Costco Wholesale (NASDAQ:COST) Trading Down 1.4% – Should You Sell?

Costco Wholesale Co. (NASDAQ:COST)’s stock price was down 1.4% during mid-day trading on Wednesday . The stock traded as low as $916.50 and last traded at $917.48. Approximately 319,941 shares traded hands during mid-day trading, a decline of 83% from the average daily volume of 1,921,229 shares. The stock had previously closed at $930.15.

Wall Street Analyst Weigh In

A number of analysts recently commented on the company. BMO Capital Markets lifted their price objective on Costco Wholesale from $980.00 to $1,075.00 and gave the stock an “outperform” rating in a research report on Monday. Telsey Advisory Group reiterated an “outperform” rating and set a $1,000.00 price target on shares of Costco Wholesale in a report on Monday, November 4th. Truist Financial downgraded shares of Costco Wholesale from a “buy” rating to a “hold” rating and set a $873.00 price objective on the stock. in a research note on Tuesday, September 24th. Roth Mkm lifted their target price on shares of Costco Wholesale from $676.00 to $755.00 and gave the stock a “neutral” rating in a research note on Friday, September 27th. Finally, Morgan Stanley raised their price objective on Costco Wholesale from $855.00 to $950.00 and gave the stock an “overweight” rating in a report on Monday, September 9th. Ten investment analysts have rated the stock with a hold rating and eighteen have given a buy rating to the company’s stock. Based on data from MarketBeat.com, Costco Wholesale presently has an average rating of “Moderate Buy” and a consensus price target of $908.81.

Costco Wholesale Stock Performance

The company has a debt-to-equity ratio of 0.25, a quick ratio of 0.44 and a current ratio of 0.97. The company has a market capitalization of $409.85 billion, a PE ratio of 55.37, a PEG ratio of 5.60 and a beta of 0.80. The company has a 50 day moving average price of $898.80 and a 200 day moving average price of $862.25.

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

Costco Wholesale Announces Dividend

The firm also recently announced a quarterly dividend, which was paid on Friday, November 15th. Shareholders of record on Friday, November 1st were issued a dividend of $1.16 per share. The ex-dividend date was Friday, November 1st. This represents a $4.64 dividend on an annualized basis and a dividend yield of 0.50%. Costco Wholesale’s dividend payout ratio (DPR) is 28.00%.

Insider Activity

In related news, EVP Richard A. Galanti sold 1,416 shares of Costco Wholesale stock in a transaction dated Thursday, October 24th. The shares were sold at an average price of $894.68, for a total value of $1,266,866.88. Following the sale, the executive vice president now directly owns 27,400 shares in the company, valued at $24,514,232. This trade represents a 4.91 % decrease in their position. The sale was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, EVP Claudine Adamo sold 3,200 shares of the company’s stock in a transaction dated Monday, September 30th. The stock was sold at an average price of $888.99, for a total transaction of $2,844,768.00. Following the completion of the transaction, the executive vice president now owns 8,630 shares of the company’s stock, valued at approximately $7,671,983.70. This trade represents a 27.05 % decrease in their position. The disclosure for this sale can be found here. In the last three months, insiders sold 11,016 shares of company stock valued at $9,826,115. Company insiders own 0.18% of the company’s stock.

Institutional Investors Weigh In On Costco Wholesale

Several institutional investors have recently bought and sold shares of the stock. RPg Family Wealth Advisory LLC acquired a new position in shares of Costco Wholesale during the third quarter valued at approximately $29,000. Financial Connections Group Inc. increased its position in shares of Costco Wholesale by 557.1% during the 2nd 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 bought a new stake in shares of Costco Wholesale in the 2nd quarter worth $48,000. Ruedi Wealth Management Inc. lifted its holdings in shares of Costco Wholesale by 73.5% in the second 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. Finally, Summit Securities Group LLC bought a new position in Costco Wholesale during the second quarter valued at about $50,000. Institutional investors and hedge funds own 68.48% of the company’s stock.

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.