Costco Wholesale (NASDAQ:COST) Stock Price Up 2.5% – Time to Buy?

Costco Wholesale Corporation (NASDAQ:COST)’s stock price traded up 2.5% during mid-day trading on Monday . The stock traded as high as $878.77 and last traded at $875.74. 2,785,454 shares were traded during mid-day trading, an increase of 8% from the average session volume of 2,579,065 shares. The stock had previously closed at $854.50.

Key Headlines Impacting Costco Wholesale

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

• Positive Sentiment: Multiple analyst upgrades and renewed buy-side interest, plus speculation Costco might pay a special dividend, are supporting investor optimism about returns and capital allocation. Costco Stock (COST) Gets Multiple Analyst Upgrades to Start the New Year
• Positive Sentiment: An analyst note arguing Costco’s current problems are temporary and that shares could still reach $1,000 frames recent softness as cyclical and manageable, supporting upside expectations. Why Costco’s stock could still get to $1,000 despite sluggish sales and membership growth
• Positive Sentiment: Evidence that Costco’s digital investments (e‑commerce, AI, same‑day delivery) are gaining traction provides a tangible growth runway beyond warehouse traffic, which supports longer‑term revenue expansion. Costco’s Digital Ecosystem Emerges as a Powerful Growth Engine
• Positive Sentiment: Recent analyst consensus remains constructive (many firms rate Costco a Buy/Moderate Buy and groups like Telsey issued Outperform), which can support multiple expansion and buying interest. Consensus Recommendation of “Moderate Buy”
• Neutral Sentiment: Jim Cramer flagged Costco as a name to watch — visibility that can attract short‑term flows but doesn’t change fundamentals. Cramer’s Stop Trading: Costco
• Neutral Sentiment: Operational notes — new store opening schedules and consumer‑facing features (store hours, hidden product lists) offer local sales tailwinds but are low impact for the stock on their own. Costco sets schedule for opening store in west Roseville’s Baseline Marketplace
• Negative Sentiment: Valuation concerns: commentary noting Costco’s business is strong but the current share price is hard to justify suggests some investors view upside as limited absent materially faster growth or share buybacks/dividends. Is Costco Stock Set to Rebound Higher in 2026?
• Negative Sentiment: Near‑term earnings caution from some Zacks commentary flags downside risk to Q2 results, which could pressure the stock if comparable‑store sales or membership trends weaken. Zacks Research Has Pessimistic Outlook of COST Q2 Earnings

Analysts Set New Price Targets

Several brokerages recently weighed in on COST. Morgan Stanley reduced their price target on Costco Wholesale from $1,225.00 to $1,130.00 and set an “overweight” rating on the stock in a research note on Friday, September 26th. Argus upped their target price on shares of Costco Wholesale from $1,170.00 to $1,200.00 and gave the stock a “buy” rating in a research report on Monday, September 29th. Gordon Haskett decreased their price target on shares of Costco Wholesale from $1,150.00 to $1,100.00 and set a “buy” rating for the company in a research note on Monday, December 1st. Hovde Group began coverage on shares of Costco Wholesale in a research note on Tuesday, November 18th. They set a “market perform” rating and a $16.00 target price for the company. Finally, Truist Financial dropped their price target on Costco Wholesale from $1,033.00 to $926.00 and set a “hold” rating on the stock in a research report on Friday, December 12th. Twenty investment analysts have rated the stock with a Buy rating, twelve have issued a Hold rating and one has given a Sell rating to the company’s stock. Based on data from MarketBeat, the stock currently has an average rating of “Moderate Buy” and a consensus price target of $994.08.

Costco Wholesale Price Performance

The firm has a market cap of $388.71 billion, a PE ratio of 46.91, a P/E/G ratio of 5.12 and a beta of 1.02. The firm’s fifty day simple moving average is $894.79 and its two-hundred day simple moving average is $934.32. The company has a quick ratio of 0.53, a current ratio of 1.04 and a debt-to-equity ratio of 0.19.

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

Costco Wholesale Announces Dividend

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

Insider Buying and Selling at Costco Wholesale

In other news, EVP Javier Polit sold 2,049 shares of Costco Wholesale stock in a transaction on Monday, December 29th. The stock was sold at an average price of $867.21, for a total value of $1,776,913.29. Following the transaction, the executive vice president directly owned 10,748 shares in the company, valued at approximately $9,320,773.08. This trade represents a 16.01% decrease in their position. The sale was disclosed in a legal filing with the SEC, which can be accessed through this hyperlink. Also, insider Tiffany Marie Barbre sold 1,239 shares of the company’s stock in a transaction on Friday, October 24th. The stock was sold at an average price of $934.62, for a total value of $1,157,994.18. Following the sale, the insider owned 5,155 shares of the company’s stock, valued at $4,817,966.10. This trade represents a 19.38% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. In the last three months, insiders sold 8,946 shares of company stock valued at $8,175,048. 0.10% of the stock is owned by corporate insiders.

Institutional Trading of Costco Wholesale

Institutional investors have recently modified their holdings of the company. Bulwark Capital Corp purchased a new stake in shares of Costco Wholesale during the 2nd quarter valued at $25,000. LFA Lugano Financial Advisors SA purchased a new stake in Costco Wholesale in the second quarter valued at about $31,000. Hurley Capital LLC grew its stake in shares of Costco Wholesale by 120.0% during the third quarter. Hurley Capital LLC now owns 33 shares of the retailer’s stock worth $31,000 after acquiring an additional 18 shares during the last quarter. Abich Financial Wealth Management LLC acquired a new stake in Costco Wholesale during the 3rd quarter valued at approximately $34,000. Finally, Collier Financial acquired a new position in shares of Costco Wholesale during the third quarter valued at approximately $35,000. 68.48% of the stock is currently owned by 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.