Costco Wholesale (NASDAQ:COST) Shares Up 1.7% – Here’s What Happened

Costco Wholesale Corporation (NASDAQ:COST) rose 1.7% during trading on Tuesday . The stock traded as high as $1,096.50 and last traded at $1,094.32. Approximately 2,610,586 shares were traded during trading, an increase of 25% from the average daily volume of 2,095,572 shares. The stock had previously closed at $1,076.47.

Key Headlines Impacting Costco Wholesale

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

• Positive Sentiment: Costco raised its quarterly dividend by 13% to $1.47 per share, marking 22 straight years of dividend increases and signaling confidence in cash flow. Where Will Costco Stock Be In 2028?
• Positive Sentiment: Analysts turned more constructive, with Oppenheimer reportedly lifting its price target to $1,160 ahead of Costco’s upcoming earnings report, adding to optimism around the stock. Costco (COST) Stock Gains as Analysts Raise Price Targets Before Quarterly Report
• Positive Sentiment: Recent sales trends remain strong, with April revenue growth and comp sales showing resilient consumer demand for Costco’s value-focused model, supporting the bullish case for the shares. Costco’s April Sales Reinforce Its Case as the Ultimate Defensive Stock
• Neutral Sentiment: Costco’s stock has been repeatedly setting new highs, reflecting strong momentum, while investors are also discussing whether the company will eventually split its shares; management has not signaled any split plans. Costco’s Stock Keeps Breaking the $1,000 Threshold — Don’t Expect a Stock Split
• Negative Sentiment: A federal jury verdict in a disability discrimination case introduces some legal overhang, though the financial impact appears limited relative to Costco’s overall scale. How Investors Are Reacting To Costco Wholesale (COST) Double‑Digit April Sales, Florida Expansion And Jury Verdict

Wall Street Analysts Forecast Growth

COST has been the subject of several recent analyst reports. Truist Financial raised their target price on Costco Wholesale from $926.00 to $977.00 and gave the stock a “hold” rating in a research note on Friday, March 6th. Weiss Ratings raised Costco Wholesale from a “hold (c+)” rating to a “buy (b-)” rating in a research note on Tuesday, March 17th. BMO Capital Markets raised their target price on Costco Wholesale from $1,175.00 to $1,315.00 and gave the stock an “outperform” rating in a research note on Friday, March 6th. Deutsche Bank Aktiengesellschaft raised their target price on Costco Wholesale from $1,104.00 to $1,106.00 and gave the stock a “buy” rating in a research note on Thursday, May 7th. Finally, Rothschild & Co Redburn raised their target price on Costco Wholesale from $890.00 to $1,000.00 and gave the stock a “neutral” rating in a research note on Tuesday, February 17th. Twenty-two analysts have rated the stock with a Buy rating, eleven have given a Hold rating and one has issued a Sell rating to the company. According to data from MarketBeat.com, the stock currently has a consensus rating of “Moderate Buy” and an average price target of $1,049.27.

Costco Wholesale Trading Up 1.7%

The firm has a market cap of $485.50 billion, a P/E ratio of 56.91, a price-to-earnings-growth ratio of 5.16 and a beta of 0.92. The firm has a fifty day simple moving average of $1,002.78 and a 200-day simple moving average of $956.31. The company has a debt-to-equity ratio of 0.18, a current ratio of 1.06 and a quick ratio of 0.59.

Costco Wholesale (NASDAQ:COST) last issued its quarterly earnings data on Wednesday, March 11th. The retailer reported $4.58 EPS for the quarter, topping the consensus estimate of $4.55 by $0.03. The firm had revenue of $69.60 billion during the quarter, compared to the consensus estimate of $68.96 billion. Costco Wholesale had a return on equity of 28.57% and a net margin of 2.99%.The company’s quarterly revenue was up 9.2% compared to the same quarter last year. During the same period in the prior year, the business posted $4.02 earnings per share. On average, equities research analysts expect that Costco Wholesale Corporation will post 20.31 earnings per share for the current year.

Costco Wholesale Increases Dividend

The business also recently disclosed a quarterly dividend, which was paid on Friday, May 15th. Stockholders of record on Friday, May 1st were paid a $1.47 dividend. This represents a $5.88 annualized dividend and a dividend yield of 0.5%. This is a boost from Costco Wholesale’s previous quarterly dividend of $1.30. The ex-dividend date of this dividend was Friday, May 1st. Costco Wholesale’s dividend payout ratio (DPR) is currently 30.58%.

Insider Activity at Costco Wholesale

In other news, EVP Claudine Adamo sold 730 shares of the stock in a transaction that occurred on Monday, March 9th. The stock was sold at an average price of $1,003.02, for a total value of $732,204.60. Following the completion of the sale, the executive vice president directly owned 6,121 shares of the company’s stock, valued at $6,139,485.42. This represents a 10.66% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available through this hyperlink. 0.10% of the stock is currently owned by company insiders.

Institutional Trading of Costco Wholesale

Several institutional investors and hedge funds have recently modified their holdings of the stock. Diamant Asset Management Inc. increased its position in shares of Costco Wholesale by 99,278.0% during the first quarter. Diamant Asset Management Inc. now owns 6,726,899 shares of the retailer’s stock valued at $672,690,000 after acquiring an additional 6,720,130 shares during the last quarter. Norges Bank purchased a new stake in shares of Costco Wholesale during the fourth quarter valued at approximately $5,195,415,000. Corient Private Wealth LLC increased its position in shares of Costco Wholesale by 838.9% during the fourth quarter. Corient Private Wealth LLC now owns 6,125,405 shares of the retailer’s stock valued at $5,282,182,000 after acquiring an additional 5,472,968 shares during the last quarter. Cardano Risk Management B.V. increased its position in shares of Costco Wholesale by 907.1% during the fourth quarter. Cardano Risk Management B.V. now owns 1,785,080 shares of the retailer’s stock valued at $1,539,346,000 after acquiring an additional 1,607,833 shares during the last quarter. Finally, Assenagon Asset Management S.A. increased its position in shares of Costco Wholesale by 1,586.8% during the fourth quarter. Assenagon Asset Management S.A. now owns 1,137,436 shares of the retailer’s stock valued at $980,857,000 after acquiring an additional 1,070,005 shares during the last quarter. 68.48% of the stock is owned by hedge funds and other institutional investors.

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.