Meadowbrook Wealth Management LLC purchased a new position in shares of Starbucks Corporation (NASDAQ:SBUX – Free Report) during the second quarter, according to its most recent disclosure with the Securities & Exchange Commission. The institutional investor purchased 5,675 shares of the coffee company’s stock, valued at approximately $587,000.
Several other hedge funds and other institutional investors have also recently made changes to their positions in the business. Rachor Investment Advisory Services LLC purchased a new position in Starbucks during the 4th quarter worth $25,000. Phillip James Consulting Co. purchased a new stake in Starbucks in the fourth quarter valued at about $25,000. Cornerstone Financial Management LLC acquired a new stake in Starbucks in the fourth quarter worth about $25,000. Entrust Financial LLC acquired a new stake in Starbucks in the fourth quarter worth about $26,000. Finally, Financial Freedom LLC grew its stake in shares of Starbucks by 296.2% during the first quarter. Financial Freedom LLC now owns 313 shares of the coffee company’s stock worth $28,000 after acquiring an additional 234 shares during the last quarter. Hedge funds and other institutional investors own 72.29% of the company’s stock.
Analyst Ratings Changes
Several equities analysts have recently issued reports on SBUX shares. Sanford C. Bernstein downgraded shares of Starbucks from an “outperform” rating to a “market perform” rating in a report on Monday. Jefferies Financial Group began coverage on shares of Starbucks in a research report on Thursday, May 14th. They set a “buy” rating on the stock. Raymond James Financial lowered shares of Starbucks to an “outperform” rating in a research note on Monday. Citigroup raised their price target on shares of Starbucks from $108.00 to $112.00 and gave the stock a “neutral” rating in a report on Thursday, July 30th. Finally, Scotiabank downgraded shares of Starbucks from a “market perform” rating to an “underperform” rating in a research note on Thursday, May 14th. Nineteen analysts have rated the stock with a Buy rating, eleven have assigned a Hold rating and four have issued a Sell rating to the company. According to MarketBeat, Starbucks currently has a consensus rating of “Hold” and an average price target of $111.96.
Key Headlines Impacting Starbucks
Here are the key news stories impacting Starbucks this week:
- Positive Sentiment: Starbucks raised its fiscal 2026 outlook after reporting stronger sales, customer traffic and margins. Management highlighted broader traffic gains, faster service and store upgrades as evidence that its turnaround is gaining traction. Can Starbucks’ Raised 2026 Outlook Drive a Durable Earnings Recovery?
- Positive Sentiment: The latest earnings performance exceeded expectations, with adjusted earnings of $0.85 per share versus the $0.66 consensus estimate and revenue of $9.32 billion versus $9.17 billion expected. The company also projects fiscal 2026 earnings of $2.55 to $2.65 per share. SBUX Q3 Earnings Call Highlights Durable Traffic Recovery
- Positive Sentiment: Analyst support remains constructive: BTIG and TD Cowen reiterated Buy ratings, while several firms raised price targets to between $110 and $125, suggesting additional upside if the recovery continues. Starbucks’ Buy Rating Reiterated at BTIG Research
- Positive Sentiment: Melius Research upgraded Starbucks from Sell to Hold following the strong quarterly results, reducing an important source of bearish pressure. Starbucks Stock Is Upgraded
- Neutral Sentiment: The recovery story is improving, but analysts caution that Starbucks must sustain traffic growth and control costs to deliver a durable earnings rebound. Its elevated valuation leaves limited room for disappointing execution. Can Starbucks’ Raised 2026 Outlook Drive a Durable Earnings Recovery?
- Negative Sentiment: Starbucks is reviewing underperforming locations and CEO Brian Niccol indicated that some U.S. stores may close. While closures could improve the store portfolio, they also signal ongoing pressure from high costs and uneven local demand. Starbucks CEO Says Your Local Store May Not Survive
Insider Activity at Starbucks
In other news, CEO Brady Brewer sold 2,229 shares of the company’s stock in a transaction on Monday, July 6th. The shares were sold at an average price of $104.00, for a total value of $231,816.00. Following the sale, the chief executive officer directly owned 77,364 shares of the company’s stock, valued at $8,045,856. This represents a 2.80% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last quarter, insiders have sold 4,458 shares of company stock valued at $445,412. 0.03% of the stock is owned by corporate insiders.
Starbucks Stock Down 1.8%
Shares of NASDAQ:SBUX opened at $103.37 on Tuesday. Starbucks Corporation has a 52-week low of $77.99 and a 52-week high of $109.23. The stock has a market cap of $117.84 billion, a price-to-earnings ratio of 59.41, a PEG ratio of 1.84 and a beta of 0.97. The business has a 50-day moving average price of $102.24 and a 200-day moving average price of $99.24.
Starbucks (NASDAQ:SBUX – Get Free Report) last issued its earnings results on Wednesday, July 29th. The coffee company reported $0.85 EPS for the quarter, beating analysts’ consensus estimates of $0.66 by $0.19. Starbucks had a negative return on equity of 34.10% and a net margin of 5.17%.The firm had revenue of $9.32 billion for the quarter, compared to analyst estimates of $9.17 billion. During the same quarter in the prior year, the firm earned $0.50 earnings per share. Starbucks’s revenue for the quarter was down 1.4% on a year-over-year basis. Starbucks has set its FY 2026 guidance at 2.550-2.650 EPS. As a group, equities analysts anticipate that Starbucks Corporation will post 2.6 EPS for the current fiscal year.
Starbucks Announces Dividend
The firm also recently disclosed a quarterly dividend, which will be paid on Friday, August 28th. Shareholders of record on Friday, August 14th will be paid a dividend of $0.62 per share. This represents a $2.48 annualized dividend and a yield of 2.4%. The ex-dividend date is Friday, August 14th. Starbucks’s payout ratio is presently 142.53%.
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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