CDM Financial Counseling Services Inc. Buys Shares of 5,289 Starbucks Corporation $SBUX

CDM Financial Counseling Services Inc. bought a new stake in shares of Starbucks Corporation (NASDAQ:SBUX) in the fourth quarter, HoldingsChannel reports. The institutional investor bought 5,289 shares of the coffee company’s stock, valued at approximately $445,000.

A number of other hedge funds and other institutional investors have also bought and sold shares of SBUX. Capital Research Global Investors increased its position in Starbucks by 11.4% in the third quarter. Capital Research Global Investors now owns 85,460,350 shares of the coffee company’s stock worth $7,229,968,000 after buying an additional 8,774,198 shares in the last quarter. Corient Private Wealth LLC increased its position in Starbucks by 146.6% in the second quarter. Corient Private Wealth LLC now owns 6,049,192 shares of the coffee company’s stock worth $553,201,000 after buying an additional 3,596,014 shares in the last quarter. Capital International Investors increased its position in Starbucks by 22.5% in the third quarter. Capital International Investors now owns 14,691,772 shares of the coffee company’s stock worth $1,243,104,000 after buying an additional 2,699,479 shares in the last quarter. Ameriprise Financial Inc. increased its position in Starbucks by 80.6% in the third quarter. Ameriprise Financial Inc. now owns 5,105,164 shares of the coffee company’s stock worth $433,923,000 after buying an additional 2,277,792 shares in the last quarter. Finally, Capital World Investors increased its position in Starbucks by 1.9% in the third quarter. Capital World Investors now owns 77,720,137 shares of the coffee company’s stock worth $6,575,430,000 after buying an additional 1,462,874 shares in the last quarter. Hedge funds and other institutional investors own 72.29% of the company’s stock.

Analysts Set New Price Targets

A number of analysts have commented on the company. Robert W. Baird upped their price target on Starbucks from $112.00 to $117.00 and gave the stock an “outperform” rating in a research report on Wednesday, April 29th. Stephens initiated coverage on shares of Starbucks in a research note on Thursday. They issued an “overweight” rating for the company. Wolfe Research initiated coverage on shares of Starbucks in a research note on Monday, March 9th. They issued a “peer perform” rating for the company. Sanford C. Bernstein reissued an “outperform” rating on shares of Starbucks in a research note on Wednesday, March 4th. Finally, Citigroup increased their price objective on shares of Starbucks from $99.00 to $101.00 and gave the stock a “neutral” rating in a research note on Wednesday, April 29th. Twenty research analysts have rated the stock with a Buy rating, eleven have given a Hold rating and two have assigned a Sell rating to the stock. According to data from MarketBeat.com, Starbucks currently has an average rating of “Moderate Buy” and an average price target of $107.48.

Key Starbucks News

Here are the key news stories impacting Starbucks this week:

• Positive Sentiment: Investors appear to like the cost-cutting focus, as the layoffs and office closures are intended to improve efficiency, support margin recovery, and help fund the company’s turnaround strategy. Reuters article
• Positive Sentiment: Wall Street sentiment also remains supportive, with TD Cowen upgrading Starbucks to Buy and raising its price target, citing improving sales drivers, margin recovery, and multiple tangible catalysts for the comeback story. Analyst upgrade article
• Neutral Sentiment: The restructuring comes with a sizable estimated $400 million charge, which could weigh on near-term earnings even as management argues the actions will strengthen the business over time. New York Times article
• Neutral Sentiment: Recent trading also reflects a broader re-rating of the stock, which has been pushing toward new highs as investors gain confidence in CEO Brian Niccol’s turnaround plan. CNBC article
• Negative Sentiment: The job cuts and office closures also signal that the turnaround is still in progress, and the company may continue to face pressure from restructuring costs and execution risk before the benefits show up in results. Wall Street Journal article

Starbucks Stock Performance

NASDAQ:SBUX opened at $106.82 on Monday. Starbucks Corporation has a 12-month low of $77.99 and a 12-month high of $108.88. The stock has a 50-day moving average price of $98.11 and a 200 day moving average price of $92.40. The stock has a market capitalization of $121.74 billion, a P/E ratio of 80.92, a P/E/G ratio of 2.15 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, topping the consensus estimate of $0.44 by $0.06. The firm had revenue of $9.53 billion during the quarter, compared to analysts’ expectations of $9.17 billion. Starbucks had a negative return on equity of 29.24% and a net margin of 3.89%.The firm’s revenue was up 8.8% on a year-over-year basis. During the same quarter last year, the business posted $0.41 earnings per share. Starbucks has set its FY 2026 guidance at 2.250-2.450 EPS. On average, research analysts predict that Starbucks Corporation will post 2.42 earnings per share for the current fiscal year.

Starbucks Dividend Announcement

The business also recently announced a quarterly dividend, which will be paid on Friday, May 29th. Investors of record on Friday, May 15th will be paid a dividend of $0.62 per share. This represents a $2.48 annualized dividend and a yield of 2.3%. The ex-dividend date of this dividend is Friday, May 15th. Starbucks’s dividend payout ratio (DPR) is presently 187.88%.

Insider Buying and Selling at Starbucks

In related news, CEO Brady Brewer sold 2,229 shares of the firm’s stock in a transaction on Tuesday, May 5th. The shares were sold at an average price of $104.81, for a total transaction of $233,621.49. Following the completion of the transaction, the chief executive officer directly owned 81,559 shares of the company’s stock, valued at approximately $8,548,198.79. This trade represents a 2.66% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is accessible through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, EVP Sara Kelly sold 2,500 shares of the firm’s stock in a transaction that occurred on Thursday, March 5th. The shares were sold at an average price of $97.12, for a total value of $242,800.00. Following the transaction, the executive vice president owned 59,609 shares of the company’s stock, valued at $5,789,226.08. This represents a 4.03% decrease in their position. The SEC filing for this sale provides additional information. Insiders have sold 11,187 shares of company stock valued at $1,111,085 over the last ninety days. 0.03% of the stock is currently owned by corporate insiders.

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.