Morningstar Investment Management LLC Buys 636 Shares of Costco Wholesale Corporation $COST

Morningstar Investment Management LLC increased its stake in Costco Wholesale Corporation (NASDAQ:COST) by 56.9% in the 1st quarter, Holdings Channel reports. The fund owned 1,754 shares of the retailer’s stock after buying an additional 636 shares during the quarter. Morningstar Investment Management LLC’s holdings in Costco Wholesale were worth $1,748,000 at the end of the most recent reporting period.

A number of other institutional investors have also added to or reduced their stakes in the company. Gunpowder Capital Management LLC dba Oliver Wealth Management purchased a new position in shares of Costco Wholesale during the 4th quarter valued at about $27,000. Lifetime Wealth Management P.C. bought a new stake in Costco Wholesale in the 4th quarter worth approximately $28,000. Mcguire Capital Advisors Inc. purchased a new stake in Costco Wholesale in the fourth quarter worth approximately $28,000. Entrust Financial LLC purchased a new stake in Costco Wholesale in the fourth quarter worth approximately $31,000. Finally, Joseph Group Capital Management purchased a new stake in Costco Wholesale in the fourth quarter worth approximately $33,000. Institutional investors own 68.48% of the company’s stock.

Wall Street Analysts Forecast Growth

Several research analysts have commented on the stock. Roth Capital lifted their price target on shares of Costco Wholesale from $769.00 to $781.00 and gave the stock a “sell” rating in a research note on Friday, May 29th. DA Davidson reaffirmed a “neutral” rating and issued a $1,000.00 price objective on shares of Costco Wholesale in a research note on Thursday, June 4th. Oppenheimer increased their target price on shares of Costco Wholesale from $1,100.00 to $1,160.00 and gave the company an “outperform” rating in a report on Tuesday, May 19th. TD Cowen reaffirmed a “buy” rating and set a $1,175.00 target price on shares of Costco Wholesale in a report on Wednesday, June 3rd. Finally, Citigroup began coverage on shares of Costco Wholesale in a research report on Thursday, June 18th. They issued a “neutral” rating and a $1,020.00 target price on the stock. Twenty-two analysts have rated the stock with a Buy rating, twelve have issued a Hold rating and one has issued a Sell rating to the company. According to data from MarketBeat.com, the stock currently has a consensus rating of “Moderate Buy” and a consensus price target of $1,059.07.

Key Headlines Impacting Costco Wholesale

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

• Positive Sentiment: Record demand for Costco Gas is driving more store visits, which can support merchandise sales and membership renewals by increasing overall customer traffic. Costco Gas Demand Hits Record as Low Prices Drive Member Visits
• Positive Sentiment: Costco was highlighted as a stock that can hold up if inflation stays elevated, with its membership model and scale seen as a defensive advantage for investors. 2 Stocks Built to Thrive If Inflation Refuses to Fade (COST)
• Positive Sentiment: Analysts continue to view Costco favorably overall, with the company reported to have a “Moderate Buy” consensus recommendation. Costco Wholesale Corporation (NASDAQ:COST) Receives Consensus Recommendation of “Moderate Buy” from Analysts
• Neutral Sentiment: Some shoppers may be eligible for cash from Costco’s $14 million settlement in Washington, which is a consumer-relations issue but does not appear large enough to materially change the investment case. Some Costco shoppers could qualify for cash in settlement payout
• Neutral Sentiment: Short interest data showed 0 shares reported, offering no meaningful new signal on trading pressure or sentiment.

Costco Wholesale Price Performance

Shares of Costco Wholesale stock opened at $935.03 on Friday. The company has a debt-to-equity ratio of 0.17, a current ratio of 1.07 and a quick ratio of 0.61. Costco Wholesale Corporation has a one year low of $844.06 and a one year high of $1,096.50. The business’s 50 day simple moving average is $965.91 and its two-hundred day simple moving average is $979.93. The stock has a market capitalization of $414.67 billion, a P/E ratio of 47.03, a price-to-earnings-growth ratio of 4.52 and a beta of 0.88.

Costco Wholesale (NASDAQ:COST) last released its quarterly earnings data on Thursday, May 28th. The retailer reported $4.93 earnings per share for the quarter, missing analysts’ consensus estimates of $4.94 by ($0.01). Costco Wholesale had a net margin of 3.01% and a return on equity of 28.04%. The company had revenue of $70.53 billion for the quarter, compared to analysts’ expectations of $70.12 billion. During the same period last year, the company posted $4.28 EPS. Analysts forecast that Costco Wholesale Corporation will post 20.42 EPS for the current year.

Costco Wholesale Dividend Announcement

The company also recently declared a quarterly dividend, which will be paid on Friday, August 7th. Investors of record on Friday, July 24th will be issued a dividend of $1.47 per share. This represents a $5.88 dividend on an annualized basis and a yield of 0.6%. The ex-dividend date is Friday, July 24th. Costco Wholesale’s dividend payout ratio is currently 29.58%.

Insider Buying and Selling

In other Costco Wholesale news, Director Kenneth D. Denman sold 885 shares of the stock in a transaction on Tuesday, June 23rd. The shares were sold at an average price of $957.45, for a total transaction of $847,343.25. Following the completion of the sale, the director owned 4,779 shares of the company’s stock, valued at $4,575,653.55. This represents a 15.62% decrease in their position. The sale was disclosed in a filing with the SEC, which is available at the SEC website. 0.10% of the stock is owned by corporate insiders.

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.