Starbucks (NASDAQ:SBUX) Stock Price Down 0.7% on Analyst Downgrade

Starbucks Co. (NASDAQ:SBUX)’s share price was down 0.7% during trading on Thursday after HSBC lowered their price target on the stock from $107.00 to $84.00. HSBC currently has a hold rating on the stock. Starbucks traded as low as $73.35 and last traded at $73.90. Approximately 8,871,633 shares were traded during mid-day trading, a decline of 3% from the average daily volume of 9,120,123 shares. The stock had previously closed at $74.44.

A number of other equities analysts have also recently issued reports on the company. DZ Bank cut Starbucks from a “buy” rating to a “hold” rating and set a $75.00 target price for the company. in a report on Friday. William Blair cut Starbucks from an “outperform” rating to a “market perform” rating in a report on Wednesday. Piper Sandler dropped their target price on Starbucks from $107.00 to $100.00 and set a “neutral” rating for the company in a report on Friday, January 19th. Wedbush dropped their target price on Starbucks from $95.00 to $92.00 and set a “neutral” rating for the company in a report on Friday, April 26th. Finally, BMO Capital Markets decreased their price target on Starbucks from $125.00 to $120.00 and set an “outperform” rating on the stock in a research report on Wednesday, January 31st. Seventeen investment analysts have rated the stock with a hold rating and nine have assigned a buy rating to the stock. Based on data from MarketBeat, Starbucks currently has an average rating of “Hold” and an average target price of $97.09.

Insider Buying and Selling

In other Starbucks news, CEO Michael Aaron Conway sold 3,250 shares of Starbucks stock in a transaction dated Monday, April 15th. The stock was sold at an average price of $85.39, for a total value of $277,517.50. Following the sale, the chief executive officer now owns 81,199 shares of the company’s stock, valued at approximately $6,933,582.61. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. In the last quarter, insiders have sold 7,250 shares of company stock valued at $651,738. 1.98% of the stock is owned by company insiders.

Institutional Trading of Starbucks

Hedge funds and other institutional investors have recently modified their holdings of the company. Scarborough Advisors LLC bought a new position in shares of Starbucks in the 4th quarter valued at about $26,000. Vima LLC bought a new position in shares of Starbucks in the 4th quarter valued at about $26,000. DSM Capital Partners LLC bought a new position in shares of Starbucks in the 4th quarter valued at about $27,000. Fairman Group LLC bought a new position in shares of Starbucks in the 4th quarter valued at about $30,000. Finally, Riggs Asset Managment Co. Inc. grew its holdings in shares of Starbucks by 1,578.9% in the 3rd quarter. Riggs Asset Managment Co. Inc. now owns 319 shares of the coffee company’s stock valued at $29,000 after acquiring an additional 300 shares in the last quarter. Institutional investors and hedge funds own 72.29% of the company’s stock.

Starbucks Stock Down 2.4 %

The business has a fifty day moving average of $89.34 and a 200 day moving average of $93.98. The firm has a market cap of $82.81 billion, a P/E ratio of 20.14, a PEG ratio of 1.28 and a beta of 0.97.

Starbucks (NASDAQ:SBUX) last announced its quarterly earnings results on Tuesday, April 30th. The coffee company reported $0.68 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.79 by ($0.11). Starbucks had a net margin of 11.38% and a negative return on equity of 49.91%. The business had revenue of $8.56 billion for the quarter, compared to analyst estimates of $9.12 billion. During the same period in the prior year, the business earned $0.74 EPS. The company’s revenue for the quarter was down 1.8% compared to the same quarter last year. Research analysts expect that Starbucks Co. will post 3.89 EPS for the current year.

Starbucks Announces Dividend

The business also recently declared a quarterly dividend, which will be paid on Friday, May 31st. Shareholders of record on Friday, May 17th will be issued a $0.57 dividend. The ex-dividend date of this dividend is Thursday, May 16th. This represents a $2.28 annualized dividend and a yield of 3.12%. Starbucks’s dividend payout ratio is currently 62.81%.

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.