Costco Wholesale (NASDAQ:COST) Stock Price Up 1.3% – What’s Next?

Costco Wholesale Corporation (NASDAQ:COST)’s stock price was up 1.3% on Tuesday . The company traded as high as $998.88 and last traded at $998.43. Approximately 1,646,968 shares changed hands during mid-day trading, a decline of 34% from the average daily volume of 2,500,733 shares. The stock had previously closed at $986.02.

Costco Wholesale News Roundup

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

• Positive Sentiment: Broad-based comparable sales gains across the U.S., Canada and internationally — driven by traffic, ticket growth and digital strength — support near-term revenue momentum. Why Costco’s Comparable Sales Strength Looks Broad-Based Globally
• Positive Sentiment: Costco expanded distribution of Levels Whey Protein into additional regions, reinforcing its health-and-wellness assortment and potential to boost category sales and membership value. Costco Expands Levels Whey Protein As Valuation And Membership Story Evolves
• Positive Sentiment: A new double-chocolate mint sundae became a shopper favorite, a small but visible indicator of customer engagement and same-store traffic. Costco’s new sundae becomes sweet sensation with shoppers
• Neutral Sentiment: Analysts collectively maintain a modestly positive view — the street rates Costco around “Moderate Buy,” which supports the stock but leaves limited upside without earnings acceleration. Costco Given Average Rating of “Moderate Buy” by Analysts
• Neutral Sentiment: Costco is drawing heightened investor attention and search interest, which can amplify moves but doesn’t change fundamentals by itself. Investors Heavily Search Costco Wholesale Corporation (COST): Here is What You Need to Know
• Neutral Sentiment: Over the past year COST has underperformed the S&P 500, prompting cautious analyst commentary even as underlying trends remain positive. Is Costco Wholesale Stock Underperforming the S&P 500?
• Negative Sentiment: Multiple articles and analysts flag Costco’s high valuation (P/E in the 50s) as the primary risk — investors are debating whether future growth justifies the premium. Costco: Fantastic Company, Unreasonable Valuation
• Negative Sentiment: Commentary warns the stock may be “getting ahead of itself” after a strong January sales report and a ~15% YTD run, raising pullback risk if growth slows. Costco Stock Is Soaring, but Is It Getting Ahead of Itself?
• Negative Sentiment: Costco faces a new lawsuit over its rotisserie chicken, introducing potential legal costs and reputational noise (likely small but uncertain). Costco faces yet another lawsuit over its rotisserie chicken

Analyst Ratings Changes

Several brokerages have weighed in on COST. Citigroup restated a “neutral” rating on shares of Costco Wholesale in a research note on Friday. JPMorgan Chase & Co. increased their price objective on Costco Wholesale from $1,000.00 to $1,050.00 and gave the company an “overweight” rating in a report on Monday, February 9th. TD Cowen restated a “buy” rating on shares of Costco Wholesale in a research note on Friday, December 12th. Raymond James Financial reduced their target price on Costco Wholesale from $1,070.00 to $1,000.00 and set an “outperform” rating on the stock in a research report on Friday, December 12th. Finally, BMO Capital Markets reiterated an “outperform” rating on shares of Costco Wholesale in a research note on Friday, December 12th. Twenty-one investment analysts have rated the stock with a Buy rating, thirteen have assigned a Hold rating and one has issued a Sell rating to the company’s stock. According to data from MarketBeat, the stock currently has a consensus rating of “Moderate Buy” and an average price target of $1,008.07.

Costco Wholesale Stock Up 1.2%

The firm has a market capitalization of $443.04 billion, a price-to-earnings ratio of 53.46, a price-to-earnings-growth ratio of 5.20 and a beta of 1.01. 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 has a fifty day moving average price of $937.07 and a two-hundred day moving average price of $934.29.

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

Costco Wholesale Dividend Announcement

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

Insider Activity

In other Costco Wholesale news, EVP Teresa A. Jones sold 850 shares of the stock in a transaction dated Wednesday, January 21st. The stock was sold at an average price of $986.26, for a total transaction of $838,321.00. Following the sale, the executive vice president directly owned 4,228 shares of the company’s stock, 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 Securities & Exchange Commission, which is accessible through this link. Also, EVP James C. Klauer sold 1,500 shares of the business’s stock in a transaction dated Wednesday, January 14th. The shares were sold at an average price of $939.00, for a total value of $1,408,500.00. Following the completion of the transaction, the executive vice president directly owned 44,837 shares of the company’s stock, valued at approximately $42,101,943. This trade represents a 3.24% decrease in their position. The SEC filing for this sale provides additional information. Insiders have sold a total of 6,915 shares of company stock valued at $6,317,097 over the last quarter. Insiders own 0.10% of the company’s stock.

Institutional Inflows and Outflows

Institutional investors have recently bought and sold shares of the stock. Soundwatch Capital LLC increased 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 buying an additional 2,206 shares in the last quarter. Mcguire Capital Advisors Inc. acquired a new stake in shares of Costco Wholesale during the 4th quarter valued at about $28,000. LFA Lugano Financial Advisors SA purchased a new position in shares of Costco Wholesale in the 2nd quarter valued at about $31,000. Hurley Capital LLC raised its holdings in Costco Wholesale by 120.0% in the 3rd quarter. Hurley Capital LLC now owns 33 shares of the retailer’s stock worth $31,000 after purchasing an additional 18 shares during the period. Finally, Entrust Financial LLC acquired a new position in Costco Wholesale in the 4th quarter worth about $31,000. 68.48% of the stock is currently owned by hedge funds and other institutional investors.

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.