Erste Group Bank Brokers Lift Earnings Estimates for COST

Costco Wholesale Corporation (NASDAQ:COST) – Research analysts at Erste Group Bank boosted their FY2026 earnings estimates for Costco Wholesale in a research report issued on Wednesday, July 15th. Erste Group Bank analyst H. Engel now expects that the retailer will post earnings per share of $20.52 for the year, up from their previous estimate of $20.49. The consensus estimate for Costco Wholesale’s current full-year earnings is $20.39 per share.

COST has been the subject of several other research reports. Telsey Advisory Group increased their target price 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, April 9th. Truist Financial boosted their price target on Costco Wholesale from $977.00 to $1,011.00 and gave the company a “hold” rating in a research note on Friday, May 29th. Royal Bank Of Canada started coverage on Costco Wholesale in a report on Monday. They issued a “sector perform” rating and a $1,000.00 price target for the company. Roth Capital raised their price objective on Costco Wholesale from $769.00 to $781.00 and gave the stock a “sell” rating in a research report on Friday, May 29th. Finally, Bank of America lifted their price objective on Costco Wholesale from $1,185.00 to $1,200.00 and gave the stock a “buy” rating in a report on Friday, May 29th. Twenty-two equities research analysts have rated the stock with a Buy rating, twelve have assigned a Hold rating and one has assigned a Sell rating to the company. According to MarketBeat, the stock currently has an average rating of “Moderate Buy” and an average target price of $1,059.07.

Costco Wholesale Stock Performance

NASDAQ COST opened at $940.87 on Friday. The company’s fifty day moving average is $975.73 and its two-hundred day moving average is $977.54. Costco Wholesale has a 52-week low of $844.06 and a 52-week high of $1,096.50. The company has a debt-to-equity ratio of 0.17, a current ratio of 1.07 and a quick ratio of 0.61. The firm has a market capitalization of $417.26 billion, a price-to-earnings ratio of 47.33, a P/E/G ratio of 4.58 and a beta of 0.88.

Costco Wholesale (NASDAQ:COST) last released its earnings results on Thursday, May 28th. The retailer reported $4.93 EPS for the quarter, missing the consensus estimate of $4.94 by ($0.01). Costco Wholesale had a net margin of 3.01% and a return on equity of 28.04%. The company had revenue of $70.53 billion for the quarter, compared to analyst estimates of $70.12 billion. During the same quarter in the previous year, the company earned $4.28 earnings per share.

Costco Wholesale Announces Dividend

The firm also recently declared a quarterly dividend, which will be paid on Friday, August 7th. Investors of record on Friday, July 24th will be given a $1.47 dividend. This represents a $5.88 annualized dividend and a yield of 0.6%. The ex-dividend date of this dividend is Friday, July 24th. Costco Wholesale’s dividend payout ratio is 29.58%.

Insider Buying and Selling

In other Costco Wholesale news, Director Kenneth D. Denman sold 885 shares of the firm’s stock in a transaction dated Tuesday, June 23rd. The shares were sold at an average price of $957.45, for a total transaction of $847,343.25. Following the completion of the transaction, the director owned 4,779 shares in the company, valued at $4,575,653.55. This trade represents a 15.62% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. 0.10% of the stock is currently owned by corporate insiders.

Hedge Funds Weigh In On Costco Wholesale

A number of hedge funds have recently modified their holdings of COST. Brighton Jones LLC grew its stake in Costco Wholesale by 12.3% during the fourth quarter. Brighton Jones LLC now owns 19,825 shares of the retailer’s stock worth $18,165,000 after buying an additional 2,172 shares during the last quarter. Revolve Wealth Partners LLC boosted its holdings in shares of Costco Wholesale by 13.1% in the 4th quarter. Revolve Wealth Partners LLC now owns 1,123 shares of the retailer’s stock worth $1,029,000 after acquiring an additional 130 shares in the last quarter. Sivia Capital Partners LLC boosted its holdings in shares of Costco Wholesale by 4.5% in the 2nd quarter. Sivia Capital Partners LLC now owns 3,853 shares of the retailer’s stock worth $3,814,000 after acquiring an additional 165 shares in the last quarter. Pinnacle Wealth Planning Services Inc. grew its position in Costco Wholesale by 1.1% during the 2nd quarter. Pinnacle Wealth Planning Services Inc. now owns 2,110 shares of the retailer’s stock worth $2,089,000 after acquiring an additional 23 shares during the last quarter. Finally, Schnieders Capital Management LLC. grew its position in Costco Wholesale by 2.2% during the 2nd quarter. Schnieders Capital Management LLC. now owns 8,502 shares of the retailer’s stock worth $8,416,000 after acquiring an additional 182 shares during the last quarter. 68.48% of the stock is owned by institutional investors and hedge funds.

Key Stories Impacting Costco Wholesale

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

• Positive Sentiment: Erste Group Bank raised its FY2026 EPS estimate for Costco to $20.52 from $20.49, slightly above the Street consensus of $20.38, suggesting analysts still see modest earnings upside. Earnings forecast boost article
• Positive Sentiment: Costco remains a favorite dividend name, with its next ex-dividend date set for July 24, which may attract income-focused investors ahead of the payout. Dividend article
• Neutral Sentiment: A profile of a longtime Costco cashier who became a millionaire highlights the company’s employee retention and compensation culture, but it is unlikely to materially affect near-term fundamentals. Employee profile article
• Neutral Sentiment: Several local news items about new warehouses, gas stations, and remodels point to ongoing store expansion and reinvestment, but they are not major stock-moving catalysts by themselves.
• Negative Sentiment: MarketBeat said Costco’s June sales showed cooling comparable sales and weak international results, keeping the stock in “neutral” territory despite its premium valuation. Cooling comp sales article
• Negative Sentiment: Additional commentary from Zacks and Yahoo Finance argued Costco shares still look expensive after a strong multi-year run, reinforcing valuation concerns that can weigh on the stock. Valuation debate article

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.