{"id":81944,"date":"2026-04-22T10:32:58","date_gmt":"2026-04-22T10:32:58","guid":{"rendered":"https:\/\/diyhaven858.wasmer.app\/index.php\/as-costco-raises-its-dividend-more-than-13-should-you-buy-sell-or-hold-cost-stock\/"},"modified":"2026-04-22T10:32:58","modified_gmt":"2026-04-22T10:32:58","slug":"as-costco-raises-its-dividend-more-than-13-should-you-buy-sell-or-hold-cost-stock","status":"publish","type":"post","link":"https:\/\/diyhaven858.wasmer.app\/index.php\/as-costco-raises-its-dividend-more-than-13-should-you-buy-sell-or-hold-cost-stock\/","title":{"rendered":"As Costco Raises Its Dividend More Than 13%, Should You Buy, Sell, or Hold COST Stock?"},"content":{"rendered":"<p> <br \/>\n<\/p>\n<div xmlns:default=\"http:\/\/www.w3.org\/2000\/svg\" data-testid=\"article-body\">\n<div class=\"bodyItems-wrapper\">\n<p class=\"yf-1fy9kyt\"><!-- HTML_TAG_START -->Costco Wholesale (COST) just gave its shareholders a notable reason to smile. The warehouse retail giant&#8217;s board of directors approved a quarterly dividend increase, from $1.30 to $1.47 per share, a jump of more than 13%. That works out to $5.88 per share on an annualized basis. The dividend is payable May 15, 2026, to shareholders of record as of May 1, 2026.<!-- HTML_TAG_END --><\/p>\n<p class=\"yf-1fy9kyt\"><!-- HTML_TAG_START -->Does the double-digit dividend hike mean you should buy COST stock right now, or is it already priced for perfection?<!-- HTML_TAG_END --><\/p>\n<figure data-testid=\"article-figure-image\" class=\"yf-750ceo\">\n<div class=\"image-container yf-lglytj\" style=\"--max-height: 869px;\">\n<div class=\"image-wrapper yf-lglytj\" style=\"--aspect-ratio: 960 \/ 869; --img-max-width: 960px;\"><img fetchpriority=\"high\" decoding=\"async\" src=\"https:\/\/s.yimg.com\/ny\/api\/res\/1.2\/Py2Px_ea7qJh88zHVR3l3Q--\/YXBwaWQ9aGlnaGxhbmRlcjt3PTk2MDtoPTg2OQ--\/https:\/\/media.zenfs.com\/en\/barchart_com_477\/1a60aa2ab2ec317d4f5ef6df3feff2c5\" alt=\"www.barchart.com\" loading=\"eager\" height=\"869\" width=\"960\" class=\"yf-lglytj  loaded\"\/><\/div>\n<\/div><figcaption class=\"yf-750ceo\"><!-- HTML_TAG_START -->www.barchart.com<!-- HTML_TAG_END -->  <\/figcaption><\/figure>\n<p class=\"yf-1fy9kyt\"><!-- HTML_TAG_START -->Costco&#8217;s ability to grow its dividend consistently comes down to one thing: its robust business model works.<!-- HTML_TAG_END --><\/p>\n<p class=\"yf-1fy9kyt\"><!-- HTML_TAG_START -->The company now operates 928 warehouses across 14 countries, including 637 in the United States and Puerto Rico. It also runs e-commerce sites in eight markets. That global footprint gives Costco both scale and pricing power that few retailers can match.<!-- HTML_TAG_END --><\/p>\n<p class=\"yf-1fy9kyt\"><!-- HTML_TAG_START -->The dividend history shown above tells the story well. Back in April 2004, Costco paid $0.40 per share. Today, that number is nearly $5.88, a steady climb over two decades driven by consistent profitability and cash generation.<!-- HTML_TAG_END --><\/p>\n<ul class=\"yf-1p2hw41\">\n<li class=\"yf-1p2hw41\">\n<p class=\"yf-1fy9kyt\"><!-- HTML_TAG_START -->In fiscal Q2 of 2026, Costco reported net income of $2.035 billion, or $4.58 per share, an increase of 14% year-over-year (YoY). Its net sales rose over 9% to $68.24 billion, while comparable sales rose 7.4%.<!-- HTML_TAG_END --><\/p>\n<\/li>\n<li class=\"yf-1p2hw41\">\n<p class=\"yf-1fy9kyt\"><!-- HTML_TAG_START -->Membership fee income, a key indicator of customer loyalty, climbed 13.6% to $1.355 billion. The company ended the quarter with 82.1 million total paid members, up 4.8% from the same time last year.<!-- HTML_TAG_END --><\/p>\n<\/li>\n<li class=\"yf-1p2hw41\">\n<p class=\"yf-1fy9kyt\"><!-- HTML_TAG_START -->March sales kept the momentum going. Net sales for the month hit $28.41 billion, up 11.3% from the prior year, according to Andrew Yoon, Costco&#8217;s director of finance and investor relations.<!-- HTML_TAG_END --><\/p>\n<\/li>\n<li class=\"yf-1p2hw41\">\n<p class=\"yf-1fy9kyt\"><!-- HTML_TAG_START -->Comparable sales, excluding gas and foreign exchange impacts, came in at roughly 7.8%.<!-- HTML_TAG_END --><\/p>\n<\/li>\n<\/ul>\n<p class=\"yf-1fy9kyt\"><!-- HTML_TAG_START -->Tariffs remain a real wildcard for the big-box retailer.<!-- HTML_TAG_END --><\/p>\n<p class=\"yf-1fy9kyt\"><!-- HTML_TAG_START -->CEO Ron Vachris addressed this directly on the Q2 earnings call: &#8220;The future impact of tariffs remains extremely fluid.&#8221;<!-- HTML_TAG_END --><\/p>\n<p class=\"yf-1fy9kyt\"><!-- HTML_TAG_START -->The company has been working to adapt by shifting sourcing countries, consolidating global buying, and leaning harder into its Kirkland Signature private label, where it controls more of the supply chain.<!-- HTML_TAG_END --><\/p>\n<\/p><\/div>\n<p>   <button class=\"secondary-btn fin-size-large readmore-button    rounded   yf-r7dg9i\" data-ylk=\"elm:readmore;itc:1;sec:content-canvas;slk:Story%20Continues\" data-yga=\"{&quot;yLinkElement&quot;:&quot;readmore&quot;,&quot;yModuleName&quot;:&quot;content-canvas&quot;,&quot;yLinkText&quot;:&quot;Story Continues&quot;}\" aria-label=\"Story Continues\" title=\"Story Continues\"> <span>Story Continues<\/span> <\/button> <\/p>\n<div class=\"read-more-wrapper\" style=\"display: none\" data-testid=\"read-more\">\n<p class=\"yf-1fy9kyt\"><!-- HTML_TAG_START -->Costco has also been cutting prices where it can. For instance, Kirkland Signature butter dropped from $13.89 to $8.49 between fiscal Q1 and Q2. That kind of move is a double-edged sword: great for members and brand loyalty, but it does pressure short-term margins.<!-- HTML_TAG_END --><\/p>\n<p class=\"yf-1fy9kyt\"><!-- HTML_TAG_START -->CFO Millerchip noted that the company&#8217;s goal is to &#8220;be the first to lower prices and the last to raise them.&#8221; That philosophy builds loyalty but leaves less room for margin expansion.<!-- HTML_TAG_END --><\/p>\n<p class=\"yf-1fy9kyt\"><!-- HTML_TAG_START -->For long-term investors, Costco is difficult to argue against.<!-- HTML_TAG_END --><\/p>\n<ul class=\"yf-1p2hw41\">\n<li class=\"yf-1p2hw41\">\n<p class=\"yf-1fy9kyt\"><!-- HTML_TAG_START -->Revenue is growing, and membership loyalty is exceptionally strong, with U.S. and Canada renewal rates at 92.1%.<!-- HTML_TAG_END --><\/p>\n<\/li>\n<li class=\"yf-1p2hw41\">\n<p class=\"yf-1fy9kyt\"><!-- HTML_TAG_START -->Digitally enabled sales surged 22.6% in Q2. And management is targeting 30-plus new warehouse openings per year going forward.<!-- HTML_TAG_END --><\/p>\n<\/li>\n<li class=\"yf-1p2hw41\">\n<p class=\"yf-1fy9kyt\"><!-- HTML_TAG_START -->The dividend raise reinforces that this is a business generating serious free cash flow, even after capital expenditures estimated at $6.5 billion for the full fiscal year.<!-- HTML_TAG_END --><\/p>\n<\/li>\n<\/ul>\n<p class=\"yf-1fy9kyt\"><!-- HTML_TAG_START -->COST stock has historically traded at a premium. At current prices, a 13% dividend bump is exciting, but the yield remains modest at under 1%. Investors paying a premium multiple need the growth story to keep delivering.<!-- HTML_TAG_END --><\/p>\n<p class=\"yf-1fy9kyt\"><!-- HTML_TAG_START -->Out of the 34 analysts covering COST stock, 19 recommend \u201cStrong Buy,\u201d three recommend \u201cModerate Buy,\u201d 11 recommend \u201cHold,\u201d and one recommends \u201cStrong Sell.\u201d The average COST stock price target is $1,087.10, above the current price of $987.<!-- HTML_TAG_END --><\/p>\n<p class=\"yf-1fy9kyt\"><!-- HTML_TAG_START -->For those already holding shares, this looks like a hold or even a buy on dips. For new investors, patience for a better entry point may be worth the wait.<!-- HTML_TAG_END --><\/p>\n<figure data-testid=\"article-figure-image\" class=\"yf-750ceo\">\n<div class=\"image-container yf-lglytj loader\" style=\"--max-height: 868px;\">\n<div class=\"image-wrapper yf-lglytj\" style=\"--aspect-ratio: 960 \/ 868; --img-max-width: 960px;\"><img decoding=\"async\" src=\"data:image\/gif;base64,R0lGODlhAQABAIAAAAAAAP\/\/\/ywAAAAAAQABAAACAUwAOw==\" alt=\"www.barchart.com\" loading=\"lazy\" height=\"868\" width=\"960\" class=\"yf-lglytj loader\"\/><\/div>\n<\/div><figcaption class=\"yf-750ceo\"><!-- HTML_TAG_START -->www.barchart.com<!-- HTML_TAG_END -->  <\/figcaption><\/figure>\n<p class=\"yf-1fy9kyt\"><!-- HTML_TAG_START --><i> On the date of publication, Aditya Raghunath did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. This article was originally\u00a0published on Barchart.com <\/i><!-- HTML_TAG_END --><\/p>\n<\/p><\/div>\n<\/p><\/div>\n<p><br \/>\n<br \/><a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Costco Wholesale (COST) just gave its shareholders a notable reason to smile. The warehouse retail giant&#8217;s board of directors approved a quarterly dividend increase, from $1.30 to $1.47 per share, a jump of more than 13%. That works out to $5.88 per share on an annualized basis. The dividend is payable May 15, 2026, to [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":30847,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_daextam_enable_autolinks":"","jetpack_post_was_ever_published":false,"_jetpack_newsletter_access":"","_jetpack_dont_email_post_to_subs":false,"_jetpack_newsletter_tier_id":0,"_jetpack_memberships_contains_paywalled_content":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":"","jetpack_publicize_message":"","jetpack_publicize_feature_enabled":true,"jetpack_social_post_already_shared":true,"jetpack_social_options":{"image_generator_settings":{"template":"highway","default_image_id":0,"font":"","enabled":false},"version":2}},"categories":[10],"tags":[7355,3434,1124],"class_list":["post-81944","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-business-news","tag-comparable-sales","tag-cost-stock","tag-costco"],"jetpack_publicize_connections":[],"jetpack_featured_media_url":"https:\/\/diyhaven858.wasmer.app\/wp-content\/uploads\/2026\/02\/5bdbf558a62b8be43131e7a5ea259dd2.jpeg","jetpack_sharing_enabled":true,"jetpack-related-posts":[],"_links":{"self":[{"href":"https:\/\/diyhaven858.wasmer.app\/index.php\/wp-json\/wp\/v2\/posts\/81944","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/diyhaven858.wasmer.app\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/diyhaven858.wasmer.app\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/diyhaven858.wasmer.app\/index.php\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/diyhaven858.wasmer.app\/index.php\/wp-json\/wp\/v2\/comments?post=81944"}],"version-history":[{"count":0,"href":"https:\/\/diyhaven858.wasmer.app\/index.php\/wp-json\/wp\/v2\/posts\/81944\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/diyhaven858.wasmer.app\/index.php\/wp-json\/wp\/v2\/media\/30847"}],"wp:attachment":[{"href":"https:\/\/diyhaven858.wasmer.app\/index.php\/wp-json\/wp\/v2\/media?parent=81944"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/diyhaven858.wasmer.app\/index.php\/wp-json\/wp\/v2\/categories?post=81944"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/diyhaven858.wasmer.app\/index.php\/wp-json\/wp\/v2\/tags?post=81944"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}