Costco Wholesale’s (COST) “Buy” Rating Reaffirmed at Argus

Costco Wholesale (NASDAQ:COST)‘s stock had its “buy” rating reiterated by stock analysts at Argus in a research note issued to investors on Monday, Benzinga reports. They presently have a $1,230.00 target price on the retailer’s stock. Argus’ target price would indicate a potential upside of 33.03% from the company’s previous close.

Several other brokerages have also recently commented on COST. HSBC upgraded shares of Costco Wholesale to a “buy” rating in a research report on Friday. Bank of America dropped their price target on shares of Costco Wholesale from $1,200.00 to $1,095.00 and set a “buy” rating on the stock in a research report on Wednesday, September 16th. Roth Capital reiterated a “sell” rating and issued a $781.00 price target on shares of Costco Wholesale in a research report on Friday. Citigroup started coverage on shares of Costco Wholesale in a research report on Thursday, June 18th. They issued a “neutral” rating and a $1,020.00 price target on the stock. Finally, DA Davidson boosted their price target on shares of Costco Wholesale from $1,000.00 to $1,040.00 and gave the stock a “neutral” rating in a research report on Friday, September 25th. Twenty-two analysts have rated the stock with a Buy rating, ten have issued a Hold rating and one has given a Sell rating to the company. Based on data from MarketBeat.com, Costco Wholesale presently has a consensus rating of “Moderate Buy” and an average price target of $1,046.27.

Costco Wholesale Stock Performance

COST stock opened at $924.59 on Monday. The company has a market capitalization of $410.04 billion, a P/E ratio of 44.54, a PEG ratio of 3.95 and a beta of 0.86. The company has a 50-day simple moving average of $933.61 and a 200 day simple moving average of $966.60. Costco Wholesale has a fifty-two week low of $844.06 and a fifty-two week high of $1,096.50. The company has a quick ratio of 0.62, a current ratio of 1.06 and a debt-to-equity ratio of 0.11.

Costco Wholesale (NASDAQ:COST) last posted its quarterly earnings data on Thursday, September 24th. The retailer reported $6.75 earnings per share for the quarter, topping the consensus estimate of $6.54 by $0.21. The business had revenue of $95.72 billion during the quarter, compared to the consensus estimate of $94.97 billion. Costco Wholesale had a net margin of 3.04% and a return on equity of 27.60%. Sell-side analysts predict that Costco Wholesale will post 22.8 earnings per share for the current fiscal year.

Institutional Trading of Costco Wholesale

Several institutional investors and hedge funds have recently bought and sold shares of the stock. State Street Corp raised its holdings in Costco Wholesale by 31.7% during the 2nd quarter. State Street Corp now owns 23,901,594 shares of the retailer’s stock worth $22,359,224,000 after buying an additional 5,749,362 shares during the period. Bank of America Corp DE increased its holdings in shares of Costco Wholesale by 11.5% in the 1st quarter. Bank of America Corp DE now owns 7,515,031 shares of the retailer’s stock valued at $7,488,203,000 after purchasing an additional 773,651 shares during the period. Diamant Asset Management Inc. increased its holdings in shares of Costco Wholesale by 99,278.0% in the 1st quarter. Diamant Asset Management Inc. now owns 6,726,899 shares of the retailer’s stock valued at $672,690,000 after purchasing an additional 6,720,130 shares during the period. Corient Private Wealth LLC increased its holdings in shares of Costco Wholesale by 838.9% in the 4th quarter. Corient Private Wealth LLC now owns 6,125,405 shares of the retailer’s stock valued at $5,282,182,000 after purchasing an additional 5,472,968 shares during the period. Finally, Invesco Ltd. increased its holdings in shares of Costco Wholesale by 3.4% in the 4th quarter. Invesco Ltd. now owns 4,328,729 shares of the retailer’s stock valued at $3,732,836,000 after purchasing an additional 143,150 shares during the period. Institutional investors and hedge funds own 68.48% of the company’s stock.

Costco Wholesale News Roundup

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

• Positive Sentiment: Costco reported fiscal Q4 revenue of approximately $95.72 billion, up about 11% year over year, and EPS of $6.75, exceeding consensus estimates of $6.54. COST Q3 Deep Dive: Warehouse Expansion, Membership Trends, and Digital Engagement Shape Outlook
• Positive Sentiment: Sales momentum remained broad-based: fourth-quarter comparable sales rose 9.4%, while U.S. comparable sales increased 10.7%, supported by higher traffic and larger average transactions. Fresh food, particularly bakery and meat, also performed strongly. Costco’s US Comp Sales Lead as Domestic Momentum Stays Strong
• Positive Sentiment: Membership-fee revenue climbed roughly 11% to $5.907 billion, and executive membership penetration reached a record level. This strengthens Costco’s recurring revenue base and supports profitability. Costco Collects More Membership Fees
• Positive Sentiment: Management highlighted strong digital growth, gas, pharmacy and travel results, international expansion and additional warehouse opportunities. These initiatives provide potential longer-term growth beyond existing U.S. stores. Costco Earnings Call Highlights Growth, Global Expansion
• Positive Sentiment: New supplier additions, including Boon Boona Coffee, and the return of the food-court churro could improve product variety and member engagement, though these developments are financially modest. Boon Boona Coffee lands Costco Wholesale deal
• Neutral Sentiment: Analysts remain divided. William Blair maintained a Buy rating, while RBC kept Sector Perform with a $1,000 target. Deutsche Bank lowered its target to $1,079, and Daiwa reduced its target to $950 while retaining a Neutral rating.
• Negative Sentiment: Costco trades at a premium valuation, with a price-to-earnings ratio above 44. Several firms cut targets after the earnings beat, suggesting that much of the strong execution may already be reflected in the share price. Analysts Cut Costco Price Targets After a Q4 Beat
• Negative Sentiment: Costco’s decision to reinvest potential tariff refunds in lower prices may benefit members and protect traffic, but it could limit the near-term earnings benefit and pressure margins. How Tariff Refunds Could Shape Costco’s Earnings

About Costco Wholesale

Costco Wholesale Corporation operates a membership-based warehouse retail business under the Costco name. The company sells a broad selection of merchandise, including groceries, fresh foods, beverages, appliances, electronics, furniture, apparel, jewelry, hardware, and seasonal products. It also offers services such as gasoline, pharmacies, optical departments, hearing-aid centers, food courts, travel services, and business delivery in selected markets.

Costco markets many products under its private-label Kirkland Signature brand and sells merchandise through warehouse locations and e-commerce platforms.