Starbucks Corporation $SBUX Stock: Fifth Third Bancorp Lowers Stake

Fifth Third Bancorp lessened its stake in shares of Starbucks Corporation (NASDAQ:SBUX) by 3.6% in the third quarter, HoldingsChannel.com reports. The firm owned 426,017 shares of the coffee company’s stock after selling 15,819 shares during the quarter. Fifth Third Bancorp’s holdings in Starbucks were worth $40,029,000 at the end of the most recent quarter.

Other institutional investors and hedge funds have also recently made changes to their positions in the company. BlackRock Inc. purchased a new position in shares of Starbucks in the second quarter worth $8,504,509,000. State Street Corp boosted its position in Starbucks by 3.2% during the 2nd quarter. State Street Corp now owns 49,260,268 shares of the coffee company’s stock valued at $5,033,907,000 after buying an additional 1,530,497 shares during the period. Bank of America Corp DE boosted its position in Starbucks by 9.0% during the 1st quarter. Bank of America Corp DE now owns 15,761,355 shares of the coffee company’s stock valued at $1,412,060,000 after buying an additional 1,300,085 shares during the period. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC grew its holdings in Starbucks by 26.2% in 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 acquiring an additional 1,767,530 shares during the last quarter. Finally, Bank of New York Mellon Corp bought a new stake in Starbucks in the 2nd quarter worth $779,790,000. Institutional investors own 72.29% of the company’s stock.

Insiders Place Their Bets

In other Starbucks news, CEO Brady Brewer sold 2,229 shares of the stock in a transaction on Thursday, November 5th. The stock was sold at an average price of $110.00, for a total value of $245,190.00. Following the completion of the transaction, the chief executive officer owned 68,691 shares in the company, valued at approximately $7,556,010. This represents a 3.14% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold 6,687 shares of company stock valued at $694,874 over the last 90 days. 0.03% of the stock is owned by corporate insiders.

Analyst Upgrades and Downgrades

A number of research firms have issued reports on SBUX. Evercore restated an “outperform” rating on shares of Starbucks in a research report on Friday, October 30th. Guggenheim reiterated a “neutral” rating and set a $103.00 target price (up from $97.00) on shares of Starbucks in a report on Monday, November 2nd. Bank of America reissued a “buy” rating on shares of Starbucks in a research note on Monday, November 2nd. Melius Research set a $110.00 price target on Starbucks in a report on Monday, August 3rd. Finally, Mizuho lowered their price target on Starbucks from $115.00 to $105.00 and set a “neutral” rating for the company in a research report on Friday, October 23rd. Twenty-one investment analysts have rated the stock with a Buy rating, fifteen have assigned a Hold rating and four have issued a Sell rating to the company. According to data from MarketBeat.com, the company currently has a consensus rating of “Hold” and an average price target of $108.83.

Starbucks Stock Performance

Starbucks stock opened at $107.26 on Friday. Starbucks Corporation has a fifty-two week low of $81.97 and a fifty-two week high of $111.50. The stock’s 50 day simple moving average is $99.34 and its two-hundred day simple moving average is $100.30. The stock has a market cap of $122.28 billion, a price-to-earnings ratio of 48.53, a PEG ratio of 1.82 and a beta of 1.01.

Starbucks (NASDAQ:SBUX) last announced its earnings results on Thursday, October 29th. The coffee company reported $0.80 earnings per share (EPS) for the quarter, topping the consensus estimate 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 negative return on equity of 38.61% and a net margin of 6.66%. The business’s revenue was down 4.5% compared to the same quarter last year. During the same quarter in the prior year, the company earned $0.52 EPS. On average, analysts predict that Starbucks Corporation will post 3.22 earnings per share for the current year.

Starbucks Increases Dividend

The company also recently declared a quarterly dividend, which will be paid on Friday, November 27th. Investors of record on Friday, November 13th will be paid a $0.63 dividend. The ex-dividend date of this dividend is Friday, November 13th. This is a positive change from Starbucks’s previous quarterly dividend of $0.62. This represents a $2.52 annualized dividend and a yield of 2.3%. Starbucks’s payout ratio is currently 112.22%.

Key Stories Impacting Starbucks

These are some of the SBUX stories that stood out recently:

• Neutral Sentiment: Niccol said management is focused on improving Starbucks, while leaving open the possibility of future restaurant acquisitions. His remarks push back on near-term merger speculation, but do not rule out deals later. Starbucks CEO Brian Niccol focused ‘being Starbucks’ but leaves door open for future restaurant acquisitions
• Negative Sentiment: South Korean sales figures have renewed concern about the company’s performance in that market, with one report linking the figures to pressure on the shares. Starbucks Stock Slips as Korean Sales Figures Come In
• Negative Sentiment: Citi maintained a Hold rating and a $107 price target, citing a balance between turnaround progress and valuation and execution risks. Separately, Starbucks’ 2027 outlook reportedly points to slightly lower revenue as its China business changes models, while the stock had already rallied strongly. Starbucks Hold Maintained as Turnaround Progress Faces Valuation and Execution Risks Has Starbucks Run Too Far Ahead As Fresh 2027 Guidance Resets Valuation?

Starbucks 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.