Allspring Global Investments Holdings LLC Increases Stake in Costco Wholesale

Allspring Global Investments Holdings LLC has increased its holdings in Costco Wholesale Co. (NASDAQ:COST – Free Report) by 9.8% during the third quarter, as reported by Holdings Channel. After purchasing an additional 9,933 shares, the firm now owns a total of 110,781 shares of the retailer. As per its latest filing with the Securities and Exchange Commission (SEC), Allspring's holdings in Costco are valued at $98,209,000.

Additionally, recent activity from other large investors shows a trend of buying and selling shares in Costco Wholesale. For instance, Redmont Wealth Advisors LLC obtained a new stake in Costco during the first quarter, valued at approximately $32,000. Similarly, Financial Connections Group Inc. significantly raised its stake by 557.1% in the second quarter and now owns 46 shares, worth about $39,000. Bank & Trust Co also acquired a new position in Costco valued at around $48,000.

Ruedi Wealth Management Inc. raised its position in the company by 73.5%, increasing its ownership to 59 shares, valued at $50,000 after acquiring 25 additional shares. Summit Securities Group LLC also entered the investment scene with a new stake valued at approximately $50,000. Presently, institutional investors control roughly 68.48% of Costco’s stock.

Recent Insider Activity at Costco

In terms of insider trading, Richard A. Galanti, the Executive Vice President of Costco, sold 500 shares of the company's stock on August 13th at an average price of $863.88, totaling $431,940. Following this transaction, he now directly holds 23,800 shares valued at around $20,560,344, marking a negligible decrease in ownership. This sale has been recorded in a public filing with the SEC.

Furthermore, Director Susan L. Decker sold 620 shares on August 15th, at an average price of $876.50, amounting to $543,430. After this trade, she holds 11,775 shares of Costco, valued at $10,320,787.50. In total, insiders have sold 11,224 shares of company stock valued at approximately $9,974,973 over the last ninety days. Insiders cumulatively possess about 0.18% of the company's stock.

Analysts’ Ratings Adjustments

A number of analysts have recently provided updates regarding Costco's stock. For instance, Morgan Stanley raised its price target on Costco shares from $855.00 to $950.00, assigning the stock an “overweight” rating in a report dated September 9th. Similarly, Bank of America increased its target price from $874.00 to $962.00, while also issuing a “buy” rating in mid-July.

Deutsche Bank also adjusted its price target for Costco from $925.00 to $927.00 in early August, assigning a “buy” rating as well. TD Cowen suggested a price objective increase from $925.00 to $975.00, maintaining a “buy” rating as of September 30th. BMO Capital Markets reaffirmed an “outperform” rating, adjusting the target to $980.00 from $950.00. Overall, among equities research analysts, ten have rated the stock as a hold, while eighteen have recommended a buy, leading to an average rating of “Moderate Buy” with a consensus price target of $890.07, according to MarketBeat.com.

Costco Wholesale Stock Performance

As of the recent market open, Costco shares were priced at $889.56. The company displays a quick ratio of 0.44, a current ratio of 0.97, and maintains a debt-to-equity ratio of 0.25. Costco’s stock has a market capitalization of $394.37 billion and a price-to-earnings ratio of 55.12, with a P/E/G ratio of 5.48. The stock has fluctuated between a 12-month low of $540.23 and a high of $923.83.

On September 26th, Costco released its earnings report, revealing an earnings per share (EPS) of $5.15 for the latest quarter, slightly surpassing the consensus estimate of $5.05. The company's return on equity was reported at 31.05% with a net margin of 2.90%. The revenue during this quarter was $79.70 billion, compared to forecasts of $79.91 billion, representing a year-over-year increase of 1.0%. Analysts estimate that Costco will achieve an EPS of 17.74 for the current fiscal year.

Costco's Upcoming Dividend Announcement

Moreover, Costco recently declared a quarterly dividend set to be paid on November 15th. Shareholders recorded as of November 1st will receive a dividend of $1.16 per share, translating to an annualized dividend of $4.64, yielding 0.52%. The ex-dividend date for this payout is also November 1. The current dividend payout ratio for Costco stands at 28.75%.

About Costco Wholesale

Costco Wholesale Corporation operates membership warehouses across various countries, including the United States, Puerto Rico, Canada, Mexico, Japan, the United Kingdom, Korea, Australia, Taiwan, China, Spain, France, Iceland, New Zealand, and Sweden. The company provides a diverse range of branded and private-label products across multiple merchandise categories.

investment, Costco, stocks