GAMMA Investing LLC Grows Stock Position in Costco Wholesale Corporation $COST

GAMMA Investing LLC increased its stake in shares of Costco Wholesale Corporation (NASDAQ:COST) by 8.1% in the 2nd quarter, according to its most recent 13F filing with the Securities and Exchange Commission (SEC). The institutional investor owned 12,763 shares of the retailer’s stock after purchasing an additional 952 shares during the quarter. GAMMA Investing LLC’s holdings in Costco Wholesale were worth $11,940,000 at the end of the most recent quarter.

Several other large investors also recently bought and sold shares of the stock. World Investment Advisors increased its stake in Costco Wholesale by 8.4% in the fourth quarter. World Investment Advisors now owns 20,081 shares of the retailer’s stock valued at $15,835,000 after purchasing an additional 1,560 shares during the last quarter. Teacher Retirement System of Texas raised its holdings in Costco Wholesale by 24.5% during the fourth quarter. Teacher Retirement System of Texas now owns 140,429 shares of the retailer’s stock worth $121,098,000 after purchasing an additional 27,625 shares in the last quarter. Curtis Advisory Group LLC lifted its position in shares of Costco Wholesale by 56.7% during the 4th quarter. Curtis Advisory Group LLC now owns 4,535 shares of the retailer’s stock worth $3,911,000 after buying an additional 1,641 shares during the last quarter. Perryman Financial Advisory Inc. AD purchased a new stake in shares of Costco Wholesale during the 4th quarter worth approximately $9,300,000. Finally, Oak Ridge Investments LLC boosted its holdings in shares of Costco Wholesale by 7.3% in the 4th quarter. Oak Ridge Investments LLC now owns 22,117 shares of the retailer’s stock valued at $19,072,000 after buying an additional 1,496 shares in the last quarter. Hedge funds and other institutional investors own 68.48% of the company’s stock.

Wall Street Analyst Weigh In

COST has been the topic of a number of recent analyst reports. Bank of America increased their target price on shares of Costco Wholesale from $1,185.00 to $1,200.00 and gave the company a “buy” rating in a research report on Friday, May 29th. BTIG Research reissued a “buy” rating and issued a $1,125.00 price target on shares of Costco Wholesale in a research report on Friday, May 29th. Truist Financial upped their price objective on shares of Costco Wholesale from $977.00 to $1,011.00 and gave the company a “hold” rating in a research note on Friday, May 29th. JPMorgan Chase & Co. dropped their price objective on Costco Wholesale from $1,110.00 to $1,100.00 and set an “overweight” rating on the stock in a report on Thursday, July 9th. Finally, UBS Group lifted their target price on Costco Wholesale from $1,205.00 to $1,275.00 and gave the stock a “buy” rating in a research report on Wednesday, May 20th. Twenty-two equities research analysts have rated the stock with a Buy rating, eleven have assigned a Hold rating and one has given a Sell rating to the company. According to data from MarketBeat.com, the company has a consensus rating of “Moderate Buy” and a consensus price target of $1,059.07.

Costco Wholesale Stock Down 0.7%

COST stock opened at $947.85 on Wednesday. The company has a market cap of $420.35 billion, a price-to-earnings ratio of 47.68, a price-to-earnings-growth ratio of 4.61 and a beta of 0.87. The company has a fifty day moving average price of $952.84 and a 200 day moving average price of $982.44. 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 12 month low of $844.06 and a 12 month high of $1,096.50.

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

Costco Wholesale Announces Dividend

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

Key Headlines Impacting Costco Wholesale

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

• Positive Sentiment: Costco is expanding its store footprint with construction underway for a new location near Kuna and Meridian, Idaho. The opening could support future sales, membership growth and regional convenience. Costco construction underway near Kuna border
• Positive Sentiment: The company’s low gasoline prices are designed to attract shoppers and increase warehouse visits. Although fuel itself generates limited profit, the strategy can indirectly lift merchandise sales, memberships and overall customer retention. Costco keeps its gas super cheap for a very specific reason
• Positive Sentiment: Analysts highlighted a 92.2% U.S.-Canada renewal rate, growth in Executive memberships and improving digital retention. These trends reinforce Costco’s recurring-revenue model and suggest customer loyalty remains strong despite changes in membership mix. Costco’s Renewal Trends Point to Lasting Customer Loyalty
• Positive Sentiment: Reported changes aimed at resolving members’ biggest pain points could help Costco protect membership sales and retention, which are central to its profitability. Costco’s changes fix members’ biggest problems
• Neutral Sentiment: Positive attention around a frozen food item highlights Costco’s ability to generate value-oriented consumer engagement, but the product buzz is unlikely to materially affect near-term earnings. One of Costco’s best frozen items
• Negative Sentiment: Costco reportedly agreed to a $14 million settlement involving allegedly misleading “fake urgency” emails. The financial impact appears manageable for a company of Costco’s size, but the matter creates legal, compliance and reputational concerns. Costco’s $14M settlement over fake urgency emails

Insider Activity

In related news, Director Kenneth D. Denman sold 885 shares of the firm’s stock in a transaction dated Tuesday, June 23rd. The stock was sold at an average price of $957.45, for a total transaction of $847,343.25. Following the transaction, the director owned 4,779 shares of the company’s stock, valued at $4,575,653.55. This trade represents a 15.62% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available through this link. 0.10% of the stock is currently owned by corporate insiders.

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.