Windward Capital Management Co. CA Lowers Stock Position in Costco Wholesale Corporation $COST

Windward Capital Management Co. CA decreased its holdings in Costco Wholesale Corporation (NASDAQ:COST) by 0.9% in the third quarter, according to the company in its most recent 13F filing with the SEC. The institutional investor owned 68,798 shares of the retailer’s stock after selling 602 shares during the quarter. Costco Wholesale accounts for approximately 5.1% of Windward Capital Management Co. CA’s holdings, making the stock its 5th biggest holding. Windward Capital Management Co. CA’s holdings in Costco Wholesale were worth $63,682,000 at the end of the most recent quarter.

A number of other hedge funds and other institutional investors also recently made changes to their positions in COST. Soundwatch Capital LLC boosted its holdings in Costco Wholesale by 635.7% during the second quarter. Soundwatch Capital LLC now owns 2,553 shares of the retailer’s stock valued at $25,000 after purchasing 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 2nd quarter worth approximately $31,000. Financial Connections Group Inc. boosted its stake in Costco Wholesale by 975.0% in the 2nd quarter. Financial Connections Group Inc. now owns 43 shares of the retailer’s stock valued at $42,000 after buying an additional 39 shares in the last quarter. Frazier Financial Advisors LLC grew its position in Costco Wholesale by 72.0% in the second quarter. Frazier Financial Advisors LLC now owns 43 shares of the retailer’s stock valued at $43,000 after acquiring an additional 18 shares during the period. Finally, Marquette Asset Management LLC raised its stake in Costco Wholesale by 2,200.0% during the third quarter. Marquette Asset Management LLC now owns 46 shares of the retailer’s stock worth $43,000 after acquiring an additional 44 shares in the last quarter. 68.48% of the stock is owned by institutional investors.

Key Costco Wholesale News

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

• Positive Sentiment: Local expansion catalyst — a draft environmental impact report was published for a proposed Costco in El Dorado Hills, a step toward a new warehouse that would add capacity and recurring membership revenue if approved. Draft environmental impact report out for Costco in El Dorado Hills
• Positive Sentiment: Firm growth runway — analysts and coverage note Costco’s warehouse expansion plan and faster new‑store ramps as durable drivers of long‑term sales and membership growth. This supports the bullish narrative behind the rally. Costco’s Warehouse Expansion Strategy Fuels Long-Term Growth
• Positive Sentiment: Investor bullishness / feature pieces — multiple buy-side and retail-investor pieces (including “3 Reasons to Buy Costco”) highlight resilient comps, membership retention and profit growth, which can sustain upside sentiment. 3 Reasons to Buy Costco Stock Like There’s No Tomorrow
• Positive Sentiment: Service/tech improvements — reporting that Costco is adopting a competitor’s tech upgrades to improve the member experience suggests potential gains in e‑commerce, checkout speed or loyalty that could lift sales and margins over time. Costco borrows tech upgrade from competitor to boost member experience
• Neutral Sentiment: Everyday retail stories show member value (e.g., bulk flowers, iPhone deals, gas rewards) that reinforce Costco’s value proposition but have limited direct impact on near‑term earnings guidance. Costco sells wholesale flowers for a fraction of the price
• Neutral Sentiment: Valuation debate — pieces assessing Costco’s rich P/E highlight that strong multi‑year returns have priced in growth; this moderates upside expectations and makes future returns sensitive to execution and comps. Assessing Whether Costco Wholesale (COST) Deserves Its Rich P/E
• Negative Sentiment: Insider sale disclosed — Director Susan Decker sold 458 shares (average ~$955), reducing her stake. While the sale is small relative to total holdings, insider selling can raise short‑term concern among some investors about timing/valuation. Costco Director Susan Decker Sells 458 Shares

Costco Wholesale Price Performance

Shares of COST stock opened at $982.86 on Thursday. Costco Wholesale Corporation has a 1 year low of $844.06 and a 1 year high of $1,078.23. The company has a current ratio of 1.04, a quick ratio of 0.53 and a debt-to-equity ratio of 0.19. The firm’s 50 day moving average is $898.05 and its 200-day moving average is $929.94. The firm has a market capitalization of $436.26 billion, a price-to-earnings ratio of 52.64, a PEG ratio of 5.78 and a beta of 1.02.

Costco Wholesale (NASDAQ:COST) last posted 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. Costco Wholesale had a net margin of 2.96% and a return on equity of 29.35%. The firm had revenue of $67.31 billion during the quarter, compared to analysts’ expectations of $67.03 billion. During the same quarter in the previous year, the company posted $4.04 EPS. Costco Wholesale’s revenue was up 8.3% on a year-over-year basis. Sell-side analysts forecast that Costco Wholesale Corporation will post 18.03 EPS for the current fiscal year.

Costco Wholesale Announces Dividend

The company also recently declared a quarterly dividend, which will be paid on Friday, February 13th. Stockholders of record on Friday, January 30th will be paid a dividend of $1.30 per share. This represents a $5.20 annualized dividend and a dividend yield of 0.5%. The ex-dividend date of this dividend is Friday, January 30th. Costco Wholesale’s dividend payout ratio is 27.85%.

Insider Buying and Selling at Costco Wholesale

In other Costco Wholesale news, EVP Claudine Adamo sold 2,700 shares of the company’s stock in a transaction dated Friday, October 24th. The shares were sold at an average price of $935.68, for a total transaction of $2,526,336.00. Following the transaction, the executive vice president directly owned 6,851 shares in the company, valued at approximately $6,410,343.68. This represents a 28.27% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Also, EVP William Richard Wilcox sold 2,400 shares of Costco Wholesale stock in a transaction that occurred on Friday, November 7th. The stock was sold at an average price of $930.13, for a total transaction of $2,232,312.00. Following the sale, the executive vice president owned 2,000 shares of the company’s stock, valued at approximately $1,860,260. This represents a 54.55% decrease in their position. The SEC filing for this sale provides additional information. Insiders have sold a total of 12,404 shares of company stock valued at $11,395,418 over the last ninety days. Company insiders own 0.10% of the company’s stock.

Analyst Ratings Changes

Several equities research analysts have recently commented on the stock. HSBC reduced their target price on shares of Costco Wholesale from $1,060.00 to $1,045.00 and set a “hold” rating on the stock in a research note on Friday, December 12th. Evercore ISI reduced their price target on shares of Costco Wholesale from $1,060.00 to $1,025.00 and set an “outperform” rating on the stock in a research report on Friday, September 26th. Citigroup dropped their price objective on shares of Costco Wholesale from $1,065.00 to $990.00 and set a “neutral” rating for the company in a report on Monday, September 29th. Hovde Group initiated coverage on shares of Costco Wholesale in a research note on Tuesday, November 18th. They issued a “market perform” rating and a $16.00 target price for the company. Finally, Wells Fargo & Company decreased their price target 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. Twenty-one research analysts have rated the stock with a Buy rating, twelve have assigned a Hold rating and one has issued a Sell rating to the company. Based on data from MarketBeat.com, the company has an average rating of “Moderate Buy” and a consensus target price of $996.00.

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.