Costco initiated with a Neutral at Mizuho

Mizuho initiated coverage of Costco (COST) with a Neutral rating and $975 price target The company’s underlying fundamentals “have been and continue to be nothing short of stellar,” the analyst tells investors in a research note. However, the firm views the stock as a “crowded long and core holding with tariff insulation.” Mizuho questions whether upside from Costco’s initiatives will flow directly to the bottom line or in “quintessential” company fashion, be reinvested back into the member experience. It views the stock’s current valuation as full and awaits a more opportune entry point.