Costco Wholesale (NASDAQ:COST) Stock Price Up 1.2% Following Better-Than-Expected Earnings

Shares of Costco Wholesale Corporation (NASDAQ:COST) traded up 1.2% during mid-day trading on Thursday following a stronger than expected earnings report. The stock traded as high as $886.00 and last traded at $884.48. 2,898,939 shares changed hands during mid-day trading, an increase of 27% from the average session volume of 2,285,822 shares. The stock had previously closed at $874.41.

The retailer reported $4.34 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $4.27 by $0.07. Costco Wholesale had a return on equity of 30.16% and a net margin of 2.96%.The business had revenue of $67.31 billion for the quarter, compared to the consensus estimate of $67.03 billion. During the same quarter in the previous year, the business earned $4.04 earnings per share. Costco Wholesale’s quarterly revenue was up 8.3% on a year-over-year basis.

Costco Wholesale Dividend Announcement

The business also recently declared a quarterly dividend, which was paid on Friday, November 14th. Shareholders of record on Friday, October 31st were given a dividend of $1.30 per share. The ex-dividend date of this dividend was Friday, October 31st. This represents a $5.20 annualized dividend and a dividend yield of 0.6%. Costco Wholesale’s payout ratio is 28.56%.

Analyst Ratings Changes

COST has been the subject of several recent analyst reports. Hovde Group started coverage on Costco Wholesale in a report on Tuesday, November 18th. They issued a “market perform” rating and a $16.00 price objective for the company. Telsey Advisory Group reiterated an “outperform” rating and issued a $1,100.00 price target on shares of Costco Wholesale in a research note on Friday. Evercore ISI decreased their price objective on shares of Costco Wholesale from $1,060.00 to $1,025.00 and set an “outperform” rating for the company in a research report on Friday, September 26th. DA Davidson reaffirmed a “neutral” rating and issued a $1,000.00 target price on shares of Costco Wholesale in a report on Thursday, December 4th. Finally, Citigroup reduced their price target on Costco Wholesale from $1,065.00 to $990.00 and set a “neutral” rating for the company in a report on Monday, September 29th. Eighteen research analysts have rated the stock with a Buy rating and twelve have issued a Hold rating to the company’s stock. According to MarketBeat.com, Costco Wholesale currently has a consensus rating of “Moderate Buy” and a consensus price target of $998.70.

Insider Transactions at Costco Wholesale

In related news, EVP Russell D. Miller sold 3,381 shares of the business’s stock in a transaction on Monday, September 29th. The stock was sold at an average price of $915.00, for a total value of $3,093,615.00. Following the completion of the sale, the executive vice president directly owned 9,740 shares in the company, valued at $8,912,100. The trade was a 25.77% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available through the SEC website. Also, EVP Claudine Adamo sold 2,700 shares of the stock in a transaction on Friday, October 24th. The stock was sold at an average price of $935.68, for a total value of $2,526,336.00. Following the transaction, the executive vice president owned 6,851 shares in the company, valued at $6,410,343.68. The trade was a 28.27% decrease in their position. The disclosure for this sale is available in the SEC filing. In the last 90 days, insiders sold 9,720 shares of company stock valued at $9,010,257. 0.18% of the stock is currently owned by company insiders.

Institutional Trading of Costco Wholesale

Institutional investors have recently bought and sold shares of the business. Bulwark Capital Corp bought a new position in shares of Costco Wholesale in the second quarter worth $25,000. LFA Lugano Financial Advisors SA bought a new position in Costco Wholesale in the 2nd quarter valued at about $31,000. Hurley Capital LLC raised its position in shares of Costco Wholesale by 120.0% in the 3rd quarter. Hurley Capital LLC now owns 33 shares of the retailer’s stock valued at $31,000 after buying an additional 18 shares in the last quarter. Abich Financial Wealth Management LLC bought a new stake in shares of Costco Wholesale during the 3rd quarter worth approximately $34,000. Finally, Collier Financial acquired a new stake in shares of Costco Wholesale during the 3rd quarter worth approximately $35,000. Institutional investors own 68.48% of the company’s stock.

Costco Wholesale Price Performance

The firm has a market capitalization of $392.67 billion, a P/E ratio of 47.37, a PEG ratio of 6.00 and a beta of 1.00. The company has a quick ratio of 0.55, a current ratio of 1.03 and a debt-to-equity ratio of 0.20. The business’s 50 day moving average is $916.22 and its 200-day moving average is $951.10.

About Costco Wholesale

Costco Wholesale Corporation, together with its subsidiaries, engages in the operation of membership warehouses in the United States, Puerto Rico, Canada, Mexico, Japan, the United Kingdom, Korea, Australia, Taiwan, China, Spain, France, Iceland, New Zealand, and Sweden. The company offers branded and private-label products in a range of merchandise categories.