Roth Capital has downgraded Costco Wholesale Corp (COST) to a Sell rating from Neutral, reflecting heightened caution regarding the company's outlook. This decision, effective December 14, 2025, comes as Costco's stock trades at $860.56.
The downgrade suggests that analysts may be concerned about competitive pressures, market conditions, or execution risks that could impact Costco's performance. As a leading retailer, Costco operates 891 warehouses globally, with 614 located in the United States and Puerto Rico. The company, headquartered in Issaquah, Washington, employs 341,000 full-time staff and offers a diverse range of merchandise through membership warehouses.
Costco's current market capitalization stands at $388.2 billion, with a trailing P/E ratio of 47.93 and an EPS of 18.21. The company also boasts a dividend yield of 59.5%. Looking ahead, analysts anticipate upcoming earnings on May 27, 2026, with an estimated EPS of $4.97 and projected revenue of $69.7 billion.
Analyst ratings and price targets serve as professional opinions based on research and financial modeling. While these assessments can provide useful insights, they are based on assumptions that may not always materialize. Investors should consider various factors, including company fundamentals, competitive positioning, and industry trends, when making decisions. Analyst views should be just one input in the investment decision-making process.
As market conditions evolve, analyst ratings can change. This underscores the importance of staying informed about the latest developments affecting Costco and its industry.