Starbucks Corporation (SBUX) – What Are Investment Firms Saying About This Stock?

Shares of Starbucks Corporation (NASDAQ:SBUX) have been assigned a consensus rating of “Hold” from the forty ratings firms that are covering the firm, Marketbeat Ratings reports. Four analysts have rated the stock with a sell rating, fifteen have issued a hold rating and twenty-one have given a buy rating to the company. The average twelve-month price objective among analysts that have updated their coverage on the stock in the last year is $108.83.

SBUX has been the subject of a number of research analyst reports. Compass Point started coverage on Starbucks in a research report on Monday, August 3rd. They set a “buy” rating for the company. Seaport Research Partners started coverage on Starbucks in a report on Wednesday, September 16th. They issued a “neutral” rating on the stock. UBS Group boosted their target price on Starbucks from $105.00 to $110.00 and gave the stock a “neutral” rating in a research report on Friday, November 6th. Stifel Nicolaus assumed coverage on Starbucks in a research report on Monday. They issued a “buy” rating and a $115.00 target price on the stock. Finally, Rothschild & Co Redburn increased their price target on Starbucks from $81.00 to $82.00 and gave the company a “sell” rating in a research note on Wednesday, September 30th.

Starbucks Price Performance

Starbucks stock opened at $109.89 on Friday. Starbucks has a 1 year low of $81.97 and a 1 year high of $111.50. The firm’s 50 day moving average price is $99.33 and its 200-day moving average price is $100.24. The stock has a market cap of $125.27 billion, a P/E ratio of 49.72, a PEG ratio of 1.82 and a beta of 1.01.

Starbucks (NASDAQ:SBUX) last issued its earnings results on Thursday, October 29th. The coffee company reported $0.80 earnings per share for the quarter, topping analysts’ consensus estimates of $0.72 by $0.08. The firm had revenue of $9.14 billion during the quarter, compared to analyst estimates of $9.22 billion. Starbucks had a net margin of 6.66% and a negative return on equity of 38.61%. Starbucks’s revenue for the quarter was down 4.5% on a year-over-year basis. During the same quarter in the prior year, the business earned $0.52 earnings per share. As a group, equities analysts expect that Starbucks will post 3.22 EPS for the current year.

Starbucks Increases Dividend

The firm also recently declared a quarterly dividend, which will be paid on Friday, November 27th. Investors of record on Friday, November 13th will be given a $0.63 dividend. This is a boost from Starbucks’s previous quarterly dividend of $0.62. This represents a $2.52 annualized dividend and a yield of 2.3%. The ex-dividend date is Friday, November 13th. Starbucks’s dividend payout ratio (DPR) is presently 114.03%.

Insider Buying and Selling at Starbucks

In other Starbucks news, CEO Brady Brewer sold 2,229 shares of the company’s stock in a transaction that occurred on Thursday, November 5th. The stock was sold at an average price of $110.00, for a total transaction of $245,190.00. Following the sale, the chief executive officer directly owned 68,691 shares in the company, valued at $7,556,010. This represents a 3.14% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available at this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last 90 days, insiders have sold 6,687 shares of company stock valued at $694,874. Insiders own 0.03% of the company’s stock.

Institutional Trading of Starbucks

A number of institutional investors have recently bought and sold shares of the stock. BlackRock Inc. purchased a new stake in shares of Starbucks in the second quarter valued at $8,504,509,000. State Street Corp lifted its holdings in shares of Starbucks by 3.2% in the 2nd quarter. State Street Corp now owns 49,260,268 shares of the coffee company’s stock worth $5,033,907,000 after acquiring an additional 1,530,497 shares during the last quarter. Bank of America Corp DE bought a new stake in shares of Starbucks in the 2nd quarter worth about $1,581,287,000. Fisher Asset Management LLC boosted its stake in shares of Starbucks by 1.5% during the 3rd quarter. Fisher Asset Management LLC now owns 12,779,234 shares of the coffee company’s stock worth $1,200,737,000 after purchasing an additional 193,849 shares during the period. Finally, UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC boosted its stake in shares of Starbucks by 26.2% during the 2nd quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC now owns 8,506,482 shares of the coffee company’s stock worth $869,277,000 after purchasing an additional 1,767,530 shares during the period. 72.29% of the stock is currently owned by institutional investors.

Latest Starbucks News

Investors following SBUX have been watching these news items:

• Positive Sentiment: Starbucks is targeting about 18% EPS growth in fiscal 2027, supported by margin expansion and cost savings, despite an extra fiscal week also contributing to the growth. Stifel’s Buy rating and $115 price target add support for the bullish view. FY27 EPS growth outlook
• Neutral Sentiment: Call-option activity was reported at unusually high volume, indicating increased investor positioning but not, on its own, a clear directional signal.
• Negative Sentiment: Fiscal 2027 guidance anticipates revenue declining about 1% as Starbucks shifts its China business model. That outlook may concern investors, particularly after the stock’s recent strong gains. Starbucks outlook and valuation

Starbucks Company Profile

Starbucks Corporation is a global coffee company that roasts, markets and sells coffee and other beverages, along with food and related merchandise. Its offerings include brewed coffee, espresso-based drinks, teas and packaged coffee products. The company serves customers through company-operated and licensed stores, as well as through retail and food-service partnerships. Its stores also sell items such as mugs and coffee-making equipment. Founded in Seattle in 1971, Starbucks operates in North America and international markets, including China.