Costco Wholesale Corporation $COST Position Reduced by HFR Wealth Management LLC

HFR Wealth Management LLC decreased its position in Costco Wholesale Corporation (NASDAQ:COST) by 3.2% during the third quarter, according to the company in its most recent disclosure with the SEC. The firm owned 17,276 shares of the retailer’s stock after selling 574 shares during the quarter. Costco Wholesale makes up 4.1% of HFR Wealth Management LLC’s portfolio, making the stock its 6th biggest holding. HFR Wealth Management LLC’s holdings in Costco Wholesale were worth $15,727,000 at the end of the most recent quarter.

Other institutional investors and hedge funds have also bought and sold shares of the company. Bank of America Corp DE bought a new stake in shares of Costco Wholesale during the 2nd quarter valued at about $6,781,946,000. State Street Corp lifted its stake in shares of Costco Wholesale by 31.7% in the 2nd quarter. State Street Corp now owns 23,901,594 shares of the retailer’s stock worth $22,359,224,000 after purchasing an additional 5,749,362 shares during the period. Legal & General Group Plc bought a new position in shares of Costco Wholesale in the 2nd quarter worth approximately $2,362,188,000. Ascentis Wealth Management LLC lifted its stake in shares of Costco Wholesale by 103,637.0% in the 2nd quarter. Ascentis Wealth Management LLC now owns 2,500,062 shares of the retailer’s stock worth $2,549,616,000 after purchasing an additional 2,497,652 shares during the period. Finally, Corient Private Wealth LP purchased a new position in shares of Costco Wholesale in the second quarter worth approximately $726,689,000. 68.48% of the stock is owned by hedge funds and other institutional investors.

Key Stories Impacting Costco Wholesale

Investors following COST have been watching these stories:

• Positive Sentiment: Costco declared a one-time $30-per-share special dividend, totaling about $13.3 billion and payable December 4, and authorized a new $4 billion share repurchase program. The capital returns are supporting investor demand and underscore the company’s cash-generation strength. Article: Costco’s Record $30 Dividend Shows Just How Strong Its Cash Machine Is
• Neutral Sentiment: Two executives, Teresa Jones and Sarah Catherine George, disclosed sales of 900 and 756 shares, respectively. Insider sales can attract attention, but the reports do not establish that the transactions reflect a change in business outlook. Article: Costco insider trades
• Negative Sentiment: Commentary cautions that Costco’s valuation is elevated, potentially limiting upside if growth or results fall short of high expectations. Article: Does Costco’s Special Dividend Offer Enough Reason to Buy the Stock?

Analyst Upgrades and Downgrades

A number of equities analysts recently issued reports on the stock. Bank of America dropped their price objective on shares of Costco Wholesale from $1,200.00 to $1,095.00 and set a “buy” rating on the stock in a report on Wednesday, September 16th. TD Cowen initiated coverage on shares of Costco Wholesale in a report on Friday, October 30th. They set a “strong-buy” rating for the company. JPMorgan Chase & Co. increased their price target on shares of Costco Wholesale from $1,015.00 to $1,150.00 and gave the stock an “overweight” rating in a research report on Thursday, November 5th. Robert W. Baird set a $1,175.00 price target on shares of Costco Wholesale in a research note on Friday, September 25th. Finally, Argus reiterated a “buy” rating and set a $1,230.00 price target on shares of Costco Wholesale in a research note on Monday, September 28th. One analyst has rated the stock with a Strong Buy rating, twenty-three have issued a Buy rating, nine have issued a Hold rating and one has issued a Sell rating to the company. According to data from MarketBeat.com, Costco Wholesale presently has a consensus rating of “Moderate Buy” and an average price target of $1,092.23.

Insider Activity

In other Costco Wholesale news, EVP William Richard Wilcox sold 1,100 shares of the stock in a transaction on Tuesday, October 13th. The stock was sold at an average price of $958.21, for a total value of $1,054,031.00. Following the completion of the sale, the executive vice president owned 3,094 shares in the company, valued at approximately $2,964,701.74. This represents a 26.23% decrease in their position. The sale was disclosed in a filing with the SEC, which is accessible through the SEC website. Also, EVP Teresa A. Jones sold 900 shares of the stock in a transaction on Wednesday, November 11th. The stock was sold at an average price of $1,083.95, for a total value of $975,555.00. Following the completion of the sale, the executive vice president owned 5,698 shares of the company’s stock, valued at $6,176,347.10. The trade was a 13.64% decrease in their position. The disclosure for this sale is available in the SEC filing. Over the last 90 days, insiders sold 4,956 shares of company stock worth $4,873,216. 0.10% of the stock is currently owned by corporate insiders.

Costco Wholesale Price Performance

Shares of COST traded up $14.00 during mid-day trading on Friday, reaching $1,106.21. The stock had a trading volume of 1,873,135 shares, compared to its average volume of 2,385,142. The firm has a market cap of $490.19 billion, a price-to-earnings ratio of 53.29, a PEG ratio of 4.82 and a beta of 0.85. Costco Wholesale Corporation has a 12 month low of $844.06 and a 12 month high of $1,109.50. The business has a fifty day moving average of $967.12 and a 200 day moving average of $975.13. The company has a debt-to-equity ratio of 0.11, a quick ratio of 0.62 and a current ratio of 1.06.

Costco Wholesale (NASDAQ:COST) last announced its quarterly earnings data on Thursday, September 24th. The retailer reported $6.75 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $6.54 by $0.21. The firm had revenue of $95.72 billion during the quarter, compared to analysts’ expectations of $94.97 billion. Costco Wholesale had a net margin of 3.04% and a return on equity of 27.60%. The company’s revenue for the quarter was up 11.1% compared to the same quarter last year. During the same period in the prior year, the company posted $5.87 earnings per share. Equities analysts predict that Costco Wholesale Corporation will post 22.70 EPS for the current year.

Costco Wholesale Announces Dividend

The company also recently announced a special dividend, which will be paid on Friday, December 4th. Investors of record on Tuesday, November 24th will be issued a $30.00 dividend. The ex-dividend date of this dividend is Tuesday, November 24th. Costco Wholesale’s dividend payout ratio is currently 28.32%.

About Costco Wholesale

Costco Wholesale Corporation operates membership-based warehouse clubs that offer a broad selection of merchandise at generally low prices. Its products include groceries, fresh foods, appliances, electronics, apparel, furniture, and household goods, as well as its Kirkland Signature private-label line. The company also provides services such as gasoline stations, pharmacies, optical and hearing-aid centers, food courts, and travel offerings. Costco serves members through warehouses and online channels.