Starbucks (NASDAQ:SBUX) Upgraded by Jefferies Financial Group to "Hold" Rating

Jefferies Financial Group upgraded shares of Starbucks (NASDAQ:SBUX - Free Report) from an underperform rating to a hold rating in a research report sent to investors on Wednesday, MarketBeat.com reports. They currently have $76.00 price target on the coffee company's stock.

A number of other equities research analysts have also recently commented on SBUX. Royal Bank of Canada reaffirmed an "outperform" rating and set a $115.00 price objective on shares of Starbucks in a research note on Friday, January 24th. Stifel Nicolaus raised their price target on shares of Starbucks from $110.00 to $114.00 and gave the company a "buy" rating in a research report on Monday, January 27th. Wedbush lifted their price objective on shares of Starbucks from $95.00 to $100.00 and gave the company a "neutral" rating in a report on Wednesday, January 29th. UBS Group increased their target price on shares of Starbucks from $98.00 to $105.00 and gave the stock a "neutral" rating in a research note on Wednesday, January 29th. Finally, BMO Capital Markets upped their price target on Starbucks from $110.00 to $115.00 and gave the stock an "outperform" rating in a report on Wednesday, January 29th. Two equities research analysts have rated the stock with a sell rating, nine have assigned a hold rating and seventeen have given a buy rating to the company. According to data from MarketBeat.com, the company currently has a consensus rating of "Moderate Buy" and an average price target of $104.68.

Remove Ads

Starbucks Stock Down 1.6 %

Shares of SBUX traded down $1.38 during trading hours on Wednesday, reaching $84.05. 3,872,753 shares of the company traded hands, compared to its average volume of 11,455,011. The business has a fifty day moving average price of $102.16 and a 200-day moving average price of $98.79. Starbucks has a 12-month low of $71.55 and a 12-month high of $117.46. The stock has a market capitalization of $95.47 billion, a P/E ratio of 27.11, a P/E/G ratio of 3.59 and a beta of 1.00.

Starbucks (NASDAQ:SBUX - Get Free Report) last released its quarterly earnings data on Tuesday, January 28th. The coffee company reported $0.69 EPS for the quarter, beating the consensus estimate of $0.68 by $0.01. Starbucks had a net margin of 9.73% and a negative return on equity of 44.97%. During the same period in the prior year, the company posted $0.90 EPS. As a group, research analysts predict that Starbucks will post 2.99 EPS for the current fiscal year.

Starbucks Dividend Announcement

The company also recently declared a quarterly dividend, which will be paid on Friday, May 30th. Stockholders of record on Friday, May 16th will be given a dividend of $0.61 per share. The ex-dividend date of this dividend is Friday, May 16th. This represents a $2.44 annualized dividend and a dividend yield of 2.90%. Starbucks's payout ratio is 78.71%.

Institutional Investors Weigh In On Starbucks

Hedge funds and other institutional investors have recently bought and sold shares of the company. Vanguard Group Inc. increased its holdings in shares of Starbucks by 0.7% during the 4th quarter. Vanguard Group Inc. now owns 111,106,209 shares of the coffee company's stock worth $10,138,442,000 after buying an additional 784,432 shares during the last quarter. Capital World Investors increased its stake in Starbucks by 20.1% during the fourth quarter. Capital World Investors now owns 54,924,230 shares of the coffee company's stock worth $5,011,796,000 after acquiring an additional 9,174,682 shares during the last quarter. FMR LLC raised its position in Starbucks by 27.0% in the fourth quarter. FMR LLC now owns 25,128,649 shares of the coffee company's stock valued at $2,292,989,000 after purchasing an additional 5,348,790 shares during the period. Geode Capital Management LLC lifted its stake in shares of Starbucks by 2.3% in the 4th quarter. Geode Capital Management LLC now owns 24,826,001 shares of the coffee company's stock valued at $2,259,516,000 after purchasing an additional 548,245 shares during the last quarter. Finally, Wellington Management Group LLP grew its holdings in shares of Starbucks by 4.7% during the 4th quarter. Wellington Management Group LLP now owns 15,868,817 shares of the coffee company's stock worth $1,448,030,000 after purchasing an additional 718,880 shares during the period. 72.29% of the stock is currently owned by institutional investors and hedge funds.

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.