Clough Capital Partners L P bought a new stake in shares of Starbucks Corporation (NASDAQ:SBUX – Free Report) in the fourth quarter, according to its most recent filing with the Securities and Exchange Commission. The institutional investor bought 11,564 shares of the coffee company’s stock, valued at approximately $974,000.
A number of other hedge funds and other institutional investors have also recently modified their holdings of SBUX. Rachor Investment Advisory Services LLC bought a new position in shares of Starbucks during the 4th quarter valued at approximately $25,000. Cornerstone Financial Management LLC bought a new position in shares of Starbucks during the 4th quarter valued at approximately $25,000. Y.D. More Investments Ltd purchased a new stake in Starbucks during the 3rd quarter valued at $26,000. Entrust Financial LLC purchased a new stake in Starbucks during the 4th quarter valued at $26,000. Finally, Kelleher Financial Advisors purchased a new stake in Starbucks during the 3rd quarter valued at $27,000. 72.29% of the stock is currently owned by institutional investors.
Analysts Set New Price Targets
SBUX has been the topic of several recent research reports. Jefferies Financial Group initiated coverage on Starbucks in a report on Thursday, May 14th. They set a “buy” rating on the stock. UBS Group lowered Starbucks from a “neutral” rating to a “neutral” rating in a report on Thursday, May 14th. The Goldman Sachs Group lowered Starbucks from a “neutral” rating to a “neutral” rating in a report on Thursday, May 14th. Guggenheim restated a “neutral” rating and set a $97.00 price target (up from $95.00) on shares of Starbucks in a report on Wednesday, April 29th. Finally, Wedbush initiated coverage on Starbucks in a report on Thursday, May 14th. They set an “outperform” rating on the stock. 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 assigned a Sell rating to the company. According to data from MarketBeat.com, the stock currently has an average rating of “Moderate Buy” and a consensus price target of $107.93.
Starbucks Stock Down 1.8%
SBUX stock opened at $99.82 on Thursday. The business’s fifty day simple moving average is $100.82 and its two-hundred day simple moving average is $95.03. Starbucks Corporation has a twelve month low of $77.99 and a twelve month high of $108.88. The firm has a market cap of $113.76 billion, a price-to-earnings ratio of 75.62, a PEG ratio of 2.00 and a beta of 0.98.
Starbucks (NASDAQ:SBUX – Get Free Report) last released its earnings results on Tuesday, April 28th. The coffee company reported $0.50 earnings per share for the quarter, topping analysts’ consensus estimates of $0.44 by $0.06. Starbucks had a negative return on equity of 29.24% and a net margin of 3.89%.The business had revenue of $9.53 billion for the quarter, compared to analyst estimates of $9.17 billion. During the same quarter last year, the firm posted $0.41 earnings per share. The business’s revenue was up 8.8% compared to the same quarter last year. Starbucks has set its FY 2026 guidance at 2.250-2.450 EPS. Research analysts expect that Starbucks Corporation will post 2.42 EPS for the current year.
Starbucks Dividend Announcement
The firm also recently announced a quarterly dividend, which was paid on Friday, May 29th. Shareholders of record on Friday, May 15th were paid a $0.62 dividend. The ex-dividend date was Friday, May 15th. This represents a $2.48 dividend on an annualized basis and a yield of 2.5%. Starbucks’s dividend payout ratio (DPR) is presently 187.88%.
Insiders Place Their Bets
In other Starbucks news, EVP Sara Kelly sold 2,000 shares of the stock in a transaction on Wednesday, April 29th. The stock was sold at an average price of $105.00, for a total value of $210,000.00. Following the sale, the executive vice president owned 57,653 shares in the company, valued at $6,053,565. This trade represents a 3.35% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available at this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO Brady Brewer sold 588 shares of the stock in a transaction on Thursday, June 11th. The stock was sold at an average price of $100.00, for a total value of $58,800.00. Following the completion of the sale, the chief executive officer owned 79,593 shares in the company, valued at approximately $7,959,300. The trade was a 0.73% decrease in their position. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last quarter, insiders sold 8,687 shares of company stock worth $863,707. Insiders own 0.03% of the company’s stock.
Key Starbucks News
Here are the key news stories impacting Starbucks this week:
- Positive Sentiment: Recent coverage continues to highlight Starbucks’ turnaround strategy, including better store service, faster operations, and improving traffic trends, which supports the long-term recovery story. TipRanks article on Starbucks stock slipping
- Positive Sentiment: Starbucks is also being discussed as a potential beneficiary of its broader strategic reset, including plans for smaller-format stores and a possible restructuring of international assets, which could help efficiency and unlock value over time. Yahoo Finance article on Japan review and China stake sale
- Positive Sentiment: Analysts and other market commentary still point to Starbucks as a strong income and turnaround name, with some firms maintaining favorable ratings and higher price targets after the latest earnings beat. MarketBeat Starbucks page
- Neutral Sentiment: CEO Brady Brewer sold a small number of shares under a pre-arranged trading plan. The sale was routine and does not appear to signal a major change in leadership’s outlook. Insider trade report
- Neutral Sentiment: Articles comparing Starbucks with rivals such as McDonald’s and Dutch Bros reflect ongoing competitive pressure, but they do not point to a new fundamental development on their own. 24/7 Wall St comparison article
- Negative Sentiment: Starbucks Korea is facing backlash tied to a marketing controversy, including store closures for mandatory staff training, boycotts, and reputational damage. This is the clearest near-term negative headline weighing on sentiment. Yahoo Finance article on Starbucks Korea controversy
- Negative Sentiment: News that Starbucks is underperforming peers and lagging the broader market suggests investors are becoming more cautious, especially after a strong run earlier in the year. MarketWatch underperforms competitors article
- Negative Sentiment: Several articles note the stock is dipping more than the broader market, reinforcing that traders are taking profits and reacting to short-term uncertainty rather than the company’s recent earnings strength. Yahoo Finance article on Starbucks dip
Starbucks Profile
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.
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