Costco Wholesale Corporation

NASDAQ Global Select
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Slightly Bullish +15

Costco Wholesale Corporation $COST Stock Holdings Cut by Wealthfront Advisers LLC - MarketBeat

AI-generated analysis

📉 Wealthfront Advisers LLC cut its COST position by 5.2% in Q2, selling 3,454 shares while retaining $58.7 million.

📈 Geode Capital Management increased its holdings by 0.3%, adding 26,690 shares to reach a total value of $8.9 billion.

📈 Morgan Stanley lifted its COST position by 1.1% in the fourth quarter, acquiring an additional 107,775 shares.

📈 Bank of America Corp DE boosted its holdings by 11.5% in Q1, purchasing 773,651 additional shares.

🚀 Corient Private Wealth LLC significantly increased its stake by 838.9% in Q4, adding over 5.4 million shares.

💰 Costco reported revenue of $70.53 billion for the quarter, beating analyst estimates of $70.12 billion.

📉 The company missed EPS expectations slightly, reporting $4.93 per share versus a consensus of $4.94.

🎯 Analysts maintain a 'Moderate Buy' consensus with an average price target of $1,059.53 for the stock.

🏗️ Costco opened its first warehouse in Celina, Texas, continuing its physical expansion strategy.

🍰 The retailer launched delivery services for customizable sheet cakes and party platters to boost engagement.

💵 Costco paid a quarterly dividend of $1.47 per share on August 7th with an annualized yield of 0.6%.

⚖️ The stock trades at a high valuation with a P/E ratio of 47.56 and is currently below its 200-day moving average.

🛡️ Costco continues to offer gasoline stations, pharmacy services, and insurance products as ancillary revenue streams.

⚖️ The company is contesting a class-action lawsuit regarding tariff duties while refunding certain duties.

📉 Director Kenneth D. Denman sold 885 shares of COST in a transaction valued at $847,343.

Bullish Signals
  • Geode Capital Management increased its holdings by 0.3% in Q4, adding 26,690 shares to reach a total value of $8.9 billion.
  • Morgan Stanley lifted its position by 1.1% in the fourth quarter, acquiring an additional 107,775 shares.
  • Bank of America Corp DE boosted its holdings by 11.5% in Q1, purchasing 773,651 additional shares.
  • Corient Private Wealth LLC significantly increased its stake by 838.9% in Q4, adding over 5.4 million shares.
  • Costco reported revenue of $70.53 billion for the quarter, beating analyst estimates of $70.12 billion.
  • Analysts maintain a 'Moderate Buy' consensus with an average price target of $1,059.53 for the stock.
  • Costco opened its first warehouse in Celina, Texas, continuing its physical expansion strategy.
  • The retailer launched delivery services for customizable sheet cakes and party platters to boost engagement.
  • Costco paid a quarterly dividend of $1.47 per share on August 7th with an annualized yield of 0.6%.
Risk Factors
  • Wealthfront Advisers LLC cut its COST position by 5.2% in Q2, selling 3,454 shares while retaining $58.7 million.
  • The company missed EPS expectations slightly, reporting $4.93 per share versus a consensus of $4.94.
  • The stock trades at a high valuation with a P/E ratio of 47.56 and is currently below its 200-day moving average.
  • Costco is contesting a class-action lawsuit regarding tariff duties while refunding certain duties.
Full Analysis
Wealthfront Advisers LLC reduced its position in Costco Wholesale Corporation (COST) by 5.2% during the second quarter, selling 3,454 shares and retaining approximately $58.7 million worth of stock. This move contrasts with significant accumulation by other major institutional investors, including Geode Capital Management, Morgan Stanley, Bank of America, and Corient Private Wealth, which all increased their holdings in COST during recent quarters. Analyst sentiment remains broadly positive for the retailer, with a consensus rating of 'Moderate Buy' and an average price target of $1,059.53. Recent analyst actions include Mizuho setting a $1,100 target, Deutsche Bank restating a buy with a $1,120 target, and UBS lifting its target to $1,275. However, Costco's latest quarterly earnings report showed it slightly missed EPS expectations of $4.94 while beating revenue estimates at $70.53 billion. The company continues to expand its physical footprint and service offerings, including opening a new warehouse in Celina, Texas, and launching delivery for customizable cakes and party platters. Costco also maintains a low valuation multiple relative to growth but trades at a high earnings multiple of 47.56x. The firm recently paid a quarterly dividend of $1.47 per share, contributing to an annualized yield of approximately 0.6%.