Alpha Cubed Investments LLC Cuts Position in Costco Wholesale Corporation $COST

Alpha Cubed Investments LLC cut its holdings in Costco Wholesale Corporation (NASDAQ:COST) by 1.7% in the third quarter, according to its most recent disclosure with the Securities and Exchange Commission (SEC). The institutional investor owned 31,946 shares of the retailer’s stock after selling 560 shares during the quarter. Costco Wholesale accounts for 1.0% of Alpha Cubed Investments LLC’s investment portfolio, making the stock its 24th largest position. Alpha Cubed Investments LLC’s holdings in Costco Wholesale were worth $29,570,000 as of its most recent SEC filing.

Other hedge funds and other institutional investors have also recently made changes to their positions in the company. Tandem Investment Advisors Inc. raised its holdings in Costco Wholesale by 22.7% in the 3rd quarter. Tandem Investment Advisors Inc. now owns 52,652 shares of the retailer’s stock valued at $48,737,000 after buying an additional 9,741 shares during the period. Summit Global Investments increased its position in shares of Costco Wholesale by 5.2% during the third quarter. Summit Global Investments now owns 12,960 shares of the retailer’s stock valued at $11,996,000 after acquiring an additional 645 shares during the last quarter. Patton Albertson Miller Group LLC raised its stake in shares of Costco Wholesale by 100.1% in the 3rd quarter. Patton Albertson Miller Group LLC now owns 3,534 shares of the retailer’s stock valued at $3,271,000 after acquiring an additional 1,768 shares during the period. Cloud Capital Management LLC raised its stake in shares of Costco Wholesale by 4.0% in the 3rd quarter. Cloud Capital Management LLC now owns 492 shares of the retailer’s stock valued at $455,000 after acquiring an additional 19 shares during the period. Finally, Strategic Advisors LLC lifted its holdings in shares of Costco Wholesale by 3.9% in the 3rd quarter. Strategic Advisors LLC now owns 4,496 shares of the retailer’s stock worth $4,162,000 after acquiring an additional 167 shares during the last quarter. Hedge funds and other 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 announced its next dividend payment (record/paid schedule) that supports income-focused holders and underscores predictable cash returns for shareholders. Costco to pay dividends on February 13
• Positive Sentiment: Brokerage coverage remains constructive with an average rating of “Moderate Buy,” which can limit downside from coordinated selling and supports investor confidence. Given Average Rating of Moderate Buy
• Positive Sentiment: High-profile bullish commentary (e.g., Jim Cramer) and multiple long-term bullish write-ups reinforce the narrative that Costco’s membership model and warehouse expansion remain durable drivers for growth. These narratives can attract longer-term buyers. Jim Cramer Says “I Want You to Stay With Costco”
• Neutral Sentiment: Coverage highlighting Costco as a momentum/long-term growth stock reiterates positives (same-store sales, new warehouses), but these are largely reiterations rather than new catalysts. Why Costco is a Top Momentum Stock
• Neutral Sentiment: Reported short-interest data in recent feeds is inconsistent/erroneous (zeros/NaN) and should not be treated as a reliable signal on current positioning. (No link — data summary.)
• Negative Sentiment: A proposed class-action lawsuit alleges Costco’s $5 rotisserie chickens are not preservative‑free, claiming use of sodium phosphate and carrageenan; this raises legal, settlement and reputational risks tied to a high‑volume, signature product. Such suits can pressure near-term sentiment and valuation multiples. Costco Is Sued Over Preservatives in Its $5 Rotisserie Chickens
• Negative Sentiment: Multiple outlets amplify the lawsuit story (local filing in San Diego), increasing media attention and potential customer PR impact — a headline risk that likely contributed to today’s selloff. Costco accused of deceiving shoppers
• Negative Sentiment: Analyst/peer-compare pieces argue competitors like Dollar General may offer more upside given turnaround and real‑estate/digital initiatives — a narrative that can cap multiple expansion for Costco given its already-premium valuation. Costco vs. Dollar General: Which is the better buy?

Insider Buying and Selling at Costco Wholesale

In other Costco Wholesale news, EVP Teresa A. Jones sold 850 shares of Costco Wholesale stock in a transaction that occurred on Wednesday, January 21st. The stock was sold at an average price of $986.26, for a total value of $838,321.00. Following the transaction, the executive vice president directly owned 4,228 shares in the company, valued at approximately $4,169,907.28. This trade represents a 16.74% decrease in their position. The sale was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Also, EVP Javier Polit sold 558 shares of the stock in a transaction on Tuesday, December 30th. The stock was sold at an average price of $862.89, for a total value of $481,492.62. Following the sale, the executive vice president directly owned 10,190 shares of the company’s stock, valued at approximately $8,792,849.10. This represents a 5.19% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. In the last ninety days, insiders have sold 9,315 shares of company stock valued at $8,549,409. Corporate insiders own 0.10% of the company’s stock.

Costco Wholesale Trading Down 0.8%

COST opened at $952.89 on Friday. The company has a debt-to-equity ratio of 0.19, a quick ratio of 0.53 and a current ratio of 1.04. Costco Wholesale Corporation has a one year low of $844.06 and a one year high of $1,078.23. The company has a market cap of $422.96 billion, a P/E ratio of 51.04, a PEG ratio of 5.74 and a beta of 1.02. The business’s 50-day simple moving average is $905.68 and its 200-day simple moving average is $929.87.

Costco Wholesale (NASDAQ:COST) last issued its earnings results on Thursday, December 11th. The retailer reported $4.34 earnings per share (EPS) for the quarter, beating the consensus estimate of $4.27 by $0.07. Costco Wholesale had a net margin of 2.96% and a return on equity of 29.35%. The business had revenue of $67.31 billion during the quarter, compared to analysts’ expectations of $67.03 billion. During the same quarter in the prior year, the business posted $4.04 EPS. The company’s revenue for the quarter was up 8.3% on a year-over-year basis. As a group, equities research analysts expect that Costco Wholesale Corporation will post 18.03 EPS for the current fiscal year.

Costco Wholesale Dividend Announcement

The firm also recently announced a quarterly dividend, which will be paid on Friday, February 13th. Stockholders of record on Friday, January 30th will be issued a $1.30 dividend. This represents a $5.20 dividend on an annualized basis and a dividend yield of 0.5%. The ex-dividend date of this dividend is Friday, January 30th. Costco Wholesale’s dividend payout ratio is presently 27.85%.

Analyst Ratings Changes

A number of research analysts have commented on the company. Jefferies Financial Group restated a “buy” rating on shares of Costco Wholesale in a research note on Thursday, October 9th. Hovde Group started coverage on Costco Wholesale in a report on Tuesday, November 18th. They issued a “market perform” rating and a $16.00 price objective on the stock. The Goldman Sachs Group decreased their target price on Costco Wholesale from $1,218.00 to $1,171.00 and set a “buy” rating on the stock in a research note on Friday, December 12th. TD Cowen reaffirmed a “buy” rating on shares of Costco Wholesale in a research report on Friday, December 12th. Finally, HSBC cut their price target on shares of Costco Wholesale from $1,060.00 to $1,045.00 and set a “hold” rating on the stock in a research note on Friday, December 12th. Twenty-one analysts have rated the stock with a Buy rating, twelve have given a Hold rating and one has assigned a Sell rating to the company’s stock. According to MarketBeat.com, the stock currently has a consensus rating of “Moderate Buy” and an average price target of $996.00.

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.