Starbucks (NASDAQ:SBUX) Shares Down 0.6%

Starbucks Co. (NASDAQ:SBUX)’s share price fell 0.6% during trading on Tuesday . The stock traded as low as $76.47 and last traded at $76.69. 1,361,050 shares traded hands during trading, a decline of 87% from the average session volume of 10,344,825 shares. The stock had previously closed at $77.13.

Wall Street Analyst Weigh In

Several research firms have recently commented on SBUX. Robert W. Baird reduced their target price on Starbucks from $106.00 to $100.00 and set a “neutral” rating for the company in a research note on Monday, March 18th. JPMorgan Chase & Co. dropped their price target on Starbucks from $100.00 to $92.00 and set an “overweight” rating on the stock in a research report on Wednesday, May 1st. Citigroup dropped their price target on Starbucks from $95.00 to $85.00 and set a “neutral” rating on the stock in a research report on Wednesday, May 1st. Wells Fargo & Company dropped their price target on Starbucks from $105.00 to $90.00 and set an “overweight” rating on the stock in a research report on Wednesday, May 1st. Finally, Oppenheimer reissued a “market perform” rating on shares of Starbucks in a research report on Friday, April 19th. Seventeen analysts have rated the stock with a hold rating and ten have issued a buy rating to the company. According to MarketBeat, the stock has an average rating of “Hold” and a consensus price target of $94.54.

Starbucks Price Performance

The company has a market capitalization of $86.48 billion, a price-to-earnings ratio of 21.13, a price-to-earnings-growth ratio of 1.70 and a beta of 0.94. The business has a fifty day moving average price of $79.66 and a 200 day moving average price of $87.95.

Starbucks (NASDAQ:SBUX) last announced its earnings results on Tuesday, April 30th. The coffee company reported $0.68 earnings per share for the quarter, missing the consensus estimate of $0.79 by ($0.11). Starbucks had a net margin of 11.38% and a negative return on equity of 49.91%. The firm had revenue of $8.56 billion for the quarter, compared to the consensus estimate of $9.12 billion. During the same period in the prior year, the business earned $0.74 EPS. The company’s quarterly revenue was down 1.8% compared to the same quarter last year. Research analysts anticipate that Starbucks Co. will post 3.59 earnings per share for the current year.

Starbucks Dividend Announcement

The company also recently announced a quarterly dividend, which will be paid on Friday, August 30th. Investors of record on Friday, August 16th will be paid a dividend of $0.57 per share. The ex-dividend date is Friday, August 16th. This represents a $2.28 annualized dividend and a yield of 2.99%. Starbucks’s dividend payout ratio is currently 62.81%.

Insider Activity at Starbucks

In related news, CFO Rachel Ruggeri sold 3,750 shares of the firm’s stock in a transaction dated Wednesday, May 22nd. The stock was sold at an average price of $80.00, for a total transaction of $300,000.00. Following the completion of the transaction, the chief financial officer now owns 65,431 shares of the company’s stock, valued at $5,234,480. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. In related news, CEO Michael Aaron Conway sold 3,250 shares of the company’s stock in a transaction that occurred on Friday, June 14th. The shares were sold at an average price of $80.00, for a total value of $260,000.00. Following the completion of the sale, the chief executive officer now owns 78,304 shares in the company, valued at approximately $6,264,320. The sale was disclosed in a legal filing with the SEC, which can be accessed through this hyperlink. Also, CFO Rachel Ruggeri sold 3,750 shares of Starbucks stock in a transaction that occurred on Wednesday, May 22nd. The stock was sold at an average price of $80.00, for a total transaction of $300,000.00. Following the transaction, the chief financial officer now owns 65,431 shares in the company, valued at $5,234,480. The disclosure for this sale can be found here. Insiders sold 10,750 shares of company stock valued at $878,893 over the last 90 days. 1.98% of the stock is currently owned by corporate insiders.

Institutional Trading of Starbucks

Hedge funds have recently modified their holdings of the business. Scarborough Advisors LLC purchased a new stake in shares of Starbucks in the fourth quarter valued at $26,000. Vima LLC purchased a new stake in shares of Starbucks in the fourth quarter valued at $26,000. DSM Capital Partners LLC purchased a new stake in shares of Starbucks in the fourth quarter valued at $27,000. Fairman Group LLC purchased a new stake in shares of Starbucks during the fourth quarter worth $30,000. Finally, Riggs Asset Managment Co. Inc. raised its holdings in shares of Starbucks by 1,578.9% during the third quarter. Riggs Asset Managment Co. Inc. now owns 319 shares of the coffee company’s stock worth $29,000 after acquiring an additional 300 shares in the last quarter. Hedge funds and other institutional investors own 72.29% of the company’s stock.

About Starbucks

Starbucks Corporation, together with its subsidiaries, operates as a roaster, marketer, and retailer of coffee worldwide. The company operates through three segments: North America, International, and Channel Development. Its stores offer coffee and tea beverages, roasted whole beans and ground coffees, single serve products, and ready-to-drink beverages; and various food products, such as pastries, breakfast sandwiches, and lunch items.