FY2024 EPS Estimates for Starbucks Cut by William Blair

Starbucks Co. (NASDAQ:SBUX) – Investment analysts at William Blair dropped their FY2024 earnings per share estimates for shares of Starbucks in a research note issued to investors on Tuesday, October 22nd. William Blair analyst S. Zackfia now forecasts that the coffee company will post earnings of $3.31 per share for the year, down from their previous forecast of $3.59. The consensus estimate for Starbucks’ current full-year earnings is $3.55 per share. William Blair also issued estimates for Starbucks’ Q4 2024 earnings at $0.80 EPS, Q1 2025 earnings at $0.71 EPS, FY2025 earnings at $3.25 EPS and FY2026 earnings at $3.73 EPS.

Several other equities analysts have also commented on SBUX. Oppenheimer reissued a “market perform” rating on shares of Starbucks in a research report on Monday, August 26th. TD Cowen restated a “buy” rating and issued a $110.00 target price on shares of Starbucks in a research note on Wednesday. Piper Sandler raised shares of Starbucks from a “neutral” rating to an “overweight” rating and lifted their price target for the stock from $85.00 to $103.00 in a research note on Tuesday, August 13th. Sanford C. Bernstein raised shares of Starbucks from a “market perform” rating to an “outperform” rating and upped their price objective for the company from $92.00 to $115.00 in a research report on Thursday, September 26th. Finally, JPMorgan Chase & Co. lifted their target price on Starbucks from $90.00 to $105.00 and gave the stock an “overweight” rating in a research report on Monday, September 30th. Two research analysts have rated the stock with a sell rating, ten have given a hold rating, sixteen have issued a buy rating and one has given a strong buy rating to the company. Based on data from MarketBeat, the company currently has an average rating of “Moderate Buy” and a consensus price target of $102.48.

Starbucks Stock Up 0.2 %

Starbucks stock opened at $97.31 on Friday. The firm has a market capitalization of $110.22 billion, a P/E ratio of 26.81, a PEG ratio of 2.14 and a beta of 0.97. The firm has a fifty day moving average of $95.48 and a 200-day moving average of $85.03. Starbucks has a 52-week low of $71.55 and a 52-week high of $107.66.

Starbucks (NASDAQ:SBUX) last announced its earnings results on Tuesday, July 30th. The coffee company reported $0.93 earnings per share for the quarter, meeting the consensus estimate of $0.93. The firm had revenue of $9.11 billion during the quarter, compared to the consensus estimate of $9.25 billion. Starbucks had a net margin of 11.16% and a negative return on equity of 49.38%. The firm’s revenue for the quarter was down .6% on a year-over-year basis. During the same quarter in the previous year, the company posted $1.00 EPS.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently bought and sold shares of the stock. JFS Wealth Advisors LLC raised its holdings in Starbucks by 22.6% during the third quarter. JFS Wealth Advisors LLC now owns 3,271 shares of the coffee company’s stock worth $319,000 after buying an additional 602 shares during the last quarter. SteelPeak Wealth LLC increased its position in shares of Starbucks by 25.4% during the third quarter. SteelPeak Wealth LLC now owns 26,068 shares of the coffee company’s stock worth $2,541,000 after acquiring an additional 5,286 shares in the last quarter. Pinnacle Associates Ltd. raised its holdings in shares of Starbucks by 30.0% in the 3rd quarter. Pinnacle Associates Ltd. now owns 236,285 shares of the coffee company’s stock worth $22,686,000 after acquiring an additional 54,468 shares during the last quarter. First Trust Direct Indexing L.P. lifted its position in Starbucks by 20.1% in the 3rd quarter. First Trust Direct Indexing L.P. now owns 36,435 shares of the coffee company’s stock valued at $3,552,000 after acquiring an additional 6,090 shares in the last quarter. Finally, Highline Wealth Partners LLC acquired a new position in Starbucks during the 3rd quarter valued at about $1,119,000. 72.29% of the stock is owned by institutional investors.

Insider Transactions at Starbucks

In other news, CEO Michael Aaron Conway sold 3,250 shares of the company’s stock in a transaction on Thursday, August 15th. The shares were sold at an average price of $94.03, for a total transaction of $305,597.50. Following the completion of the transaction, the chief executive officer now directly owns 75,054 shares in the company, valued at approximately $7,057,327.62. This represents a 0.00 % decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through the SEC website. In other news, Director Jorgen Vig Knudstorp acquired 380 shares of Starbucks stock in a transaction dated Friday, September 6th. The shares were bought at an average cost of $91.50 per share, with a total value of $34,770.00. Following the purchase, the director now owns 36,242 shares in the company, valued at $3,316,143. This trade represents a 0.00 % increase in their position. The purchase was disclosed in a legal filing with the SEC, which is available at this hyperlink. Also, CEO Michael Aaron Conway sold 3,250 shares of the company’s stock in a transaction on Thursday, August 15th. The shares were sold at an average price of $94.03, for a total transaction of $305,597.50. Following the sale, the chief executive officer now directly owns 75,054 shares in the company, valued at $7,057,327.62. This trade represents a 0.00 % decrease in their position. The disclosure for this sale can be found here. Company insiders own 1.98% of the company’s stock.

Starbucks Increases Dividend

The firm also recently announced a quarterly dividend, which will be paid on Friday, November 29th. Shareholders of record on Friday, November 15th will be paid a dividend of $0.61 per share. This is an increase from Starbucks’s previous quarterly dividend of $0.57. The ex-dividend date is Friday, November 15th. This represents a $2.44 annualized dividend and a yield of 2.51%. Starbucks’s payout ratio is presently 67.22%.

Starbucks Company Profile

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.