Starbucks (NASDAQ:SBUX) Stock Price Expected to Rise, Bank of America Analyst Says

Starbucks (NASDAQ:SBUX) had its price objective lifted by stock analysts at Bank of America from $106.00 to $114.00 in a research note issued to investors on Wednesday,Benzinga reports. The firm presently has a “buy” rating on the coffee company’s stock. Bank of America‘s price target would suggest a potential upside of 20.29% from the stock’s current price.

SBUX has been the topic of several other research reports. Royal Bank Of Canada set a $100.00 price target on shares of Starbucks and gave the company an “outperform” rating in a research report on Thursday, October 30th. Piper Sandler reduced their price target on shares of Starbucks from $105.00 to $100.00 and set an “overweight” rating on the stock in a research report on Thursday, October 30th. Mizuho set a $86.00 price objective on shares of Starbucks and gave the company a “neutral” rating in a report on Friday, January 9th. BTIG Research reaffirmed a “buy” rating and set a $105.00 target price on shares of Starbucks in a research note on Thursday, October 30th. Finally, Dbs Bank cut shares of Starbucks from a “hold” rating to a “strong sell” rating in a research report on Friday, November 7th. One equities research analyst has rated the stock with a Strong Buy rating, sixteen have given a Buy rating, nine have given a Hold rating and three have assigned a Sell rating to the company. According to data from MarketBeat, the stock currently has an average rating of “Moderate Buy” and a consensus price target of $103.15.

Starbucks Stock Up 1.2%

Shares of Starbucks stock opened at $94.77 on Wednesday. The firm has a market capitalization of $107.77 billion, a P/E ratio of 57.71, a PEG ratio of 1.96 and a beta of 0.97. Starbucks has a 52 week low of $75.50 and a 52 week high of $117.46. The company has a 50 day moving average price of $86.37 and a 200 day moving average price of $87.01.

Starbucks (NASDAQ:SBUX) last announced its quarterly earnings data on Wednesday, October 29th. The coffee company reported $0.52 earnings per share for the quarter, missing analysts’ consensus estimates of $0.55 by ($0.03). Starbucks had a net margin of 4.99% and a negative return on equity of 31.32%. The company had revenue of $9.57 billion for the quarter, compared to analysts’ expectations of $9.41 billion. During the same period last year, the firm earned $0.80 earnings per share. Starbucks’s quarterly revenue was up 5.5% compared to the same quarter last year. As a group, research analysts anticipate that Starbucks will post 2.99 earnings per share for the current fiscal year.

Insider Activity

In other news, Director Jorgen Vig Knudstorp acquired 11,700 shares of the business’s stock in a transaction on Monday, November 10th. The stock was bought at an average price of $85.00 per share, for a total transaction of $994,500.00. Following the transaction, the director owned 53,096 shares in the company, valued at $4,513,160. This represents a 28.26% increase in their ownership of the stock. The purchase was disclosed in a document filed with the SEC, which is accessible through the SEC website. Insiders own 0.09% of the company’s stock.

Institutional Investors Weigh In On Starbucks

Hedge funds and other institutional investors have recently modified their holdings of the stock. PUREfi Wealth LLC purchased a new stake in Starbucks during the second quarter valued at about $286,000. Narwhal Capital Management lifted its stake in shares of Starbucks by 39.6% in the 2nd quarter. Narwhal Capital Management now owns 32,738 shares of the coffee company’s stock valued at $3,000,000 after purchasing an additional 9,282 shares in the last quarter. Nordea Investment Management AB grew its holdings in shares of Starbucks by 3.2% during the 3rd quarter. Nordea Investment Management AB now owns 433,112 shares of the coffee company’s stock worth $36,576,000 after purchasing an additional 13,262 shares during the period. Morningstar Investment Management LLC acquired a new stake in Starbucks in the 2nd quarter valued at $653,000. Finally, Asset Management One Co. Ltd. boosted its position in Starbucks by 3.1% during the 3rd quarter. Asset Management One Co. Ltd. now owns 548,768 shares of the coffee company’s stock worth $46,426,000 after acquiring an additional 16,428 shares during the period. 72.29% of the stock is currently owned by institutional investors and hedge funds.

About Starbucks

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.