Costco Wholesale Corporation (NASDAQ:COST) Receives Consensus Rating of “Moderate Buy” from Brokerages

Costco Wholesale Corporation (NASDAQ:COST) has earned an average recommendation of “Moderate Buy” from the thirty-five analysts that are currently covering the company, Marketbeat Ratings reports. One equities research analyst has rated the stock with a sell recommendation, thirteen have issued a hold recommendation and twenty-one have issued a buy recommendation on the company. The average 1-year target price among brokers that have issued a report on the stock in the last year is $1,008.0741.

COST has been the topic of a number of analyst reports. Gordon Haskett lifted their price target on Costco Wholesale from $1,000.00 to $1,100.00 in a research note on Tuesday, February 3rd. UBS Group reaffirmed a “buy” rating on shares of Costco Wholesale in a research note on Friday, December 12th. JPMorgan Chase & Co. lifted their target price on shares of Costco Wholesale from $1,000.00 to $1,050.00 and gave the stock an “overweight” rating in a research report on Monday, February 9th. DA Davidson restated a “neutral” rating and issued a $1,000.00 price target on shares of Costco Wholesale in a research report on Thursday, February 5th. Finally, Roth Mkm reaffirmed a “sell” rating on shares of Costco Wholesale in a research note on Wednesday, February 4th.

Costco Wholesale Price Performance

NASDAQ COST opened at $985.27 on Monday. Costco Wholesale has a 1 year low of $844.06 and a 1 year high of $1,067.08. The business’s fifty day moving average is $934.56 and its two-hundred day moving average is $934.23. The stock has a market capitalization of $437.33 billion, a P/E ratio of 52.77, a P/E/G ratio of 5.20 and a beta of 1.01. The company has a debt-to-equity ratio of 0.19, a quick ratio of 0.53 and a current ratio of 1.04.

Costco Wholesale (NASDAQ:COST) last issued its earnings results on Thursday, December 11th. The retailer reported $4.34 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $4.27 by $0.07. The business had revenue of $67.31 billion for the quarter, compared to analysts’ expectations of $67.03 billion. Costco Wholesale had a return on equity of 29.35% and a net margin of 2.96%.The company’s quarterly revenue was up 8.3% on a year-over-year basis. During the same period in the previous year, the firm posted $4.04 EPS. On average, research analysts forecast that Costco Wholesale will post 18.03 earnings per share for the current fiscal year.

Costco Wholesale Announces Dividend

The firm also recently declared a quarterly dividend, which was paid on Friday, February 13th. Stockholders of record on Friday, January 30th were issued a dividend of $1.30 per share. The ex-dividend date was Friday, January 30th. This represents a $5.20 dividend on an annualized basis and a dividend yield of 0.5%. Costco Wholesale’s payout ratio is currently 27.85%.

Insider Activity

In other news, EVP Javier Polit sold 2,049 shares of the company’s stock in a transaction dated Monday, December 29th. The stock was sold at an average price of $867.21, for a total value of $1,776,913.29. Following the transaction, the executive vice president owned 10,748 shares in the company, valued at $9,320,773.08. This represents a 16.01% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. Also, EVP Teresa A. Jones sold 850 shares of the stock in a transaction that occurred on Wednesday, January 21st. The stock was sold at an average price of $986.26, for a total transaction of $838,321.00. Following the completion of the sale, the executive vice president directly owned 4,228 shares of the company’s stock, valued at $4,169,907.28. This trade represents a 16.74% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders sold 6,915 shares of company stock valued at $6,317,097 in the last ninety days. Corporate insiders own 0.10% of the company’s stock.

Institutional Inflows and Outflows

Several large investors have recently added to or reduced their stakes in COST. Soundwatch Capital LLC lifted its holdings in Costco Wholesale by 635.7% in the 2nd quarter. Soundwatch Capital LLC now owns 2,553 shares of the retailer’s stock worth $25,000 after purchasing an additional 2,206 shares during the last quarter. Mcguire Capital Advisors Inc. acquired a new position in Costco Wholesale during the fourth quarter valued at approximately $28,000. LFA Lugano Financial Advisors SA bought a new position in shares of Costco Wholesale in the second quarter valued at approximately $31,000. Hurley Capital LLC lifted its stake in shares of Costco Wholesale by 120.0% in the third quarter. Hurley Capital LLC now owns 33 shares of the retailer’s stock worth $31,000 after buying an additional 18 shares during the last quarter. Finally, Entrust Financial LLC acquired a new stake in shares of Costco Wholesale in the fourth quarter worth $31,000. Institutional investors and hedge funds own 68.48% of the company’s stock.

Trending Headlines about Costco Wholesale

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

• Positive Sentiment: Supreme Court tariff ruling could benefit Costco financially and reputationally—companies that filed early suits, including Costco, may have an edge collecting refunds and avoiding passed‑on tariffs, which supports margins and customer PR. Fortune: With Trump’s tariffs deemed illegal by the Supreme Court, Costco stands to win big
• Positive Sentiment: Analyst and sell‑side attention is bullish: Rothschild & Co Redburn published a note forecasting strong price appreciation for COST, which can attract buyers and support sentiment. American Banking News: Rothschild & Co Redburn Forecasts Strong Price Appreciation for Costco
• Positive Sentiment: High‑visibility brand moves: a limited Nike partnership generated buzz and social resale demand, boosting marketing momentum and potential traffic to warehouses. Motley Fool: Why Nike Partnering with Costco Is Actually a Genius Move
• Neutral Sentiment: Options flow and trading ideas: some outlets are promoting short‑term bullish option strategies on COST, indicating retail and options traders are active but not changing fundamentals. Investors Business Daily: Bull Put Spread Idea
• Neutral Sentiment: Short‑interest notices in the feed show large increases but report zero shares and 0.0 days (likely a data/reporting error); not meaningful for immediate positioning.
• Negative Sentiment: Food‑safety litigation: a class‑action lawsuit alleges Costco’s rotisserie chicken poses a salmonella risk—legal exposure and reputational damage could pressure sales in affected categories. MyNorthwest: Class-action lawsuit alleges Costco’s rotisserie chicken poses salmonella risk
• Negative Sentiment: Operational/headline hits: Costco is issuing refunds and recalling certain gift cards after a program closure, and it dropped an Asheville store proposal citing cost/requirements—both are modest near‑term costs and may dent local expansion sentiment. Yahoo: Costco drops Asheville proposal due to requirements, costs Yahoo: Costco Is Recalling Gift Cards Issued for Hundreds of Restaurants

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.