Riverbridge Partners LLC Makes New Investment in Costco Wholesale Corporation $COST

Riverbridge Partners LLC purchased a new stake in Costco Wholesale Corporation (NASDAQ:COST) during the 1st quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission (SEC). The institutional investor purchased 1,767 shares of the retailer’s stock, valued at approximately $1,761,000.

A number of other institutional investors and hedge funds also recently modified their holdings of the stock. Richards Merrill & Peterson Inc. grew its holdings in shares of Costco Wholesale by 0.7% in the 1st quarter. Richards Merrill & Peterson Inc. now owns 12,763 shares of the retailer’s stock worth $12,718,000 after acquiring an additional 83 shares during the last quarter. Guyasuta Investment Advisors Inc. boosted its position in shares of Costco Wholesale by 1.1% in the 1st quarter. Guyasuta Investment Advisors Inc. now owns 2,377 shares of the retailer’s stock valued at $2,369,000 after purchasing an additional 25 shares during the period. New Covenant Trust Company N.A. boosted its position in shares of Costco Wholesale by 35.9% in the 1st quarter. New Covenant Trust Company N.A. now owns 439 shares of the retailer’s stock valued at $437,000 after purchasing an additional 116 shares during the period. Coerente Capital Management acquired a new position in shares of Costco Wholesale in the 1st quarter valued at $209,000. Finally, Amarillo National Bank purchased a new position in Costco Wholesale in the 1st quarter worth about $230,000. Institutional investors and hedge funds own 68.48% of the company’s stock.

Key Stories Impacting Costco Wholesale

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

• Positive Sentiment: Several analysts and market commentators remained constructive on Costco, highlighting its resilient membership model, digital gains, and global expansion as reasons it may outperform other retailers. Costco vs. Target: Which Discount Retailer Holds More Promise?
• Positive Sentiment: Costco also drew favorable valuation/upside coverage, with one report calling for about 10% upside and a path toward $1,000 per share, reinforcing the idea that the recent pullback may be an entry point. Costco Stock Price Prediction: A Path to $1,000 and Double-Digit Upside
• Positive Sentiment: News that Costco is opening two new locations this week, plus approval for another warehouse site, underscores continued store-count expansion and long-term growth potential. Costco is opening 2 new locations this week. See where ‘I can say it’s a Costco’ | engineer says as P&Z approves rezoning for wholesale warehouse
• Positive Sentiment: Coverage comparing Costco with Target emphasized that Costco’s quarterly sales are now more than double Target’s, with seasonal sales strength highlighting the power of its warehouse model. Target vs. Costco: What Their Revenue Trends Tell Investors
• Neutral Sentiment: Articles also framed Costco as a defensive stock that could hold up well during a market correction, which supports investor confidence but is not company-specific news. Costco, Exxon, and 17 More Winners if the Market Drops
• Neutral Sentiment: Recent commentary noted strong sales growth and high membership renewals, but also said the stock fell anyway, suggesting investors may be weighing valuation after a strong run. Costco Just Posted 12% Sales Growth and 92% Membership Renewals, and the Stock Fell Anyway. Is This the Buy-the-Dip Moment?
• Neutral Sentiment: Additional pieces about new products, store openings, and shopping trends mainly reinforce Costco’s brand strength and traffic drivers, but are less likely to move the stock on their own.

Analyst Upgrades and Downgrades

Several research firms have issued reports on COST. Daiwa Securities Group boosted their price objective on Costco Wholesale from $917.00 to $975.00 and gave the stock a “neutral” rating in a report on Tuesday, March 10th. Jefferies Financial Group reiterated a “buy” rating and issued a $1,050.00 target price on shares of Costco Wholesale in a report on Thursday, March 5th. Sanford C. Bernstein lifted their target price on shares of Costco Wholesale from $1,192.00 to $1,194.00 and gave the stock an “outperform” rating in a research report on Friday, May 29th. DA Davidson restated a “neutral” rating and set a $1,000.00 price target on shares of Costco Wholesale in a report on Thursday, June 4th. Finally, TD Cowen reaffirmed a “buy” rating and issued a $1,175.00 price objective on shares of Costco Wholesale in a research note on Wednesday, June 3rd. Twenty-two equities research analysts have rated the stock with a Buy rating, eleven have assigned a Hold rating and one has assigned 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 $1,061.45.

Costco Wholesale Stock Up 0.3%

Shares of Costco Wholesale stock opened at $960.78 on Thursday. Costco Wholesale Corporation has a 1 year low of $844.06 and a 1 year high of $1,096.50. The company has a market cap of $426.09 billion, a P/E ratio of 48.33, a P/E/G ratio of 4.64 and a beta of 0.88. The company has a current ratio of 1.07, a quick ratio of 0.61 and a debt-to-equity ratio of 0.17. The stock has a 50-day moving average price of $997.36 and a 200 day moving average price of $970.33.

Costco Wholesale (NASDAQ:COST) last released its earnings results on Thursday, May 28th. The retailer reported $4.93 earnings per share for the quarter, missing the consensus estimate of $4.94 by ($0.01). The business had revenue of $70.53 billion for the quarter, compared to analysts’ expectations of $70.12 billion. Costco Wholesale had a net margin of 3.01% and a return on equity of 28.04%. During the same period last year, the firm earned $4.28 EPS. As a group, analysts expect that Costco Wholesale Corporation will post 20.38 EPS for the current fiscal year.

Costco Wholesale Increases Dividend

The business also recently disclosed a quarterly dividend, which was paid on Friday, May 15th. Investors of record on Friday, May 1st were given a dividend of $1.47 per share. The ex-dividend date of this dividend was Friday, May 1st. This is a boost from Costco Wholesale’s previous quarterly dividend of $1.30. This represents a $5.88 dividend on an annualized basis and a yield of 0.6%. Costco Wholesale’s payout ratio is presently 29.58%.

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.