Jefferies Financial Group Cuts Starbucks (NASDAQ:SBUX) Price Target to $80.00

Starbucks (NASDAQ:SBUX) had its price objective trimmed by Jefferies Financial Group from $84.00 to $80.00 in a research report report published on Wednesday. The brokerage currently has a hold rating on the coffee company’s stock.

Several other brokerages also recently issued reports on SBUX. Bank of America increased their price objective on Starbucks from $108.00 to $112.00 and gave the stock a buy rating in a research note on Monday, June 10th. William Blair downgraded Starbucks from an outperform rating to a market perform rating in a research note on Wednesday, May 1st. Morgan Stanley reduced their price objective on Starbucks from $104.00 to $98.00 and set an overweight rating for the company in a research note on Friday, July 12th. Wells Fargo & Company reduced their price objective on Starbucks from $105.00 to $90.00 and set an overweight rating for the company in a research note on Wednesday, May 1st. Finally, Piper Sandler reduced their price objective on Starbucks from $88.00 to $85.00 and set a neutral rating for the company in a research note on Monday, May 6th. Seventeen investment analysts have rated the stock with a hold rating and nine have assigned a buy rating to the company. According to MarketBeat.com, the stock currently has an average rating of Hold and a consensus target price of $90.88.

Starbucks Stock Up 1.0 %

Shares of NASDAQ SBUX opened at $75.88 on Wednesday. Starbucks has a 12 month low of $71.55 and a 12 month high of $107.66. The company has a market cap of $85.99 billion, a price-to-earnings ratio of 20.90, a P/E/G ratio of 1.74 and a beta of 0.94. The business has a fifty day simple moving average of $77.62 and a 200-day simple moving average of $84.66.

Starbucks (NASDAQ:SBUX) last announced its earnings results on Tuesday, July 30th. The coffee company reported $0.93 EPS for the quarter, meeting the consensus estimate of $0.93. Starbucks had a negative return on equity of 49.38% and a net margin of 11.16%. The business had revenue of $9.11 billion during the quarter, compared to the consensus estimate of $9.25 billion. During the same period in the prior year, the business posted $1.00 earnings per share. Starbucks’s revenue was down .6% compared to the same quarter last year. As a group, sell-side analysts expect that Starbucks will post 3.55 EPS for the current fiscal year.

Starbucks Dividend Announcement

The business also recently disclosed a quarterly dividend, which will be paid on Friday, August 30th. Stockholders of record on Friday, August 16th will be issued a dividend of $0.57 per share. This represents a $2.28 dividend on an annualized basis and a dividend yield of 3.00%. The ex-dividend date is Friday, August 16th. Starbucks’s dividend payout ratio is 62.81%.

Insider Activity

In related news, CEO Michael Aaron Conway sold 3,250 shares of the stock in a transaction that occurred on Friday, June 14th. The stock was sold at an average price of $80.00, for a total transaction of $260,000.00. Following the completion of the sale, the chief executive officer now owns 78,304 shares in the company, valued at approximately $6,264,320. The sale was disclosed in a filing with the SEC, which is available through the SEC website. In related news, CEO Michael Aaron Conway sold 3,250 shares of the stock in a transaction that occurred on Friday, June 14th. The stock was sold at an average price of $80.00, for a total transaction of $260,000.00. Following the completion of the sale, the chief executive officer now owns 78,304 shares in the company, valued at approximately $6,264,320. The sale was disclosed in a filing with the SEC, which is available through the SEC website. Also, CFO Rachel Ruggeri sold 3,750 shares of the stock in a transaction that occurred on Wednesday, May 22nd. The shares were sold at an average price of $80.00, for a total value of $300,000.00. Following the sale, the chief financial officer now owns 65,431 shares of the company’s stock, valued at approximately $5,234,480. The disclosure for this sale can be found here. In the last quarter, insiders have sold 7,250 shares of company stock valued at $579,375. Insiders own 1.98% of the company’s stock.

Institutional Trading of Starbucks

Several hedge funds have recently added to or reduced their stakes in SBUX. Orca Investment Management LLC lifted its position in shares of Starbucks by 6.6% in the 4th quarter. Orca Investment Management LLC now owns 7,494 shares of the coffee company’s stock worth $719,000 after acquiring an additional 466 shares during the period. Cerity Partners LLC lifted its position in shares of Starbucks by 481.9% in the 4th quarter. Cerity Partners LLC now owns 1,547,411 shares of the coffee company’s stock worth $148,567,000 after acquiring an additional 1,281,471 shares during the period. Cox Capital Mgt LLC lifted its position in shares of Starbucks by 41.9% in the 1st quarter. Cox Capital Mgt LLC now owns 45,322 shares of the coffee company’s stock worth $4,142,000 after acquiring an additional 13,372 shares during the period. Summa Corp. bought a new stake in shares of Starbucks in the 4th quarter worth approximately $384,000. Finally, Brevan Howard Capital Management LP bought a new stake in shares of Starbucks in the 4th quarter worth approximately $2,781,000. Institutional investors own 72.29% of the company’s stock.

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.