Capital World Investors Sells 88,964 Shares of Costco Wholesale Corporation $COST

Capital World Investors reduced its stake in Costco Wholesale Corporation (NASDAQ:COST) by 2.3% in the 3rd quarter, Holdings Channel reports. The firm owned 3,859,636 shares of the retailer’s stock after selling 88,964 shares during the period. Capital World Investors’ holdings in Costco Wholesale were worth $3,572,538,000 as of its most recent filing with the SEC.

Several other hedge funds and other institutional investors also recently added to or reduced their stakes in the stock. Capital International Sarl raised its holdings in Costco Wholesale by 3.8% in the 3rd quarter. Capital International Sarl now owns 64,341 shares of the retailer’s stock worth $59,556,000 after acquiring an additional 2,339 shares during the period. Capital International Inc. CA increased its stake in shares of Costco Wholesale by 16.9% in the third quarter. Capital International Inc. CA now owns 59,886 shares of the retailer’s stock worth $55,432,000 after purchasing an additional 8,664 shares during the period. Capital International Investors boosted its stake in Costco Wholesale by 1.7% during the 3rd quarter. Capital International Investors now owns 526,525 shares of the retailer’s stock valued at $487,309,000 after purchasing an additional 8,940 shares during the period. Vestcor Inc increased its position in Costco Wholesale by 5.9% in the 3rd quarter. Vestcor Inc now owns 20,667 shares of the retailer’s stock worth $19,130,000 after buying an additional 1,159 shares during the period. Finally, Fieldview Capital Management LLC bought a new stake in shares of Costco Wholesale in the third quarter valued at approximately $5,581,000. Institutional investors and hedge funds own 68.48% of the company’s stock.

Key Stories Impacting Costco Wholesale

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

• Positive Sentiment: February comparable‑store sales rose 7.9% and e‑commerce jumped 21.8%, reinforcing Costco’s revenue momentum and supporting its premium valuation. Do Costco’s February Comparable Sales Justify Its Premium Valuation?
• Positive Sentiment: A federal trade‑court ruling could produce tariff refunds; Costco management says it would likely pass savings to members via lower prices — a potential long‑term margin/competitive benefit if realized. Costco Tariff Refunds Could Reinforce Low Prices And Membership Value
• Positive Sentiment: Several firms have raised price targets recently (multiple lifts reported, including a raise to $1,315), signaling continued analyst confidence in Costco’s longer‑term upside despite near‑term debates over valuation. Costco Wholesale (NASDAQ:COST) Price Target Raised to $1,315.00
• Positive Sentiment: Operational expansions and product distribution moves — e.g., a new standalone gas station project and partnerships bringing third‑party products to Costco.ca — broaden member value and convenience. Costco building another standalone gas station Braille Energy Expands Electrafy Home Backup Power Reach via Costco.ca
• Neutral Sentiment: Truist lifted its price target to $977 from $926 but reiterated a Hold, citing solid results yet noting membership‑growth as a near‑term headwind — a mixed signal that tempers enthusiasm. Truist Lifts PT on Costco Wholesale Corporation (COST) to $977 From $926 – Here’s Why
• Neutral Sentiment: Citi reiterated a Neutral rating with a $1,000 target — another vote for mid‑case expectations rather than outright bullish conviction. Citi Maintains Neutral Rating on Costco Wholesale Corporation (COST) with $1000 Target
• Neutral Sentiment: Reported short‑interest data appears anomalous (shows 0 shares), so it provides no actionable signal about crowd positioning.
• Negative Sentiment: Competitive pressure: BJ’s Wholesale and other clubs are making aggressive moves to win budget‑conscious shoppers, which could limit market share gains or force promotional activity. BJ’s Wholesale makes bold move to lure more shoppers
• Negative Sentiment: Some analysts and commentators view shares as fairly valued after Costco’s outperformance, which may cap near‑term upside until further fundamental beats arrive. Costco: Continued Operating Outperformance, Shares Fairly Valued

Costco Wholesale Price Performance

Costco Wholesale stock opened at $1,005.30 on Tuesday. The company has a debt-to-equity ratio of 0.18, a current ratio of 1.06 and a quick ratio of 0.59. The company has a market capitalization of $446.22 billion, a PE ratio of 52.28, a price-to-earnings-growth ratio of 4.76 and a beta of 1.00. Costco Wholesale Corporation has a one year low of $844.06 and a one year high of $1,067.08. The business has a 50 day simple moving average of $964.39 and a 200 day simple moving average of $935.57.

Costco Wholesale (NASDAQ:COST) last announced its quarterly earnings results on Thursday, March 5th. The retailer reported $4.58 earnings per share for the quarter, beating analysts’ consensus estimates of $4.55 by $0.03. The firm had revenue of $69.60 billion for the quarter, compared to analysts’ expectations of $68.96 billion. Costco Wholesale had a return on equity of 28.57% and a net margin of 2.99%.The business’s revenue was up 9.2% compared to the same quarter last year. During the same period in the prior year, the business posted $4.02 earnings per share. On average, 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 announced a quarterly dividend, which was paid on Friday, February 13th. Investors of record on Friday, January 30th were given a dividend of $1.30 per share. 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 (DPR) is 27.04%.

Insider Buying and Selling at Costco Wholesale

In related news, Director Susan L. Decker sold 458 shares of Costco Wholesale stock in a transaction dated Friday, January 16th. The shares were sold at an average price of $955.00, for a total transaction of $437,390.00. Following the completion of the transaction, the director directly owned 8,532 shares of the company’s stock, valued at $8,148,060. This trade represents a 5.09% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available at this hyperlink. Also, EVP Russell D. Miller sold 1,500 shares of the business’s stock in a transaction that occurred on Friday, January 9th. The stock was sold at an average price of $916.32, for a total value of $1,374,480.00. Following the completion of the transaction, the executive vice president directly owned 8,240 shares in the company, valued at $7,550,476.80. The trade was a 15.40% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders have sold a total of 6,915 shares of company stock worth $6,317,097 over the last ninety days. Company insiders own 0.10% of the company’s stock.

Analyst Upgrades and Downgrades

Several analysts have issued reports on COST shares. Roth Mkm restated a “sell” rating on shares of Costco Wholesale in a research report on Wednesday, February 4th. Telsey Advisory Group raised their price objective on Costco Wholesale from $1,100.00 to $1,125.00 and gave the stock an “outperform” rating in a research report on Friday. Hovde Group started coverage on Costco Wholesale in a report on Tuesday, November 18th. They set a “market perform” rating and a $16.00 price objective on the stock. Oppenheimer boosted their price objective on Costco Wholesale from $1,050.00 to $1,100.00 and gave the company an “outperform” rating in a research report on Thursday, February 5th. Finally, Raymond James Financial raised their target price on Costco Wholesale from $1,000.00 to $1,100.00 and gave the stock an “outperform” rating in a research report on Friday. Twenty-two analysts have rated the stock with a Buy rating, twelve have given a Hold rating and one has issued a Sell rating to the company’s stock. Based on data from MarketBeat.com, the company has a consensus rating of “Moderate Buy” and an average price target of $1,037.20.

Costco Wholesale Company 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.