Costco Wholesale (NASDAQ:COST) Earns “Neutral” Rating from DA Davidson

Costco Wholesale (NASDAQ:COST)‘s stock had its “neutral” rating reaffirmed by stock analysts at DA Davidson in a note issued to investors on Friday,Benzinga reports. They presently have a $1,000.00 price objective on the retailer’s stock. DA Davidson’s price target indicates a potential upside of 0.15% from the company’s previous close.

Several other research firms also recently issued reports on COST. Bank of America began coverage on shares of Costco Wholesale in a research note on Friday, February 27th. They set a “buy” rating and a $1,185.00 price target for the company. Telsey Advisory Group raised their price target on shares of Costco Wholesale from $1,125.00 to $1,135.00 and gave the company an “outperform” rating in a research note on Thursday. Jefferies Financial Group reaffirmed a “buy” rating and set a $1,050.00 price target on shares of Costco Wholesale in a research note on Thursday, March 5th. Oppenheimer raised their price target on shares of Costco Wholesale from $1,050.00 to $1,100.00 and gave the company an “outperform” rating in a research note on Thursday, February 5th. Finally, Guggenheim reaffirmed a “neutral” rating on shares of Costco Wholesale in a research note on Monday, December 22nd. Twenty-two equities research analysts have rated the stock with a Buy rating, eleven have issued a Hold rating and one has assigned a Sell rating to the company’s stock. According to MarketBeat, the stock currently has an average rating of “Moderate Buy” and an average target price of $1,043.13.

Costco Wholesale Price Performance

Shares of NASDAQ:COST opened at $998.47 on Friday. The company has a market cap of $442.97 billion, a price-to-earnings ratio of 51.92, a PEG ratio of 4.93 and a beta of 0.99. The company has a debt-to-equity ratio of 0.18, a current ratio of 1.06 and a quick ratio of 0.59. The firm has a 50 day simple moving average of $995.50 and a 200 day simple moving average of $942.88. Costco Wholesale has a one year low of $844.06 and a one year high of $1,067.08.

Costco Wholesale (NASDAQ:COST) last released its quarterly earnings results on Thursday, March 5th. The retailer reported $4.58 earnings per share (EPS) for the quarter, beating 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 net margin of 2.99% and a return on equity of 28.57%. The company’s revenue for the quarter was up 9.2% on a year-over-year basis. During the same quarter last year, the firm earned $4.02 earnings per share. Research analysts predict that Costco Wholesale will post 18.03 earnings per share for the current fiscal year.

Insider Activity

In related news, Director Susan L. Decker sold 458 shares of Costco Wholesale stock in a transaction on Friday, January 16th. The shares were sold at an average price of $955.00, for a total transaction of $437,390.00. Following the completion of the transaction, the director owned 8,532 shares of the company’s stock, valued at $8,148,060. This trade represents a 5.09% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available at the SEC website. Also, EVP James C. Klauer sold 1,500 shares of Costco Wholesale stock in a transaction on Wednesday, January 14th. The shares were sold at an average price of $939.00, for a total transaction of $1,408,500.00. Following the completion of the sale, the executive vice president directly owned 44,837 shares of the company’s stock, valued at approximately $42,101,943. This trade represents a 3.24% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold 3,538 shares of company stock worth $3,416,416 over the last ninety days. Corporate insiders own 0.10% of the company’s stock.

Institutional Investors Weigh In On Costco Wholesale

Several hedge funds and other institutional investors have recently bought and sold shares of COST. Gunpowder Capital Management LLC dba Oliver Wealth Management acquired a new position in shares of Costco Wholesale during the fourth quarter valued at about $27,000. Lifetime Wealth Management P.C. acquired a new position in shares of Costco Wholesale during the fourth quarter valued at about $28,000. Mcguire Capital Advisors Inc. acquired a new position in shares of Costco Wholesale during the fourth quarter valued at about $28,000. Hurley Capital LLC grew its holdings in shares of Costco Wholesale by 120.0% during the third quarter. Hurley Capital LLC now owns 33 shares of the retailer’s stock valued at $31,000 after buying an additional 18 shares during the last quarter. Finally, Entrust Financial LLC acquired a new position in shares of Costco Wholesale during the fourth quarter valued at about $31,000. 68.48% of the stock is owned by institutional investors.

Costco Wholesale News Summary

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

• Positive Sentiment: March sales beat and traffic strength — Costco reported March net sales up ~11.3% to $28.41B with strong comps and digital growth, reinforcing momentum in membership, transactions and fuel-driven traffic. This is the main fundamental bullish catalyst supporting higher estimates for revenue and same-store sales. Article Title
• Positive Sentiment: Broker upgrades / price-target raises — Deutsche Bank, Telsey and Wells Fargo raised price targets (Deutsche to $1,104; Telsey to $1,135; Wells Fargo to $1,000), providing analyst support that can underpin upside in the shares. Article Title
• Positive Sentiment: High-profile media/catalyst mentions — Jim Cramer highlighted two operational catalysts (e.g., fuel pricing and other retailer advantages), and viral consumer interest in Costco’s one-ounce gold bars and popular product finds is boosting brand visibility and short-term revenue upside. Article Title
• Neutral Sentiment: DA Davidson reiterates Neutral at $1,000 — the firm reaffirmed a neutral view with a target essentially in line with the stock’s level, suggesting limited near-term upside from that shop. Article Title
• Neutral Sentiment: Media and retail write-ups continue to praise Costco’s long-term thesis — several outlets (The Motley Fool, Zacks, Yahoo lifestyle pieces) published favorable takes on Costco’s moat and product wins; these support sentiment but are longer‑term confirmation rather than immediate catalysts. Article Title
• Neutral Sentiment: Short-interest data shows no meaningful build — reported short interest was effectively zero in the latest snapshot, so short-covering or squeeze dynamics are not a near-term driver. (likely data/formatting artifact)
• Negative Sentiment: Valuation concerns — several analysts and commentary (e.g., Seeking Alpha, some sell-side notes) argue Costco’s premium multiple (~50x) is hard to justify, which can cap upside and prompt profit-taking after the sales beat. Article Title
• Negative Sentiment: Macro / headline-driven risk — broader market weakness (S&P futures reacting to geopolitical headlines) likely weighed on retail and large-cap retailers today and may have triggered sector-wide selling pressure that offset Costco’s positive sales print. Article Title

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.