Pincus Capital Management LP Invests $3.31 Million in Costco Wholesale Corporation $COST

Pincus Capital Management LP acquired a new position in shares of Costco Wholesale Corporation (NASDAQ:COST) in the 4th quarter, according to its most recent filing with the Securities & Exchange Commission. The fund acquired 3,835 shares of the retailer’s stock, valued at approximately $3,307,000. Costco Wholesale accounts for about 2.2% of Pincus Capital Management LP’s holdings, making the stock its 12th largest holding.

Several other institutional investors and hedge funds have also made changes to their positions in the stock. Vanguard Group Inc. lifted its stake in shares of Costco Wholesale by 0.4% during the fourth quarter. Vanguard Group Inc. now owns 43,620,717 shares of the retailer’s stock worth $37,615,889,000 after buying an additional 165,349 shares during the period. Geode Capital Management LLC lifted its stake in shares of Costco Wholesale by 0.3% during the fourth quarter. Geode Capital Management LLC now owns 10,388,519 shares of the retailer’s stock worth $8,919,573,000 after buying an additional 26,690 shares during the period. Norges Bank acquired a new stake in shares of Costco Wholesale during the fourth quarter worth $5,195,415,000. Amundi lifted its stake in shares of Costco Wholesale by 45.0% during the third quarter. Amundi now owns 3,176,606 shares of the retailer’s stock worth $2,893,697,000 after buying an additional 986,182 shares during the period. Finally, Fisher Asset Management LLC raised its holdings in shares of Costco Wholesale by 1.0% during the fourth quarter. Fisher Asset Management LLC now owns 3,176,286 shares of the retailer’s stock worth $2,739,039,000 after purchasing an additional 31,045 shares during the last quarter. 68.48% of the stock is currently owned by institutional investors and hedge funds.

Wall Street Analyst Weigh In

COST has been the subject of several recent research reports. Wells Fargo & Company raised their target price on shares of Costco Wholesale from $950.00 to $1,000.00 and gave the stock an “equal weight” rating in a report on Thursday, April 9th. DA Davidson reissued a “neutral” rating and set a $1,000.00 target price on shares of Costco Wholesale in a report on Friday. Citigroup reissued a “neutral” rating on shares of Costco Wholesale in a report on Friday, February 20th. Guggenheim reissued a “neutral” rating on shares of Costco Wholesale in a report on Monday. Finally, Jefferies Financial Group reissued a “buy” rating and set a $1,050.00 target price on shares of Costco Wholesale in a report on Thursday, March 5th. Twenty-two investment 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 MarketBeat.com, the company currently has an average rating of “Moderate Buy” and a consensus target price of $1,056.32.

Key Costco Wholesale News

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

• Positive Sentiment: Analysts and bulls continue to point to Costco’s strong long-term drivers, including value-focused pricing, membership growth, solid traffic, and digital expansion, with Jefferies and DA Davidson both highlighting the company’s durable business model and reinforcing constructive outlooks. Costco’s value strategy, membership growth support outlook after strong quarter, says Jefferies
• Positive Sentiment: Costco’s fiscal Q3 showed continued sales strength, including 9.8% comparable sales growth and 12% revenue growth, while reports also noted record gas sales and strong protein-related demand, suggesting healthy consumer traffic and resilient basket sizes. Is Costco’s 9.8% Comparable Sales Growth Stronger Than It Looks?
• Positive Sentiment: Costco is benefiting from shifting consumer demand for protein-heavy foods and drinks, which could support category growth as GLP-1 usage and wellness trends boost protein spending. Costco is selling wild amounts of protein as whey shortages loom
• Neutral Sentiment: Several new-store and local development stories, including plans for a new Costco in Irondale and efforts to preserve a Kansas City location, are supportive of the growth narrative but are not immediate stock catalysts. New Costco coming to Irondale. Here’s what to know
• Negative Sentiment: The main reason the stock is falling is that investors appear unconvinced the strong operating results justify Costco’s premium valuation, especially after the shares slid to a three-month low following earnings. Costco (COST) Stock Drops 16% From Peak — Should You Buy the Dip?
• Negative Sentiment: Despite solid revenue growth, multiple articles note that the stock did not get a post-earnings boost, reflecting concern about slowing membership growth, margin sensitivity, and whether the recent pullback is enough to make the shares attractive. Why Even 12% Revenue Growth in Q3 Wasn’t Enough to Give Costco’s Stock a Boost

Costco Wholesale Stock Down 1.1%

COST opened at $946.11 on Tuesday. Costco Wholesale Corporation has a fifty-two week low of $844.06 and a fifty-two week high of $1,096.50. The company has a debt-to-equity ratio of 0.18, a quick ratio of 0.59 and a current ratio of 1.06. The company has a fifty day moving average of $1,007.23 and a two-hundred day moving average of $963.04. The stock has a market capitalization of $419.74 billion, a price-to-earnings ratio of 47.59, a PEG ratio of 4.70 and a beta of 0.88.

Costco Wholesale (NASDAQ:COST) last released its quarterly earnings data on Thursday, May 28th. The retailer reported $4.93 earnings per share for the quarter, missing analysts’ consensus estimates of $4.94 by ($0.01). Costco Wholesale had a net margin of 3.01% and a return on equity of 28.72%. The firm had revenue of $70.53 billion during the quarter, compared to analysts’ expectations of $70.12 billion. During the same period in the previous year, the firm posted $4.28 EPS. On average, research analysts expect that Costco Wholesale Corporation will post 20.36 earnings per share for the current year.

Costco Wholesale Increases Dividend

The business also recently announced a quarterly dividend, which was paid on Friday, May 15th. Stockholders of record on Friday, May 1st were paid a dividend of $1.47 per share. This is an increase from Costco Wholesale’s previous quarterly dividend of $1.30. This represents a $5.88 dividend on an annualized basis and a dividend yield of 0.6%. The ex-dividend date of this dividend was Friday, May 1st. Costco Wholesale’s dividend payout ratio is presently 30.58%.

Insider Activity at Costco Wholesale

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 completion of the sale, the executive vice president owned 6,121 shares of the company’s stock, valued at $6,139,485.42. The trade was a 10.66% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. 0.10% of the stock is owned by corporate insiders.

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.