Welch & Forbes LLC Sells 7,466 Shares of Starbucks Corporation $SBUX

Welch & Forbes LLC decreased its holdings in Starbucks Corporation (NASDAQ:SBUX) by 7.6% in the fourth quarter, according to its most recent disclosure with the Securities & Exchange Commission. The institutional investor owned 90,656 shares of the coffee company’s stock after selling 7,466 shares during the period. Welch & Forbes LLC’s holdings in Starbucks were worth $7,634,000 as of its most recent filing with the Securities & Exchange Commission.

Other hedge funds and other institutional investors have also recently made changes to their positions in the company. Collier Financial purchased a new stake in shares of Starbucks during the 3rd quarter valued at $25,000. Rachor Investment Advisory Services LLC purchased a new stake in shares of Starbucks during the 4th quarter valued at $25,000. Y.D. More Investments Ltd purchased a new stake in shares of Starbucks during the 3rd quarter valued at $26,000. Entrust Financial LLC purchased a new stake in shares of Starbucks during the 4th quarter valued at $26,000. Finally, JPL Wealth Management LLC purchased a new stake in shares of Starbucks during the 3rd quarter valued at $27,000. Hedge funds and other institutional investors own 72.29% of the company’s stock.

Key Stories Impacting Starbucks

Here are the key news stories impacting Starbucks this week:

• Positive Sentiment: Starbucks said afternoon traffic is rising after its strategy shift, with visits after 2 p.m. improving as the company pushes new products and efforts to bring customers back into stores. Starbucks says afternoon traffic is rising as turnaround starts to take hold
• Positive Sentiment: Another report echoed the improving traffic trend, suggesting Starbucks’ turnaround plan may be starting to lift demand during traditionally slower afternoon hours. Starbucks sees a lift in afternoon traffic after a strategy shift
• Positive Sentiment: Starbucks received a Zacks Strong Buy income-stock mention, which may help reinforce the bullish view that the stock remains attractive to some investors. Best Income Stocks to Buy for May 28th
• Neutral Sentiment: Alsea launched the first Starbucks Smart Lounge in Chile, expanding the brand’s footprint and adding a work-and-meeting format that could support future international growth. Alsea launches first Starbucks Smart Lounge in Chile
• Neutral Sentiment: Starbucks’ presentation at Bernstein’s Strategic Decisions Conference likely kept investors focused on management’s turnaround messaging, but it did not introduce a clearly new catalyst. Starbucks Corporation (SBUX) Presents at Bernstein 42nd Annual Strategic Decisions Conference Transcript
• Negative Sentiment: Reports that Starbucks quietly retired an AI inventory agent after it miscounted stock and slowed baristas may raise questions about the effectiveness of some of its operational technology investments. Starbucks quietly retired its AI agent just months after deployment after it hallucinated coffee shop inventories and slowed down baristas
• Negative Sentiment: Separate coverage on South Korea highlighted a sales drop and backlash tied to a marketing controversy, underscoring ongoing brand and international execution risks. Starbucks Suffers Significant Drop in Sales in South Korea
• Negative Sentiment: Another article said Starbucks’ South Korea backlash is testing international growth and governance controls, which could keep pressure on sentiment if the issue spreads or worsens. Starbucks South Korea Backlash Tests International Growth And Governance Controls

Analyst Upgrades and Downgrades

Several brokerages have recently commented on SBUX. TD Cowen upgraded Starbucks from a “hold” rating to a “buy” rating and increased their price objective for the company from $106.00 to $120.00 in a report on Thursday, May 14th. Wells Fargo & Company reiterated an “overweight” rating and set a $115.00 price objective (up from $110.00) on shares of Starbucks in a report on Wednesday, April 29th. BNP Paribas Exane began coverage on Starbucks in a report on Thursday, May 14th. They set an “underperform” rating for the company. Jefferies Financial Group began coverage on Starbucks in a report on Thursday, May 14th. They set a “buy” rating for the company. Finally, Scotiabank lowered Starbucks from a “market perform” rating to an “underperform” rating in a report on Thursday, May 14th. One research analyst has rated the stock with a Strong Buy rating, twenty have given a Buy rating, ten have issued a Hold rating and two have given a Sell rating to the company’s stock. According to data from MarketBeat, Starbucks presently has a consensus rating of “Moderate Buy” and a consensus target price of $107.48.

Starbucks Price Performance

NASDAQ SBUX opened at $99.16 on Friday. The stock’s fifty day moving average price is $99.03 and its 200 day moving average price is $93.77. Starbucks Corporation has a 1 year low of $77.99 and a 1 year high of $108.88. The company has a market cap of $113.01 billion, a price-to-earnings ratio of 75.12, a PEG ratio of 1.96 and a beta of 1.01.

Starbucks (NASDAQ:SBUX) last released 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 negative return on equity of 29.24% and a net margin of 3.89%.The firm had revenue of $9.53 billion for the quarter, compared to the consensus estimate of $9.17 billion. During the same period in the prior year, the firm earned $0.41 EPS. The firm’s revenue was up 8.8% on a year-over-year basis. Starbucks has set its FY 2026 guidance at 2.250-2.450 EPS. Research analysts expect that Starbucks Corporation will post 2.42 earnings per share for the current year.

Starbucks Dividend Announcement

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

Insider Buying and Selling at Starbucks

In other Starbucks news, EVP Sara Kelly sold 2,500 shares of the stock in a transaction dated Thursday, March 5th. The stock was sold at an average price of $97.12, for a total transaction of $242,800.00. Following the sale, the executive vice president directly owned 59,609 shares of the company’s stock, valued at approximately $5,789,226.08. This trade represents a 4.03% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. Also, CEO Brady Brewer sold 2,229 shares of the stock in a transaction dated Tuesday, May 5th. The stock was sold at an average price of $104.81, for a total value of $233,621.49. Following the sale, the chief executive officer directly owned 81,559 shares in the company, valued at $8,548,198.79. This represents a 2.66% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last three months, insiders sold 11,187 shares of company stock worth $1,111,085. 0.03% of the stock is owned by insiders.

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.