Costco Wholesale’s (COST) “Outperform” Rating Reiterated at Telsey Advisory Group

Telsey Advisory Group reiterated their outperform rating on shares of Costco Wholesale (NASDAQ:COST) in a report released on Thursday morning,Benzinga reports. They currently have a $1,100.00 price objective on the retailer’s stock.

A number of other analysts have also recently commented on COST. Wells Fargo & Company cut their target price on Costco Wholesale from $1,000.00 to $900.00 and set an “equal weight” rating on the stock in a research report on Friday, December 19th. Argus boosted their price target on shares of Costco Wholesale from $1,170.00 to $1,200.00 and gave the stock a “buy” rating in a research note on Monday, September 29th. UBS Group reissued a “buy” rating on shares of Costco Wholesale in a report on Friday, December 12th. Truist Financial decreased their price target on Costco Wholesale from $1,033.00 to $926.00 and set a “hold” rating on the stock in a research note on Friday, December 12th. Finally, Hovde Group initiated coverage on Costco Wholesale in a report on Tuesday, November 18th. They issued a “market perform” rating and a $16.00 price target on the stock. Twenty-one investment analysts have rated the stock with a Buy rating, twelve have assigned a Hold rating and one has given a Sell rating to the stock. According to data from MarketBeat.com, the company has a consensus rating of “Moderate Buy” and an average target price of $996.00.

Costco Wholesale Trading Up 1.0%

Shares of NASDAQ:COST opened at $924.88 on Thursday. Costco Wholesale has a 1 year low of $844.06 and a 1 year high of $1,078.23. The company has a debt-to-equity ratio of 0.19, a current ratio of 1.04 and a quick ratio of 0.53. The business’s 50 day moving average price is $892.58 and its 200-day moving average price is $931.47. The firm has a market capitalization of $410.53 billion, a price-to-earnings ratio of 49.54, a price-to-earnings-growth ratio of 5.54 and a beta of 1.02.

Costco Wholesale (NASDAQ:COST) last released its earnings results on Thursday, December 11th. The retailer reported $4.34 earnings per share for the quarter, topping analysts’ consensus estimates of $4.27 by $0.07. The business had revenue of $67.31 billion for the quarter, compared to analyst estimates of $67.03 billion. Costco Wholesale had a net margin of 2.96% and a return on equity of 29.35%. The business’s revenue was up 8.3% on a year-over-year basis. During the same period last year, the company posted $4.04 EPS. On average, equities research analysts forecast that Costco Wholesale will post 18.03 earnings per share for the current fiscal year.

Costco Wholesale Announces Dividend

The company also recently declared a quarterly dividend, which was paid on Friday, November 14th. Stockholders of record on Friday, October 31st were issued a dividend of $1.30 per share. The ex-dividend date was Friday, October 31st. This represents a $5.20 dividend on an annualized basis and a dividend yield of 0.6%. Costco Wholesale’s payout ratio is 27.85%.

Insider Activity

In related news, EVP Javier Polit sold 2,049 shares of the firm’s stock in a transaction that occurred on Monday, December 29th. The shares were sold at an average price of $867.21, for a total transaction of $1,776,913.29. Following the sale, the executive vice president owned 10,748 shares in the company, valued at approximately $9,320,773.08. This trade represents a 16.01% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, EVP William Richard Wilcox sold 2,400 shares of the business’s stock in a transaction on Friday, November 7th. The shares were sold at an average price of $930.13, for a total value of $2,232,312.00. Following the completion of the transaction, the executive vice president owned 2,000 shares of the company’s stock, valued at $1,860,260. This trade represents a 54.55% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. In the last three months, insiders sold 8,946 shares of company stock worth $8,175,048. Corporate insiders own 0.10% of the company’s stock.

Institutional Investors Weigh In On Costco Wholesale

Several institutional investors and hedge funds have recently added to or reduced their stakes in the company. Bulwark Capital Corp purchased a new position in Costco Wholesale in the 2nd quarter worth approximately $25,000. Soundwatch Capital LLC raised its holdings in Costco Wholesale by 635.7% in the second quarter. Soundwatch Capital LLC now owns 2,553 shares of the retailer’s stock valued at $25,000 after acquiring an additional 2,206 shares in the last quarter. LFA Lugano Financial Advisors SA bought a new position in shares of Costco Wholesale during the second quarter worth about $31,000. Hurley Capital LLC increased its holdings in 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 buying an additional 18 shares during the last quarter. Finally, Abich Financial Wealth Management LLC acquired a new stake in Costco Wholesale during the third quarter valued at approximately $34,000. 68.48% of the stock is currently owned by institutional investors and hedge funds.

Trending Headlines about Costco Wholesale

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

• Positive Sentiment: Company-released December sales: net sales of $29.86B (up 8.5% yr/yr) and companywide comps +7.0%, with digitally-enabled sales up ~19%. This is the primary driver for the bullish move. Costco Reports December Sales Results
• Positive Sentiment: E-commerce acceleration: online/digitally-enabled sales jumped ~18–19% in December, boosting margins and omnichannel momentum that investors favor. Costco Stock Jumps as Online Sales Growth Reaches 18% in December
• Positive Sentiment: Analyst support and upgrades (Mizuho, Deutsche Bank mentions, Telsey reaffirming outperform) are lifting sentiment and providing upside to price targets. Costco Upgraded at Mizuho
• Positive Sentiment: Political/tariff developments: betting markets and reports increasingly price in relief from new tariffs — a potential tailwind for Costco’s import-heavy model. Betting Markets Predict 75% Chance Supreme Court Blocks Trump Tariffs
• Neutral Sentiment: Local expansion: city-level site news (Greenbrier Mall) signals ongoing real-estate pipeline but is not material yet to national results. Costco Could Be Coming to Greenbrier Mall
• Neutral Sentiment: Street commentary: portfolio managers and media guests (Wall Street Alliance video backing Costco) highlight execution focus — supportive but not a direct earnings catalyst. Aadil Zaman Backs Costco
• Negative Sentiment: Valuation concerns: outlets warn Costco trades near elevated multiples after years of outperformance, suggesting limited upside if growth slows — a short-term headwind for multiples. How Retailer Costco Can Drop
• Negative Sentiment: Media critique: high-profile commentator Jim Cramer said COST “should be repudiated this quarter,” which can amplify short-term selling despite longer-term bullish data. Jim Cramer: Costco Should be Repudiated

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.