Lafayette Investments Inc. Trims Stock Position in Costco Wholesale Corporation $COST

Lafayette Investments Inc. cut its stake in Costco Wholesale Corporation (NASDAQ:COST) by 19.4% in the fourth quarter, Holdings Channel.com reports. The fund owned 4,892 shares of the retailer’s stock after selling 1,176 shares during the quarter. Lafayette Investments Inc.’s holdings in Costco Wholesale were worth $4,219,000 as of its most recent filing with the Securities and Exchange Commission (SEC).

A number of other institutional investors and hedge funds have also recently bought and sold shares of the stock. Optima Capital LLC increased its stake in Costco Wholesale by 0.9% in the third quarter. Optima Capital LLC now owns 1,192 shares of the retailer’s stock valued at $1,104,000 after purchasing an additional 11 shares during the period. Gratus Wealth Advisors LLC increased its stake in Costco Wholesale by 0.8% in the third quarter. Gratus Wealth Advisors LLC now owns 1,399 shares of the retailer’s stock valued at $1,295,000 after purchasing an additional 11 shares during the period. Cascade Investment Group Inc. increased its stake in Costco Wholesale by 1.0% in the third quarter. Cascade Investment Group Inc. now owns 1,151 shares of the retailer’s stock valued at $1,065,000 after purchasing an additional 11 shares during the period. Brown Wealth Management LLC increased its stake in Costco Wholesale by 3.7% in the third quarter. Brown Wealth Management LLC now owns 305 shares of the retailer’s stock valued at $282,000 after purchasing an additional 11 shares during the period. Finally, Caliber Wealth Management LLC KS increased its stake in Costco Wholesale by 1.7% in the third quarter. Caliber Wealth Management LLC KS now owns 655 shares of the retailer’s stock valued at $606,000 after purchasing an additional 11 shares during the period. 68.48% of the stock is owned by hedge funds and other institutional investors.

Insider Activity

In other news, EVP Claudine Adamo sold 730 shares of the business’s stock in a transaction dated Monday, March 9th. The shares were sold at an average price of $1,003.02, for a total transaction of $732,204.60. Following the transaction, the executive vice president directly owned 6,121 shares in the company, valued at $6,139,485.42. The trade was a 10.66% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available through this link. 0.10% of the stock is currently owned by company insiders.

Costco Wholesale Trading Down 0.9%

Shares of Costco Wholesale stock opened at $999.47 on Tuesday. Costco Wholesale Corporation has a 52-week low of $844.06 and a 52-week high of $1,067.08. The company has a quick ratio of 0.59, a current ratio of 1.06 and a debt-to-equity ratio of 0.18. The company’s 50-day simple moving average is $998.56 and its 200-day simple moving average is $952.44. The firm has a market cap of $443.41 billion, a price-to-earnings ratio of 51.97, a price-to-earnings-growth ratio of 4.97 and a beta of 0.92.

Costco Wholesale (NASDAQ:COST) last issued its quarterly earnings results on Wednesday, March 11th. The retailer reported $4.58 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $4.55 by $0.03. Costco Wholesale had a net margin of 2.99% and a return on equity of 28.57%. The business had revenue of $69.60 billion for the quarter, compared to analyst estimates of $68.96 billion. During the same period in the previous year, the business posted $4.02 earnings per share. The business’s revenue was up 9.2% compared to the same quarter last year. As a group, equities research analysts anticipate that Costco Wholesale Corporation will post 20.32 earnings per share for the current year.

Costco Wholesale Increases Dividend

The company also recently declared a quarterly dividend, which will be paid on Friday, May 15th. Stockholders of record on Friday, May 1st will be paid a dividend of $1.47 per share. This represents a $5.88 dividend on an annualized basis and a dividend yield of 0.6%. This is a positive change from Costco Wholesale’s previous quarterly dividend of $1.30. The ex-dividend date is Friday, May 1st. Costco Wholesale’s dividend payout ratio (DPR) is presently 30.58%.

Trending Headlines about Costco Wholesale

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

• Positive Sentiment: Costco reported April comparable sales up 11.6% and net sales up 13%, with digitally enabled comps jumping 18.8%, reinforcing confidence in the company’s membership and omnichannel model. Article Title
• Positive Sentiment: Analysts are pointing to Costco’s e-commerce gains as a potential driver of a higher valuation, suggesting the online business could support longer-term upside. Article Title
• Positive Sentiment: Costco is also benefiting from consumer demand for value, with higher gas prices and price-sensitive shopping helping fuel traffic and sales at warehouse clubs. Article Title
• Positive Sentiment: New member-value initiatives, including added food court protein options and more digital redemption of perks, may help reinforce loyalty and keep shoppers engaged with the Costco ecosystem. Article Title
• Neutral Sentiment: One article noted Costco shares are now above the psychologically important $1,000 mark, which may invite profit-taking or renewed debate over whether the stock is stretched after its run-up. Article Title
• Neutral Sentiment: Costco’s short-interest update appears to show no meaningful change, so it does not seem to be a major driver of the stock today. Article Title
• Negative Sentiment: The tariff-refund lawsuit could weigh on sentiment because it puts Costco’s member-value reputation and refund practices under legal scrutiny. Article Title
• Negative Sentiment: Some commentary also raises the “sell in May” question after the stock’s recent run, suggesting valuation and seasonality could cap near-term upside. Article Title

Wall Street Analysts Forecast Growth

A number of research analysts have commented on COST shares. JPMorgan Chase & Co. lifted their price objective on shares of Costco Wholesale from $1,060.00 to $1,110.00 and gave the company an “overweight” rating in a research note on Friday, April 17th. Daiwa Securities Group lifted their price objective on shares of Costco Wholesale from $917.00 to $975.00 and gave the company a “neutral” rating in a research note on Tuesday, March 10th. BTIG Research restated a “buy” rating and issued a $1,115.00 price objective on shares of Costco Wholesale in a research note on Thursday, March 5th. Wells Fargo & Company lifted their price objective on shares of Costco Wholesale from $950.00 to $1,000.00 and gave the company an “equal weight” rating in a research note on Thursday, April 9th. Finally, Robert W. Baird set a $1,100.00 price objective on shares of Costco Wholesale in a research note on Thursday, February 5th. Twenty-two equities research analysts have rated the stock with a Buy rating, eleven have given a Hold rating and one has given a Sell rating to the company’s stock. According to MarketBeat.com, the company has a consensus rating of “Moderate Buy” and a consensus price target of $1,046.03.

Costco Wholesale 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.