Allspring Global Investments Increases Stake in Costco Wholesale

Allspring Global Investments Holdings LLC has increased its stake in Costco Wholesale Co. (NASDAQ:COST) by 9.8% during the third quarter, according to the latest report from Holdings Channel. After acquiring an additional 9,933 shares, Allspring now holds a total of 110,781 shares of Costco. The total value of Allspring's investment in Costco Wholesale is approximately $98,209,000 based on their most recent filing with the Securities and Exchange Commission.

Additionally, several other institutional investors have also made changes to their positions in Costco Wholesale recently. For instance, Redmont Wealth Advisors LLC established a new stake in Costco during the first quarter, valued at about $32,000. Furthermore, Financial Connections Group Inc. increased their holdings by an impressive 557.1% during the second quarter, bringing their total to 46 shares, valued at $39,000 after acquiring 39 more shares. Likewise, Bank & Trust Co. also entered a new stake in the company valued around $48,000.

Increased Positions by Other Investors

Ruedi Wealth Management Inc. raised their position in Costco by 73.5% during the second quarter and now owns 59 shares, valued at $50,000 after buying 25 additional shares. Another firm, Summit Securities Group LLC, also acquired a new position equal to approximately $50,000 during the same period. Currently, institutional investors control 68.48% of Costco’s stock.

Recent Insider Transactions

In related news, there have been some notable insider trades at Costco Wholesale. Executive Vice President Richard A. Galanti sold 500 shares of the company on August 13, with an average selling price of $863.88, totaling $431,940. After this transaction, he owns 23,800 shares valued at around $20,560,344. This represented no change in his percentage ownership. Additionally, Director Susan L. Decker sold 620 shares at an average price of $876.50 on August 15, resulting in a total sale value of $543,430. After the sale, Decker owns 11,775 shares valued at $10,320,787.50, similarly reflecting no change in ownership percentage. Over the last ninety days, insiders sold 11,224 shares worth about $9,974,973. Insiders currently hold around 0.18% of the company’s total stock.

Analyst Ratings

Various analysts have provided updated ratings for Costco Wholesale in recent weeks. Morgan Stanley increased their price target from $855.00 to $950.00 and assigned an “overweight” rating. Bank of America raised its target from $874.00 to $962.00, also giving it a “buy” rating. Additionally, Deutsche Bank adjusted its price target from $925.00 to $927.00 while maintaining a “buy” rating. TD Cowen has a price target of $975.00 after increasing it from $925.00, and BMO Capital Markets has reaffirmed an “outperform” rating with a new target of $980.00; up from $950.00. Overall, ten analysts recommend holding the stock, while eighteen suggest buying it, resulting in an average rating of “Moderate Buy” and an average price target of $890.07 according to MarketBeat.com.

Costco Stock Performance

On Monday, shares of Costco opened at $889.56. The company has a quick ratio of 0.44, a current ratio of 0.97, and a debt-to-equity ratio of 0.25. The 50-day moving average price is $889.26, and the two-hundred day moving average is $833.95. Costco Wholesale has a market capitalization of $394.37 billion, with a price-to-earnings ratio of 55.12 alongside a P/E/G ratio of 5.48. The stock has a 52-week range between $540.23 and $923.83.

Earnings Report and Forecast

Costco Wholesale recently announced its earnings results on September 26. The retailer posted earnings per share (EPS) of $5.15 for the quarter, which exceeded the consensus expectation of $5.05 by $0.10. Additionally, Costco recorded a return on equity of 31.05% and a net margin of 2.90%, with reported revenues of $79.70 billion, slightly lower than the expected $79.91 billion. This represents a year-over-year revenue growth of 1.0%. Analysts predict that Costco will report an EPS of 17.74 for the current fiscal year.

Dividend Announcement

The company has also announced a quarterly dividend of $1.16 per share, set to be paid on November 15 to investors on record as of November 1. This implies an annualized dividend of $4.64 and a dividend yield of 0.52%. The ex-dividend date is November 1, and Costco's current dividend payout ratio stands at 28.75%.

About Costco Wholesale

Costco Wholesale Corporation, through its various subsidiaries, operates membership warehouse clubs across multiple countries, including the United States, Puerto Rico, Canada, Mexico, Japan, and several countries in Europe and Asia. They offer a wide range of products, both branded and private label, across various merchandise categories.

investment, Costco, stocks