Costco Wholesale (NASDAQ:COST) Coverage Initiated at Goldman Sachs Group

Investment analysts at Goldman Sachs Group began coverage on shares of Costco Wholesale (NASDAQ:COST) in a report released on Thursday, MarketBeat reports. The firm set a “buy” rating and a $290.00 price target on the retailer’s stock. Goldman Sachs Group’s target price indicates a potential upside of 3.78% from the company’s current price.

Several other brokerages have also issued reports on COST. Robert W. Baird dropped their target price on shares of Waters from $211.00 to $209.00 and set a “neutral” rating for the company in a research report on Wednesday, April 24th. UBS Group reiterated a “hold” rating on shares of Bayerische Motoren Werke in a report on Friday, March 22nd. BidaskClub lowered shares of Xencor from a “sell” rating to a “strong sell” rating in a report on Tuesday, June 11th. Zacks Investment Research raised shares of HB Fuller from a “sell” rating to a “hold” rating in a research report on Tuesday, June 11th. Finally, Tigress Financial reissued a “buy” rating on shares of Costco Wholesale in a research report on Friday, June 28th. Seven equities research analysts have rated the stock with a hold rating and nineteen have assigned a buy rating to the company’s stock. Costco Wholesale has a consensus rating of “Buy” and an average price target of $259.39.

Costco Wholesale stock opened at $279.44 on Thursday. The company has a debt-to-equity ratio of 0.32, a current ratio of 0.98 and a quick ratio of 0.48. The firm has a fifty day simple moving average of $258.90. Costco Wholesale has a 1-year low of $189.51 and a 1-year high of $280.00. The company has a market capitalization of $119.37 billion, a price-to-earnings ratio of 40.91, a price-to-earnings-growth ratio of 3.81 and a beta of 0.94.

Costco Wholesale (NASDAQ:COST) last posted its earnings results on Thursday, May 30th. The retailer reported $1.89 earnings per share for the quarter, topping the consensus estimate of $1.83 by $0.06. The firm had revenue of $34.74 billion during the quarter, compared to the consensus estimate of $34.72 billion. Costco Wholesale had a net margin of 2.41% and a return on equity of 25.03%. The company’s revenue was up 7.4% on a year-over-year basis. During the same quarter last year, the company earned $1.70 earnings per share. As a group, sell-side analysts forecast that Costco Wholesale will post 8.04 earnings per share for the current fiscal year.

Costco Wholesale declared that its board has authorized a share repurchase program on Friday, April 26th that allows the company to buyback $4.00 billion in shares. This buyback authorization allows the retailer to purchase up to 3.8% of its stock through open market purchases. Stock buyback programs are often an indication that the company’s management believes its stock is undervalued.

In related news, insider James C. Klauer sold 5,000 shares of the firm’s stock in a transaction that occurred on Friday, June 7th. The stock was sold at an average price of $255.53, for a total transaction of $1,277,650.00. Following the transaction, the insider now owns 48,310 shares in the company, valued at approximately $12,344,654.30. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. Also, Director Susan L. Decker sold 1,646 shares of the firm’s stock in a transaction that occurred on Wednesday, July 3rd. The stock was sold at an average price of $268.25, for a total value of $441,539.50. Following the transaction, the director now owns 41,803 shares in the company, valued at approximately $11,213,654.75. The disclosure for this sale can be found here. In the last three months, insiders have sold 28,136 shares of company stock worth $7,380,374. 0.21% of the stock is owned by corporate insiders.

Several hedge funds have recently made changes to their positions in the business. BlackRock Inc. raised its stake in shares of Costco Wholesale by 2.6% in the fourth quarter. BlackRock Inc. now owns 28,778,155 shares of the retailer’s stock valued at $5,862,398,000 after acquiring an additional 736,711 shares during the last quarter. GenTrust LLC grew its holdings in Costco Wholesale by 9.7% during the 4th quarter. GenTrust LLC now owns 1,129 shares of the retailer’s stock worth $229,000 after acquiring an additional 100 shares during the period. Hallmark Capital Management Inc. grew its holdings in Costco Wholesale by 34.3% during the 4th quarter. Hallmark Capital Management Inc. now owns 1,565 shares of the retailer’s stock worth $319,000 after acquiring an additional 400 shares during the period. Massachusetts Financial Services Co. MA grew its holdings in Costco Wholesale by 4.5% during the 4th quarter. Massachusetts Financial Services Co. MA now owns 2,756,586 shares of the retailer’s stock worth $561,543,000 after acquiring an additional 117,887 shares during the period. Finally, AdvisorNet Financial Inc grew its holdings in shares of Costco Wholesale by 4.0% in the 4th quarter. AdvisorNet Financial Inc now owns 11,810 shares of the retailer’s stock valued at $2,406,000 after buying an additional 457 shares during the period. Institutional investors own 71.08% of the company’s stock.

Costco Wholesale Company Profile

Costco Wholesale Corporation, together with its subsidiaries, operates membership warehouses. It offers branded and private-label products in a range of merchandise categories. The company provides dry and packaged foods, and groceries; snack foods, candies, alcoholic and nonalcoholic beverages, and cleaning supplies; appliances, electronics, health and beauty aids, hardware, and garden and patio products; meat, bakery, deli, and produces; and apparel and small appliances.

Further Reading: Short Selling Stocks, A Beginner’s Guide

Analyst Recommendations for Costco Wholesale (NASDAQ:COST)

Receive News & Ratings for Costco Wholesale Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Costco Wholesale and related companies with MarketBeat.com's FREE daily email newsletter.