Ratings for Costco Wholesale (NASDAQ:COST) were provided by 15 analysts in the past three months, showcasing a mix of bullish and bearish perspectives.
The following table encapsulates their recent ratings, offering a glimpse into the evolving sentiments over the past 30 days and comparing them to the preceding months.
| Bullish | Somewhat Bullish | Indifferent | Somewhat Bearish | Bearish | |
|---|---|---|---|---|---|
| Total Ratings | 1 | 10 | 4 | 0 | 0 |
| Last 30D | 0 | 0 | 1 | 0 | 0 |
| 1M Ago | 1 | 6 | 3 | 0 | 0 |
| 2M Ago | 0 | 1 | 0 | 0 | 0 |
| 3M Ago | 0 | 3 | 0 | 0 | 0 |
In the assessment of 12-month price targets, analysts unveil insights for Costco Wholesale, presenting an average target of $1078.53, a high estimate of $1200.00, and a low estimate of $950.00. Highlighting a 1.08% decrease, the current average has fallen from the previous average price target of $1090.27.
Decoding Analyst Ratings: A Detailed Look
In examining recent analyst actions, we gain insights into how financial experts perceive Costco Wholesale. The following summary outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.
| Analyst | Analyst Firm | Action Taken | Rating | Current Price Target | Prior Price Target |
|---|---|---|---|---|---|
| David Belinger | Mizuho | Lowers | Neutral | $950.00 | $975.00 |
| Christopher Graja | Argus Research | Raises | Buy | $1200.00 | $1170.00 |
| Paul Lejuez | Citigroup | Lowers | Neutral | $990.00 | $1065.00 |
| Greg Melich | Evercore ISI Group | Lowers | Outperform | $1025.00 | $1060.00 |
| Rupesh Parikh | Oppenheimer | Maintains | Outperform | $1130.00 | $1130.00 |
| Scot Ciccarelli | Truist Securities | Lowers | Hold | $1033.00 | $1042.00 |
| Zhihan Ma | Bernstein | Raises | Outperform | $1140.00 | $1137.00 |
| Michael Baker | DA Davidson | Maintains | Neutral | $1000.00 | $1000.00 |
| Joseph Feldman | Telsey Advisory Group | Maintains | Outperform | $1100.00 | $1100.00 |
| Christopher Horvers | JP Morgan | Lowers | Overweight | $1050.00 | $1160.00 |
| Joseph Feldman | Telsey Advisory Group | Maintains | Outperform | $1100.00 | $1100.00 |
| Joseph Feldman | Telsey Advisory Group | Maintains | Outperform | $1100.00 | $1100.00 |
| Christopher Horvers | JP Morgan | Raises | Overweight | $1160.00 | $1115.00 |
| Joseph Feldman | Telsey Advisory Group | Maintains | Outperform | $1100.00 | $1100.00 |
| Joseph Feldman | Telsey Advisory Group | Maintains | Outperform | $1100.00 | $1100.00 |
Key Insights:
- Action Taken: Analysts frequently update their recommendations based on evolving market conditions and company performance. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their reaction to recent developments related to Costco Wholesale. This information provides a snapshot of how analysts perceive the current state of the company.
- Rating: Gaining insights, analysts provide qualitative assessments, ranging from 'Outperform' to 'Underperform'. These ratings reflect expectations for the relative performance of Costco Wholesale compared to the broader market.
- Price Targets: Gaining insights, analysts provide estimates for the future value of Costco Wholesale's stock. This comparison reveals trends in analysts' expectations over time.
Analyzing these analyst evaluations alongside relevant financial metrics can provide a comprehensive view of Costco Wholesale's market position. Stay informed and make data-driven decisions with the assistance of our Ratings Table.
Stay up to date on Costco Wholesale analyst ratings.
Discovering Costco Wholesale: A Closer Look
Costco operates a membership-based, no-frills retail model predicated on offering a select product assortment in bulk quantities at bargain prices. The firm avoids maintaining costly product displays by keeping inventory on pallets and limits distribution expenses by storing its inventory at point of sale in the warehouse. Given its frugal cost structure, the firm is able to price its merchandise below that of competing retailers, driving high sales volume per warehouse and generating strong profits on thin margins. Costco operates over 600 warehouses in the United States and has over 60% share in the domestic warehouse club industry. Internationally, Costco operates about 280 warehouses, primarily in Canada, Mexico, Japan, and the UK.
Costco Wholesale's Financial Performance
Market Capitalization Analysis: Above industry benchmarks, the company's market capitalization emphasizes a noteworthy size, indicative of a strong market presence.
Revenue Growth: Costco Wholesale displayed positive results in 3M. As of 31 August, 2025, the company achieved a solid revenue growth rate of approximately 36.31%. This indicates a notable increase in the company's top-line earnings. In comparison to its industry peers, the company stands out with a growth rate higher than the average among peers in the Consumer Staples sector.
Net Margin: The company's net margin is below industry benchmarks, signaling potential difficulties in achieving strong profitability. With a net margin of 3.03%, the company may need to address challenges in effective cost control.
Return on Equity (ROE): The company's ROE is a standout performer, exceeding industry averages. With an impressive ROE of 9.27%, the company showcases effective utilization of equity capital.
Return on Assets (ROA): Costco Wholesale's ROA excels beyond industry benchmarks, reaching 3.42%. This signifies efficient management of assets and strong financial health.
Debt Management: The company maintains a balanced debt approach with a debt-to-equity ratio below industry norms, standing at 0.28.
Analyst Ratings: Simplified
Within the domain of banking and financial systems, analysts specialize in reporting for specific stocks or defined sectors. Their work involves attending company conference calls and meetings, researching company financial statements, and communicating with insiders to publish "analyst ratings" for stocks. Analysts typically assess and rate each stock once per quarter.
Analysts may supplement their ratings with predictions for metrics like growth estimates, earnings, and revenue, offering investors a more comprehensive outlook. However, investors should be mindful that analysts, like any human, can have subjective perspectives influencing their forecasts.
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This article was generated by Benzinga's automated content engine and reviewed by an editor.
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