Rational Advisors Inc. Trims Stock Holdings in Costco Wholesale Corporation $COST

Rational Advisors Inc. trimmed its holdings in Costco Wholesale Corporation (NASDAQ:COST) by 19.1% in the fourth quarter, Holdings Channel reports. The institutional investor owned 3,488 shares of the retailer’s stock after selling 826 shares during the quarter. Rational Advisors Inc.’s holdings in Costco Wholesale were worth $3,008,000 as of its most recent filing with the Securities and Exchange Commission.

A number of other hedge funds have also bought and sold shares of COST. FORA Capital LLC bought a new position in Costco Wholesale in the 3rd quarter valued at $2,781,000. World Investment Advisors boosted its holdings in Costco Wholesale by 8.4% in the 4th quarter. World Investment Advisors now owns 20,081 shares of the retailer’s stock valued at $15,835,000 after purchasing an additional 1,560 shares during the period. Teacher Retirement System of Texas boosted its holdings in Costco Wholesale by 24.5% in the 4th quarter. Teacher Retirement System of Texas now owns 140,429 shares of the retailer’s stock valued at $121,098,000 after purchasing an additional 27,625 shares during the period. Curtis Advisory Group LLC boosted its holdings in Costco Wholesale by 56.7% in the 4th quarter. Curtis Advisory Group LLC now owns 4,535 shares of the retailer’s stock valued at $3,911,000 after purchasing an additional 1,641 shares during the period. Finally, Mariner LLC boosted its holdings in Costco Wholesale by 1.5% in the 3rd quarter. Mariner LLC now owns 399,894 shares of the retailer’s stock valued at $370,140,000 after purchasing an additional 5,937 shares during the period. 68.48% of the stock is currently owned by hedge funds and other institutional investors.

Key Costco Wholesale News

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

• Positive Sentiment: Costco reported robust fiscal Q3 results, including double-digit sales growth, strong comparable sales, and continued strength in memberships and digital operations, which supports the long-term investment case. Article Title
• Positive Sentiment: Jefferies said Costco’s value strategy, membership growth, and fuel business continue to support sales momentum, reinforcing confidence in the company’s operating model. Article Title
• Positive Sentiment: Analysts highlighted Costco’s strong traffic trends and larger baskets, suggesting the company is still gaining share with shoppers even as the stock weakens. Article Title
• Positive Sentiment: Costco’s record gas sales and surprisingly strong protein sales show continued demand across key categories, which may help offset concerns about slower overall momentum. Article Title
• Neutral Sentiment: Multiple market commentaries say Costco is attracting heavy investor attention after earnings, but the stock remains stuck in a post-results pullback as traders weigh the next catalyst. Article Title
• Neutral Sentiment: Several articles note that Costco’s stock has failed to rally after its strong quarter, implying investors may already have high expectations priced in. Article Title
• Negative Sentiment: Costco was downgraded in a blue-chip rankings update, adding to the cautious tone around the shares. Article Title
• Negative Sentiment: Commentary from Jim Cramer and other analysts suggested Costco could have done better, reinforcing concerns that the market expected even more from the latest report. Article Title
• Negative Sentiment: Market coverage says COST is falling despite record-breaking gas sales, underscoring that investors are focusing on valuation and the post-earnings setup rather than the headline growth. Article Title

Insiders Place Their Bets

In other Costco Wholesale news, EVP Claudine Adamo sold 730 shares of the business’s stock in a transaction on Monday, March 9th. The shares were sold at an average price of $1,003.02, for a total value of $732,204.60. Following the completion of the sale, the executive vice president directly owned 6,121 shares of the company’s stock, valued at $6,139,485.42. The trade was a 10.66% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available at the SEC website. 0.10% of the stock is owned by corporate insiders.

Analysts Set New Price Targets

Several research analysts have commented on COST shares. Guggenheim reissued a “neutral” rating on shares of Costco Wholesale in a report on Monday. Robert W. Baird set a $1,100.00 price target on shares of Costco Wholesale in a report on Thursday, February 5th. JPMorgan Chase & Co. raised their price target on shares of Costco Wholesale from $1,060.00 to $1,110.00 and gave the company an “overweight” rating in a report on Friday, April 17th. Weiss Ratings raised shares of Costco Wholesale from a “hold (c+)” rating to a “buy (b-)” rating in a report on Tuesday, March 17th. Finally, Truist Financial lifted their price objective on shares of Costco Wholesale from $977.00 to $1,011.00 and gave the stock a “hold” rating in a report on Friday, May 29th. Twenty-two investment analysts have rated the stock with a Buy rating, eleven have given a Hold rating and one has assigned a Sell rating to the company’s stock. Based on data from MarketBeat.com, the stock presently has an average rating of “Moderate Buy” and an average target price of $1,056.32.

Costco Wholesale Stock Performance

Costco Wholesale stock opened at $954.27 on Wednesday. The company has a quick ratio of 0.59, a current ratio of 1.06 and a debt-to-equity ratio of 0.18. The company has a market capitalization of $423.36 billion, a PE ratio of 48.00, a P/E/G ratio of 4.59 and a beta of 0.88. The firm has a fifty day simple moving average of $1,007.23 and a two-hundred day simple moving average of $963.04. Costco Wholesale Corporation has a twelve month low of $844.06 and a twelve month high of $1,096.50.

Costco Wholesale (NASDAQ:COST) last posted its quarterly earnings results on Thursday, May 28th. The retailer reported $4.93 earnings per share for the quarter, missing the consensus estimate of $4.94 by ($0.01). The business had revenue of $70.53 billion during the quarter, compared to the consensus estimate of $70.12 billion. Costco Wholesale had a return on equity of 28.72% and a net margin of 3.01%.During the same period in the prior year, the firm earned $4.28 earnings per share. Research analysts expect that Costco Wholesale Corporation will post 20.36 EPS for the current year.

Costco Wholesale Increases Dividend

The firm also recently declared a quarterly dividend, which was paid on Friday, May 15th. Shareholders of record on Friday, May 1st were paid a $1.47 dividend. This is a boost from Costco Wholesale’s previous quarterly dividend of $1.30. This represents a $5.88 annualized dividend and a yield of 0.6%. The ex-dividend date of this dividend was Friday, May 1st. Costco Wholesale’s payout ratio is presently 29.58%.

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.