Insider Selling: Starbucks (NASDAQ:SBUX) CEO Sells 1,641 Shares of Stock

Starbucks Corporation (NASDAQ:SBUX) CEO Brady Brewer sold 1,641 shares of the firm’s stock in a transaction that occurred on Friday, June 5th. The stock was sold at an average price of $94.33, for a total transaction of $154,795.53. Following the sale, the chief executive officer directly owned 80,181 shares in the company, valued at $7,563,473.73. The trade was a 2.01% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan.

Brady Brewer also recently made the following trade(s):

• On Tuesday, May 5th, Brady Brewer sold 2,229 shares of Starbucks stock. The stock was sold at an average price of $104.81, for a total transaction of $233,621.49.
• On Friday, April 17th, Brady Brewer sold 588 shares of Starbucks stock. The stock was sold at an average price of $100.00, for a total transaction of $58,800.00.
• On Monday, April 6th, Brady Brewer sold 1,641 shares of Starbucks stock. The stock was sold at an average price of $90.00, for a total transaction of $147,690.00.

Starbucks Stock Up 2.7%

Shares of NASDAQ SBUX traded up $2.59 during midday trading on Tuesday, reaching $97.41. 10,618,078 shares of the stock were exchanged, compared to its average volume of 8,576,172. The firm has a market cap of $111.02 billion, a price-to-earnings ratio of 73.80, a PEG ratio of 1.88 and a beta of 0.98. Starbucks Corporation has a twelve month low of $77.99 and a twelve month high of $108.88. The firm has a 50-day simple moving average of $99.31 and a two-hundred day simple moving average of $94.26.

Starbucks (NASDAQ:SBUX) last announced its earnings results on Tuesday, April 28th. The coffee company reported $0.50 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.44 by $0.06. Starbucks had a net margin of 3.89% and a negative return on equity of 29.24%. The business had revenue of $9.53 billion for the quarter, compared to analyst estimates of $9.17 billion. During the same quarter last year, the business earned $0.41 earnings per share. The company’s revenue for the quarter was up 8.8% compared to the same quarter last year. Starbucks has set its FY 2026 guidance at 2.250-2.450 EPS. Research analysts expect that Starbucks Corporation will post 2.42 EPS for the current fiscal year.

Starbucks Dividend Announcement

The business also recently announced a quarterly dividend, which was paid on Friday, May 29th. Investors of record on Friday, May 15th were paid a dividend of $0.62 per share. This represents a $2.48 annualized dividend and a yield of 2.5%. The ex-dividend date of this dividend was Friday, May 15th. Starbucks’s payout ratio is presently 187.88%.

Key Stories Impacting Starbucks

Here are the key news stories impacting Starbucks this week:

• Positive Sentiment: Starbucks is drawing attention for its expanded Refresher lineup, including blended options launching in July, which could help drive more afternoon traffic and support sales growth. Starbucks’ latest drink launch is a bet on the future of fast food beverages
• Positive Sentiment: Investors are reacting to reports that Starbucks is seeing encouraging growth beyond the morning rush, reinforcing confidence in CEO Brian Niccol’s turnaround strategy and the company’s push to build a stronger all-day business. Starbucks Sees Encouraging Growth beyond the Morning Rush, CNBC Reports
• Positive Sentiment: Analysts have highlighted Starbucks’ $2 billion cost-savings plan and rising margins as potential drivers of faster earnings growth, which is supporting sentiment around the stock. Can Starbucks’ $2 Billion Cost-Savings Plan Accelerate EPS Growth?
• Neutral Sentiment: Starbucks presented at the Evercore Consumer & Retail Conference, giving management another investor-facing platform to discuss its turnaround and growth strategy. Starbucks Corporation (SBUX) Presents at The 6th Annual Evercore Consumer & Retail Conference Transcript
• Neutral Sentiment: A report that a Starbucks competitor is the fastest-growing brand in America is a reminder of intense competition in beverages and quick-service coffee, though it does not directly change Starbucks’ near-term fundamentals. This Starbucks competitor is the fastest-growing brand in America, says Yelp
• Negative Sentiment: Broader weakness in tech and AI-related stocks may be weighing on risk appetite overall, but the impact on Starbucks appears indirect rather than company-specific. Deja Vu? AI Overspending Fears Renew

Institutional Trading of Starbucks

A number of large investors have recently made changes to their positions in the stock. Sunbelt Securities Inc. boosted its stake in Starbucks by 1.0% in the 1st quarter. Sunbelt Securities Inc. now owns 9,473 shares of the coffee company’s stock worth $849,000 after buying an additional 97 shares during the last quarter. Beta Wealth Group Inc. boosted its stake in Starbucks by 1.7% in the 1st quarter. Beta Wealth Group Inc. now owns 6,114 shares of the coffee company’s stock worth $548,000 after buying an additional 103 shares during the last quarter. NWF Advisory Services Inc. boosted its stake in Starbucks by 2.6% in the 4th quarter. NWF Advisory Services Inc. now owns 4,349 shares of the coffee company’s stock worth $366,000 after buying an additional 109 shares during the last quarter. Godshalk Welsh Capital Management Inc. boosted its stake in Starbucks by 0.8% in the 1st quarter. Godshalk Welsh Capital Management Inc. now owns 13,610 shares of the coffee company’s stock worth $1,219,000 after buying an additional 110 shares during the last quarter. Finally, Aerodigm Wealth LLC boosted its stake in Starbucks by 2.7% in the 4th quarter. Aerodigm Wealth LLC now owns 4,245 shares of the coffee company’s stock worth $357,000 after buying an additional 112 shares during the last quarter. Institutional investors and hedge funds own 72.29% of the company’s stock.

Wall Street Analyst Weigh In

A number of analysts recently weighed in on the stock. The Goldman Sachs Group lowered shares of Starbucks from a “neutral” rating to a “neutral” rating in a research note on Thursday, May 14th. Sanford C. Bernstein reaffirmed an “outperform” rating on shares of Starbucks in a report on Wednesday, March 4th. Stephens initiated coverage on Starbucks in a report on Thursday, May 14th. They issued an “overweight” rating for the company. DA Davidson increased their price objective on Starbucks from $97.00 to $102.00 and gave the company a “neutral” rating in a report on Wednesday, April 29th. Finally, Evercore increased their price objective on Starbucks from $110.00 to $115.00 and gave the company an “outperform” rating in a report on Wednesday, April 29th. One investment analyst has rated the stock with a Strong Buy rating, twenty have assigned a Buy rating, ten have issued a Hold rating and two have issued a Sell rating to the stock. Based on data from MarketBeat.com, the stock presently has a consensus rating of “Moderate Buy” and an average target price of $107.48.

Starbucks Company Profile

Starbucks Corporation is a global coffeehouse chain and roaster that operates, licenses and franchises coffee shops and related retail businesses. Founded in Seattle, Washington in 1971 by Jerry Baldwin, Zev Siegl and Gordon Bowker, the company grew from a single store focused on whole-bean coffee and equipment into a broad consumer-facing brand. Howard Schultz, who joined the company later and served in senior leadership roles, is widely credited with transforming Starbucks into a mass-market specialty coffee retailer and expanding its footprint internationally.

Starbucks’ core activities center on the retail sale of hot and cold specialty beverages, whole-bean and packaged coffees, teas and ready-to-drink products, along with complementary food items and merchandise such as mugs and brewing equipment.