchasing an additional 10 shares during the last quarter. Graybill Wealth Management LTD. boosted its position in Costco Wholesale by 0.3% in the fourth quarter. Graybill Wealth Management LTD. now owns 3,194 shares of the retailer’s stock worth $2,754,000 after purchasing an additional 10 shares during the last quarter. Palisade Asset Management LLC boosted its position in Costco Wholesale by 1.4% in the fourth quarter. Palisade Asset Management LLC now owns 702 shares of the retailer’s stock worth $605,000 after purchasing an additional 10 shares during the last quarter. Wealth Effects LLC boosted its position in Costco Wholesale by 1.2% in the first quarter. Wealth Effects LLC now owns 874 shares of the retailer’s stock worth $871,000 after purchasing an additional 10 shares during the last quarter. Finally, Folger Nolan Fleming Douglas Capital Management Inc. boosted its position in Costco Wholesale by 1.8% in the first quarter. Folger Nolan Fleming Douglas Capital Management Inc. now owns 551 shares of the retailer’s stock worth $549,000 after purchasing an additional 10 shares during the last quarter. Institutional investors own 68.48% of the company’s stock.

Key Headlines Impacting Costco Wholesale

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.

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.