Jefferies Reiterates Buy Rating on Costco Wholesale Ahead of Q4 FY2025 Earnings Release

Costco Wholesale Corporation (NASDAQ:COST) is one of the 10 Best Grocery Stocks to Buy According to Hedge Funds. On August 26, Jefferies reiterated its Buy rating on Costco Wholesale Corporation (NASDAQ:COST) ahead of the Q4 FY2025 earnings release scheduled on September 25, 2025.

Ahead of the earnings, Wall Street expects the company to post a profit of $5.82 per share, up 9.10% from $5.29 per share a year ago. Costco has exceeded analyst estimates in three of the last four quarters. During Q3 FY2025, the company posted earnings per share of $4.28, surpassing consensus by $0.04.

Jefferies Reiterates Buy Rating on Costco Wholesale Ahead of Q4 FY2025 Earnings Release

Niloo / Shutterstock.com

On August 8, Greg Melich from Evercore ISI maintained the Buy rating on Costco Wholesale Corporation (NASDAQ:COST), keeping the price target at $1,060. Melich kept the rating on COST following the company’s strong sales for the retail month of July 2025. For the four weeks ended August 3, Costco Wholesale posted $20.89 billion in net sales, an increase of 8.5% from $19.26 billion a year ago. The company maintains the momentum from Q3, despite the challenging situation of macroeconomic uncertainty.

As of August 27, Costco Wholesale Corporation’s (NASDAQ:COST) average price target of $1,070, based on analysts’ estimates, implies an upside of almost 12.69% from current levels.

Costco Wholesale Corporation (NASDAQ:COST) is one of the leading retail firms in the U.S. The company offers Food and Sundries, Fresh Food, Non-food, and other items.

While we acknowledge the potential of COST to grow, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than COST and that has 100x upside potential, check out our report about this cheapest AI stock.

READ NEXT: 30 Stocks That Should Double in 3 Years and 11 Hidden AI Stocks to Buy Right Now.

Disclosure: None. This article is originally published at Insider Monkey.