Costco Wholesale (NASDAQ:COST) Trading 0.8% Higher – Here’s Why

Costco Wholesale Co. (NASDAQ:COST)’s stock price rose 0.8% during trading on Tuesday . The company traded as high as $895.58 and last traded at $892.74. Approximately 385,374 shares traded hands during trading, a decline of 80% from the average daily volume of 1,914,069 shares. The stock had previously closed at $886.07.

Analysts Set New Price Targets

COST has been the subject of several recent analyst reports. Robert W. Baird raised their target price on shares of Costco Wholesale from $850.00 to $975.00 and gave the company an “outperform” rating in a research note on Thursday, July 11th. Telsey Advisory Group restated an “outperform” rating and set a $1,000.00 target price on shares of Costco Wholesale in a research note on Monday. TD Cowen increased their price target on Costco Wholesale from $925.00 to $975.00 and gave the company a “buy” rating in a research note on Monday, September 30th. Morgan Stanley boosted their price target on Costco Wholesale from $855.00 to $950.00 and gave the stock an “overweight” rating in a research note on Monday, September 9th. Finally, Loop Capital lifted their target price on shares of Costco Wholesale from $975.00 to $1,005.00 and gave the stock a “buy” rating in a research note on Friday, September 27th. Ten research analysts have rated the stock with a hold rating and eighteen have assigned a buy rating to the stock. According to MarketBeat.com, the company has an average rating of “Moderate Buy” and an average price target of $905.30.

Costco Wholesale Stock Up 1.0 %

The company has a quick ratio of 0.44, a current ratio of 0.97 and a debt-to-equity ratio of 0.25. The firm has a market capitalization of $398.43 billion, a PE ratio of 54.27, a price-to-earnings-growth ratio of 5.45 and a beta of 0.80. The business has a 50-day moving average price of $891.92 and a 200-day moving average price of $848.69.

Costco Wholesale (NASDAQ:COST) last issued its earnings results on Thursday, September 26th. The retailer reported $5.15 earnings per share (EPS) for the quarter, beating the consensus estimate of $5.05 by $0.10. Costco Wholesale had a return on equity of 31.05% and a net margin of 2.90%. The company had revenue of $79.70 billion during the quarter, compared to analysts’ expectations of $79.91 billion. During the same period in the prior year, the business earned $4.86 EPS. The firm’s quarterly revenue was up 1.0% on a year-over-year basis. Equities research analysts forecast that Costco Wholesale Co. will post 17.75 earnings per share for the current fiscal year.

Costco Wholesale Dividend Announcement

The company also recently disclosed a quarterly dividend, which will be paid on Friday, November 15th. Investors of record on Friday, November 1st will be given a dividend of $1.16 per share. This represents a $4.64 annualized dividend and a yield of 0.52%. The ex-dividend date of this dividend is Friday, November 1st. Costco Wholesale’s payout ratio is currently 28.00%.

Insider Buying and Selling at Costco Wholesale

In other news, EVP Pierre Riel sold 2,000 shares of the firm’s stock in a transaction that occurred on Tuesday, October 15th. The shares were sold at an average price of $896.71, for a total transaction of $1,793,420.00. Following the completion of the sale, the executive vice president now owns 10,210 shares in the company, valued at $9,155,409.10. This trade represents a 0.00 % decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. In other Costco Wholesale news, EVP Pierre Riel sold 2,000 shares of the company’s stock in a transaction dated Tuesday, October 15th. The shares were sold at an average price of $896.71, for a total value of $1,793,420.00. Following the transaction, the executive vice president now owns 10,210 shares of the company’s stock, valued at $9,155,409.10. This represents a 0.00 % decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available through this link. Also, Director Susan L. Decker sold 620 shares of the stock in a transaction dated Thursday, August 15th. The stock was sold at an average price of $876.50, for a total transaction of $543,430.00. Following the transaction, the director now directly owns 11,775 shares of the company’s stock, valued at approximately $10,320,787.50. This trade represents a 0.00 % decrease in their position. The disclosure for this sale can be found here. Insiders have sold 12,636 shares of company stock worth $11,238,510 in the last ninety days. 0.18% of the stock is owned by insiders.

Institutional Inflows and Outflows

A number of large investors have recently added to or reduced their stakes in the company. Financial Connections Group Inc. boosted its stake in shares of Costco Wholesale by 557.1% in the second quarter. Financial Connections Group Inc. now owns 46 shares of the retailer’s stock valued at $39,000 after purchasing an additional 39 shares during the period. Bank & Trust Co acquired a new stake in Costco Wholesale during the 2nd quarter worth approximately $48,000. Ruedi Wealth Management Inc. boosted its position in Costco Wholesale by 73.5% in the 2nd quarter. Ruedi Wealth Management Inc. now owns 59 shares of the retailer’s stock valued at $50,000 after buying an additional 25 shares during the period. Summit Securities Group LLC purchased a new position in Costco Wholesale in the 2nd quarter valued at approximately $50,000. Finally, Fairway Wealth LLC grew its stake in shares of Costco Wholesale by 230.0% in the second quarter. Fairway Wealth LLC now owns 66 shares of the retailer’s stock worth $56,000 after acquiring an additional 46 shares in the last quarter. 68.48% of the stock is currently owned by institutional investors and hedge funds.

Costco Wholesale Company Profile

Costco Wholesale Corporation, together with its subsidiaries, engages in the operation of membership warehouses in the United States, Puerto Rico, Canada, Mexico, Japan, the United Kingdom, Korea, Australia, Taiwan, China, Spain, France, Iceland, New Zealand, and Sweden. The company offers branded and private-label products in a range of merchandise categories.