Costco Wholesale (NASDAQ:COST) Stock Rating Cut to “Hold” at Freedom Broker

Costco Wholesale (NASDAQ:COST) was downgraded by analysts at Freedom Broker from a “buy” rating to a “hold” rating in a note issued to investors on Tuesday, Marketbeat.com reports. They currently have a $1,050.00 price objective on the retailer’s stock, up from their previous price objective of $1,010.00. Freedom Broker‘s price objective suggests a potential downside of 1.65% from the company’s current price.

COST has been the topic of a number of other research reports. JPMorgan Chase & Co. increased their target price on Costco Wholesale from $1,015.00 to $1,150.00 and gave the stock an “overweight” rating in a report on Thursday, November 5th. Argus restated a “buy” rating and set a $1,230.00 price objective on shares of Costco Wholesale in a research note on Monday, September 28th. HSBC upgraded shares of Costco Wholesale to a “buy” rating in a research note on Friday, September 25th. BMO Capital Markets reissued an “outperform” rating on shares of Costco Wholesale in a report on Friday, September 25th. Finally, CICC Research began coverage on shares of Costco Wholesale in a research report on Wednesday, October 21st. They issued an “outperform” rating and a $1,050.00 price target on the stock. One equities research analyst has rated the stock with a Strong Buy rating, twenty-three have issued a Buy rating, nine have assigned a Hold rating and one has issued a Sell rating to the stock. According to MarketBeat, the stock presently has a consensus rating of “Moderate Buy” and an average target price of $1,091.84.

Costco Wholesale Stock Up 0.1%

NASDAQ COST traded up $1.49 during mid-day trading on Tuesday, reaching $1,067.67. 545,313 shares of the company’s stock traded hands, compared to its average volume of 2,206,281. The company has a market cap of $473.12 billion, a price-to-earnings ratio of 51.39, a P/E/G ratio of 4.47 and a beta of 0.85. The company has a current ratio of 1.06, a quick ratio of 0.62 and a debt-to-equity ratio of 0.11. The company has a fifty day simple moving average of $954.83 and a 200-day simple moving average of $972.91. Costco Wholesale has a 1-year low of $844.06 and a 1-year high of $1,096.50.

Costco Wholesale (NASDAQ:COST) last released its quarterly earnings results on Thursday, September 24th. The retailer reported $6.75 earnings per share for the quarter, topping analysts’ consensus estimates of $6.54 by $0.21. Costco Wholesale had a net margin of 3.04% and a return on equity of 27.60%. The business had revenue of $95.72 billion during the quarter, compared to the consensus estimate of $94.97 billion. During the same quarter last year, the company earned $5.87 earnings per share. The business’s quarterly revenue was up 11.1% compared to the same quarter last year. As a group, equities research analysts expect that Costco Wholesale will post 22.70 EPS for the current year.

Insider Buying and Selling at Costco Wholesale

In other Costco Wholesale news, EVP William Richard Wilcox sold 1,100 shares of the stock in a transaction on Tuesday, October 13th. The stock was sold at an average price of $958.21, for a total value of $1,054,031.00. Following the sale, the executive vice president directly owned 3,094 shares of the company’s stock, valued at $2,964,701.74. This trade represents a 26.23% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available at this link. Also, EVP Claudine Adamo sold 2,200 shares of the firm’s stock in a transaction on Tuesday, September 29th. The shares were sold at an average price of $915.93, for a total value of $2,015,046.00. Following the completion of the sale, the executive vice president owned 7,134 shares in the company, valued at $6,534,244.62. The trade was a 23.57% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. 0.10% of the stock is owned by company insiders.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently bought and sold shares of the company. State Street Corp boosted its position in shares of Costco Wholesale by 31.7% during the second quarter. State Street Corp now owns 23,901,594 shares of the retailer’s stock worth $22,359,224,000 after buying an additional 5,749,362 shares during the period. Bank of America Corp DE increased its position in Costco Wholesale by 11.5% in the 1st quarter. Bank of America Corp DE now owns 7,515,031 shares of the retailer’s stock valued at $7,488,203,000 after acquiring an additional 773,651 shares during the period. Fisher Asset Management LLC raised its stake in Costco Wholesale by 1.2% during the 3rd quarter. Fisher Asset Management LLC now owns 3,291,669 shares of the retailer’s stock valued at $2,996,538,000 after acquiring an additional 38,629 shares in the last quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC raised its stake in Costco Wholesale by 5.5% during the 2nd quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC now owns 3,068,312 shares of the retailer’s stock valued at $2,870,314,000 after acquiring an additional 160,893 shares in the last quarter. Finally, Amundi raised its stake in Costco Wholesale by 11.1% during the 1st quarter. Amundi now owns 2,839,016 shares of the retailer’s stock valued at $2,828,881,000 after acquiring an additional 283,360 shares in the last quarter. Institutional investors 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: Costco’s digital sales rose 22.5% in October, outpacing store comparable sales. The growth points to continued member engagement and traction from online shopping and delivery efforts. Costco’s Digital Sales Outpace Store Comps as Shopping Evolves
• Positive Sentiment: Costco reportedly overtook Kroger in a key grocery market-share ranking. Warehouse expansion, digital sales and partnerships are cited as factors drawing more food spending into Costco’s membership model. Costco just passed Kroger in a grocery ranking that matters
• Neutral Sentiment: A Bank of America analyst says members continued buying gas despite higher prices, suggesting resilient customer demand. The analyst also cautioned that this strength may already be reflected in COST’s valuation. Costco members are paying more for gas and filling up anyway
• Neutral Sentiment: Costco closed a 37-year-old California warehouse but opened a replacement nearby, suggesting a location transition rather than a broad pullback in its store network. Costco closes popular California store location after 37 years
• Negative Sentiment: Whipped cream sold at Costco was recalled over possible cleaning-chemical contamination. The report does not specify the recall’s scope, so the potential business impact is unclear. Whipped Cream Sold at Costco Recalled Over Possible Cleaning Chemical Contamination

About Costco Wholesale

Costco Wholesale Corporation operates membership-based warehouse clubs that offer a broad selection of merchandise at generally low prices. Its products include groceries, fresh foods, appliances, electronics, apparel, furniture, and household goods, as well as its Kirkland Signature private-label line. The company also provides services such as gasoline stations, pharmacies, optical and hearing-aid centers, food courts, and travel offerings. Costco serves members through warehouses and online channels.