Starbucks (NASDAQ:SBUX) Shares Down 0.2% Following Analyst Downgrade

Starbucks Co. (NASDAQ:SBUX)’s stock price fell 0.2% during mid-day trading on Tuesday after Citigroup lowered their price target on the stock from $99.00 to $96.00. Citigroup currently has a neutral rating on the stock. Starbucks traded as low as $95.94 and last traded at $96.28. 674,869 shares were traded during mid-day trading, a decline of 94% from the average session volume of 11,315,588 shares. The stock had previously closed at $96.45.

Other research analysts have also recently issued research reports about the stock. Barclays lifted their target price on shares of Starbucks from $93.00 to $110.00 and gave the company an “overweight” rating in a research note on Wednesday, August 14th. Sanford C. Bernstein upgraded shares of Starbucks from a “market perform” rating to an “outperform” rating and boosted their price objective for the stock from $92.00 to $115.00 in a research report on Thursday, September 26th. Evercore ISI upgraded shares of Starbucks from an “in-line” rating to an “outperform” rating and boosted their price objective for the stock from $80.00 to $120.00 in a research report on Wednesday, August 14th. Robert W. Baird upgraded shares of Starbucks from a “neutral” rating to an “outperform” rating and boosted their price objective for the stock from $81.00 to $110.00 in a research report on Tuesday, August 13th. Finally, Stifel Nicolaus dropped their price objective on shares of Starbucks from $110.00 to $105.00 and set a “buy” rating for the company in a research report on Wednesday. Two analysts have rated the stock with a sell rating, ten have given a hold rating, sixteen have issued a buy rating and one has issued a strong buy rating to the company. According to MarketBeat.com, the stock presently has a consensus rating of “Moderate Buy” and a consensus target price of $102.48.

Insider Activity

In other news, CEO Rachel Ruggeri sold 3,290 shares of the business’s stock in a transaction on Tuesday, August 13th. The shares were sold at an average price of $91.16, for a total value of $299,916.40. Following the completion of the transaction, the chief executive officer now owns 62,502 shares of the company’s stock, valued at $5,697,682.32. The trade was a 0.00 % decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. In other news, CEO Rachel Ruggeri sold 3,290 shares of the business’s stock in a transaction on Tuesday, August 13th. The shares were sold at an average price of $91.16, for a total value of $299,916.40. Following the completion of the transaction, the chief executive officer now owns 62,502 shares of the company’s stock, valued at $5,697,682.32. The trade was a 0.00 % decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, Director Jorgen Vig Knudstorp purchased 380 shares of the firm’s stock in a transaction dated Friday, September 6th. The stock was purchased at an average cost of $91.50 per share, with a total value of $34,770.00. Following the acquisition, the director now directly owns 36,242 shares in the company, valued at $3,316,143. This trade represents a 0.00 % increase in their ownership of the stock. The disclosure for this purchase can be found here. 1.98% of the stock is owned by company insiders.

Hedge Funds Weigh In On Starbucks

Institutional investors and hedge funds have recently added to or reduced their stakes in the stock. Strategic Investment Solutions Inc. IL acquired a new position in Starbucks in the 2nd quarter worth $25,000. New Millennium Group LLC acquired a new position in Starbucks in the 2nd quarter worth $26,000. Stephens Consulting LLC boosted its stake in Starbucks by 498.2% in the 2nd quarter. Stephens Consulting LLC now owns 335 shares of the coffee company’s stock worth $26,000 after purchasing an additional 279 shares during the period. Hobbs Group Advisors LLC acquired a new position in Starbucks in the 2nd quarter worth $27,000. Finally, Olistico Wealth LLC acquired a new position in shares of Starbucks during the 2nd quarter worth about $31,000. 72.29% of the stock is owned by institutional investors and hedge funds.

Starbucks Stock Performance

The company has a market cap of $110.61 billion, a P/E ratio of 26.90, a PEG ratio of 2.14 and a beta of 0.97. The company has a fifty day moving average price of $95.38 and a two-hundred day moving average price of $84.89.

Starbucks (NASDAQ:SBUX) last announced its quarterly earnings data on Tuesday, July 30th. The coffee company reported $0.93 earnings per share for the quarter, meeting the consensus estimate of $0.93. The company had revenue of $9.11 billion during the quarter, compared to analysts’ expectations of $9.25 billion. Starbucks had a negative return on equity of 49.38% and a net margin of 11.16%. Starbucks’s revenue for the quarter was down .6% compared to the same quarter last year. During the same quarter last year, the company earned $1.00 EPS. Research analysts anticipate that Starbucks Co. will post 3.55 EPS for the current year.

Starbucks Increases Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Friday, November 29th. Stockholders of record on Friday, November 15th will be issued a $0.61 dividend. This is a boost from Starbucks’s previous quarterly dividend of $0.57. The ex-dividend date of this dividend is Friday, November 15th. This represents a $2.44 annualized dividend and a dividend yield of 2.50%. Starbucks’s dividend payout ratio (DPR) is presently 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.