Costco Wholesale Corporation [NASDAQ: COST] jumped around 2.13 points on Tuesday, while shares priced at $381.92 at the close of the session, up 0.56%. The company report on November 17, 2020 that Costco Wholesale Corporation Declares Special Cash Dividend of $10 Per Share.
Costco Wholesale Corporation (“Costco” or the “Company”) (Nasdaq: COST) announced that its Board of Directors has declared a special cash dividend on Costco common stock of $10 per share, payable December 11, 2020, to shareholders of record as of the close of business on December 2, 2020. The aggregate payment will be approximately $4.4 billion. The special dividend will be funded through existing cash.
Richard Galanti, Executive Vice President and Chief Financial Officer, commented: “This special dividend, our fourth in eight years, is our latest step to reward shareholders. Our strong balance sheet allows us to pay this dividend, while preserving financial and operational flexibility to continue to grow our business globally. Costco will continue to be in a financial position to take care of our employees, enhance the value of the Costco membership, and create shareholder value over the long term.”.
Costco Wholesale Corporation stock is now 29.94% up from its year-to-date (YTD) trading value. COST Stock saw the intraday high of $388.48 and lowest of $381.79 per share. The company’s 52-week high price is 389.50, which means current price is +40.78% above from all time high which was touched on 11/09/20.
Compared to the average trading volume of 2.21M shares, COST reached a trading volume of 3292252 in the most recent trading day, which is why market watchdogs consider the stock to be active.
What do top market gurus say about Costco Wholesale Corporation [COST]?
Based on careful and fact-backed analyses by Wall Street experts, the current consensus on the target price for COST shares is $372.68 per share. Analysis on target price and performance of stocks is usually carefully studied by market experts, and the current Wall Street consensus on COST stock is a recommendation set at 2.20. This rating represents a strong Buy recommendation, on the scale from 1 to 5, where 5 would mean strong sell, 4 represents Sell, 3 is Hold, and 2 indicates Buy.
Telsey Advisory Group have made an estimate for Costco Wholesale Corporation shares, keeping their opinion on the stock as Outperform, with their previous recommendation back on November 17, 2020. While these analysts kept the previous recommendation, Jefferies raised their target price from $321 to $435. The new note on the price target was released on October 16, 2020, representing the official price target for Costco Wholesale Corporation stock. Previously, the target price had yet another raise to $400, while Barclays analysts kept a Overweight rating on COST stock. On September 25, 2020, analysts increased their price target for COST shares from 385 to 390.
The Average True Range (ATR) for Costco Wholesale Corporation is set at 8.04, with the Price to Sales ratio for COST stock in the period of the last 12 months amounting to 1.00. The Price to Book ratio for the last quarter was 9.25, with the Price to Cash per share for the same quarter was set at 30.41. Price to Free Cash Flow for COST in the course of the last twelve months was 36.55 with Quick ratio for the last quarter at 0.60.
How has COST stock performed recently?
Costco Wholesale Corporation [COST] gain into the green zone at the end of the last week, gaining into a positive trend and gaining by 4.17. With this latest performance, COST shares gained by 1.69% in over the last four-week period, additionally plugging by 25.26% over the last 6 months – not to mention a rise of 25.41% in the past year of trading.
Overbought and oversold stocks can be easily traced with the Relative Strength Index (RSI), where an RSI result of over 70 would be overbought, and any rate below 30 would indicate oversold conditions. An RSI rate of 50 would represent a neutral market momentum. The current RSI for COST stock in for the last two-week period is set at 60.30, with the RSI for the last a single of trading hit 60.76, and the three-weeks RSI is set at 58.89 for Costco Wholesale Corporation [COST]. The present Moving Average for the last 50 days of trading for this stock 362.88, while it was recorded at 377.84 for the last single week of trading, and 325.80 for the last 200 days.
Costco Wholesale Corporation [COST]: Deeper insight into the fundamentals
Operating Margin for any stock indicates how profitable investing would be, and Costco Wholesale Corporation [COST] shares currently have an operating margin of +3.64 and a Gross Margin at +13.15. Costco Wholesale Corporation’s Net Margin is presently recorded at +2.40.
Return on Total Capital for COST is now 23.10, given the latest momentum, and Return on Invested Capital for the company is 16.08. Return on Equity for this stock inclined to 23.87, with Return on Assets sitting at 7.93. When it comes to the capital structure of this company, Costco Wholesale Corporation [COST] has a Total Debt to Total Equity ratio set at 60.63. Additionally, COST Total Debt to Total Capital is recorded at 37.75, with Total Debt to Total Assets ending up at 19.95. Long-Term Debt to Equity for the company is recorded at 58.68, with the Long-Term Debt to Total Capital now at 36.53.
Reflecting on the efficiency of the workforce at the company, Costco Wholesale Corporation [COST] managed to generate an average of $14,659 per employee. Receivables Turnover for the company is 108.11 with a Total Asset Turnover recorded at a value of 3.30.Costco Wholesale Corporation’s liquidity data is similarly interesting compelling, with a Quick Ratio of 0.60 and a Current Ratio set at 1.10.
Earnings analysis for Costco Wholesale Corporation [COST]
With the latest financial reports released by the company, Costco Wholesale Corporation posted 1.73/share EPS, while the average EPS was predicted by analysts to be reported at 1.71/share. When compared, the two values demonstrate that the company surpassed the estimates by a Surprise Factor of 1.20%. The progress of the company may be observed through the prism of EPS growth rate, while Wall Street analysts are focusing on predicting the 5-year EPS growth rate for COST. When it comes to the mentioned value, analysts are expecting to see the 5-year EPS growth rate for Costco Wholesale Corporation go to 7.33%.
Insider trade positions for Costco Wholesale Corporation [COST]
There are presently around $116,118 million, or 71.10% of COST stock, in the hands of institutional investors. The top three institutional holders of COST stocks are: VANGUARD GROUP INC with ownership of 37,412,602, which is approximately -1.377% of the company’s market cap and around 0.20% of the total institutional ownership; BLACKROCK INC., holding 29,435,211 shares of the stock with an approximate value of $11.24 billion in COST stocks shares; and STATE STREET CORP, currently with $6.9 billion in COST stock with ownership of nearly -1.811% of the company’s market capitalization.
Positions in Costco Wholesale Corporation stocks held by institutional investors increased at the end of September and at the time of the September reporting period, where 1,055 institutional holders increased their position in Costco Wholesale Corporation [NASDAQ:COST] by around 12,668,210 shares. Additionally, 881 investors decreased positions by around 15,468,537 shares, while 294 investors held positions by with 275,901,806 shares. The mentioned changes placed institutional holdings at 304,038,553 shares, according to the latest SEC report filing. COST stock had 154 new institutional investments in for a total of 2,149,245 shares, while 74 institutional investors sold positions of 5,198,744 shares during the same period.