Clifford Swan Investment Counsel LLC Reduces Stake in Costco Wholesale Corporation $COST

Clifford Swan Investment Counsel LLC trimmed its stake in Costco Wholesale Corporation (NASDAQ:COST) by 2.1% in the third quarter, Holdings Channel reports. The firm owned 101,615 shares of the retailer’s stock after selling 2,164 shares during the quarter. Costco Wholesale comprises approximately 3.1% of Clifford Swan Investment Counsel LLC’s investment portfolio, making the stock its 5th biggest position. Clifford Swan Investment Counsel LLC’s holdings in Costco Wholesale were worth $94,058,000 at the end of the most recent reporting period.

Other institutional investors and hedge funds also recently made changes to their positions in the company. Vanguard Group Inc. raised its position in Costco Wholesale by 1.7% during the second quarter. Vanguard Group Inc. now owns 43,356,271 shares of the retailer’s stock worth $42,920,107,000 after acquiring an additional 711,560 shares in the last quarter. State Street Corp increased its stake in shares of Costco Wholesale by 0.5% during the 2nd quarter. State Street Corp now owns 18,325,416 shares of the retailer’s stock worth $18,141,062,000 after purchasing an additional 90,107 shares during the last quarter. Geode Capital Management LLC raised its holdings in shares of Costco Wholesale by 1.5% in the 2nd quarter. Geode Capital Management LLC now owns 10,275,056 shares of the retailer’s stock valued at $10,124,263,000 after purchasing an additional 150,844 shares during the period. Norges Bank acquired a new stake in Costco Wholesale in the 2nd quarter valued at about $5,692,035,000. Finally, Invesco Ltd. grew its holdings in Costco Wholesale by 9.8% during the second quarter. Invesco Ltd. now owns 4,291,557 shares of the retailer’s stock worth $4,248,384,000 after purchasing an additional 383,887 shares during the period. Institutional investors own 68.48% of the company’s stock.

Costco Wholesale News Roundup

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

• Positive Sentiment: Costco rolled out a new food-court menu item (double chocolate mint sundae / mint chocolate sundae) that has drawn strong shopper interest and social-media buzz—small-margin, high-traffic initiatives that can boost in-store visits and membership renewals. Costco launches new food court treat to rival McDonalds
• Positive Sentiment: Coverage notes Costco is adding more big brands and lowering prices on some items—reinforcing its value proposition and traffic-driving “treasure hunt” model that supports membership growth and same-store sales. Costco adds more big brands and lowers prices
• Positive Sentiment: Citi raised its price target for COST to $1,000 (from $990) while keeping a Neutral rating — a modest analyst upgrade that reflects recent same-store sales/earnings beats and supports the stock’s near-term valuation floor. Citi Raises Costco (COST) Price Target to $1,000 from $990
• Positive Sentiment: Costco continues expansion: a new warehouse is slated to open in Lawrence later this year, supporting long-term sales growth and membership penetration in that market. New Costco store set to open in Lawrence later this year
• Positive Sentiment: Product assortment expansion—Costco widened distribution of Levels Whey Protein across several regions—helping its health/wellness assortment and appealing to higher-margin grocery categories. Costco Expands Levels Whey Protein As Valuation And Membership Story Evolves
• Neutral Sentiment: Sector context: consumer staples and defensive funds have outperformed recently, which can support Costco as a defensive retail play but may already be priced into shares. Consumer Staples Are Up Almost 20% While the S&P 500 Struggles. Retirees Are Paying Attention.
• Neutral Sentiment: Short?interest report shows no meaningful change (reported 0 shares), so short activity is not driving today’s move.
• Negative Sentiment: Legal risk: Costco is facing multiple class?action lawsuits tied to its $4.99 rotisserie chicken pricing—potential reputational/legal expense risk that can pressure sentiment and media attention. Costco faces yet another lawsuit over its rotisserie chicken
• Negative Sentiment: Analyst/strategy worries: pieces flag macro/tariff risks and argue Costco’s valuation is rich — issues that can cap upside in a risk?off market. Costco: Macro/Tariff Risks Persist – Further Consolidation Likely
• Negative Sentiment: Valuation critique: commentary labeling Costco a “fantastic company” but questioning its current valuation can prompt profit?taking among investors who see limited upside from here. Costco: Fantastic Company, Unreasonable Valuation

Insider Buying and Selling at Costco Wholesale

In other news, Director Susan L. Decker sold 458 shares of the company’s stock in a transaction on Friday, January 16th. The stock was sold at an average price of $955.00, for a total transaction of $437,390.00. Following the completion of the sale, the director directly owned 8,532 shares in the company, valued at approximately $8,148,060. This represents a 5.09% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this hyperlink. Also, EVP Teresa A. Jones sold 850 shares of the firm’s stock in a transaction on Wednesday, January 21st. The stock was sold at an average price of $986.26, for a total value of $838,321.00. Following the completion of the transaction, the executive vice president owned 4,228 shares in the company, valued at $4,169,907.28. The trade was a 16.74% decrease in their position. The disclosure for this sale is available in the SEC filing. Insiders have sold a total of 6,915 shares of company stock valued at $6,317,097 over the last ninety days. 0.10% of the stock is owned by corporate insiders.

Costco Wholesale Stock Down 0.4%

COST opened at $994.76 on Thursday. The stock has a fifty day moving average of $942.47 and a 200-day moving average of $934.83. The company has a market capitalization of $441.54 billion, a P/E ratio of 53.28, a P/E/G ratio of 5.27 and a beta of 1.01. Costco Wholesale Corporation has a fifty-two week low of $844.06 and a fifty-two week high of $1,067.08. The company has a debt-to-equity ratio of 0.19, a quick ratio of 0.53 and a current ratio of 1.04.

Costco Wholesale (NASDAQ:COST) last released its quarterly earnings results on Thursday, December 11th. The retailer reported $4.34 EPS for the quarter, topping analysts’ consensus estimates of $4.27 by $0.07. The business had revenue of $67.31 billion for the quarter, compared to analyst estimates of $67.03 billion. Costco Wholesale had a net margin of 2.96% and a return on equity of 29.35%. Costco Wholesale’s revenue for the quarter was up 8.3% compared to the same quarter last year. During the same period last year, the firm earned $4.04 earnings per share. On average, equities analysts expect that Costco Wholesale Corporation will post 18.03 EPS for the current year.

Costco Wholesale Announces Dividend

The business also recently declared a quarterly dividend, which was paid on Friday, February 13th. Investors of record on Friday, January 30th were paid a $1.30 dividend. This represents a $5.20 annualized dividend and a dividend yield of 0.5%. The ex-dividend date was Friday, January 30th. Costco Wholesale’s payout ratio is 27.85%.

Analysts Set New Price Targets

COST has been the topic of several research analyst reports. Evercore upped their price objective on Costco Wholesale from $1,025.00 to $1,050.00 and gave the company an “outperform” rating in a research note on Tuesday, February 10th. UBS Group reissued a “buy” rating on shares of Costco Wholesale in a report on Friday, December 12th. BMO Capital Markets restated an “outperform” rating on shares of Costco Wholesale in a research note on Friday, December 12th. Citigroup reaffirmed a “neutral” rating on shares of Costco Wholesale in a research report on Friday, February 20th. Finally, Truist Financial decreased their price objective on shares of Costco Wholesale from $1,033.00 to $926.00 and set a “hold” rating on the stock in a report on Friday, December 12th. Twenty-one research analysts have rated the stock with a Buy rating, thirteen have given a Hold rating and one has given a Sell rating to the company. According to MarketBeat.com, the company currently has an average rating of “Moderate Buy” and an average price target of $1,008.07.

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.