Starbucks (NASDAQ:SBUX) Downgraded to “Hold” at DZ Bank

DZ Bank downgraded shares of Starbucks (NASDAQ:SBUX) from a buy rating to a hold rating in a research report sent to investors on Friday, MarketBeat Ratings reports. The brokerage currently has $75.00 target price on the coffee company’s stock.

Other research analysts also recently issued reports about the company. Wells Fargo & Company cut their price target on Starbucks from $105.00 to $90.00 and set an overweight rating for the company in a report on Wednesday. BMO Capital Markets dropped their price objective on Starbucks from $125.00 to $120.00 and set an outperform rating for the company in a report on Wednesday, January 31st. Evercore ISI dropped their price objective on Starbucks from $120.00 to $92.00 and set an outperform rating for the company in a report on Wednesday. TD Cowen dropped their price objective on Starbucks from $100.00 to $85.00 and set a hold rating for the company in a report on Wednesday. Finally, Robert W. Baird dropped their price objective on Starbucks from $106.00 to $100.00 and set a neutral rating for the company in a report on Monday, March 18th. Seventeen analysts have rated the stock with a hold rating and nine have given a buy rating to the stock. According to data from MarketBeat.com, Starbucks presently has an average rating of Hold and a consensus price target of $97.09.

Starbucks Price Performance

SBUX traded down $1.82 during trading on Friday, hitting $73.11. The company’s stock had a trading volume of 22,153,770 shares, compared to its average volume of 12,042,146. The firm’s 50 day moving average price is $88.89 and its 200-day moving average price is $93.84. The stock has a market cap of $82.81 billion, a PE ratio of 20.14, a PEG ratio of 1.39 and a beta of 0.97. Starbucks has a twelve month low of $72.67 and a twelve month high of $108.12.

Starbucks (NASDAQ:SBUX) last issued its quarterly earnings results on Tuesday, April 30th. The coffee company reported $0.68 earnings per share for the quarter, missing the consensus estimate of $0.79 by ($0.11). The business had revenue of $8.56 billion during the quarter, compared to analyst estimates of $9.12 billion. Starbucks had a net margin of 11.38% and a negative return on equity of 49.91%. The company’s revenue was down 1.8% on a year-over-year basis. During the same quarter last year, the firm posted $0.74 earnings per share. Equities analysts anticipate that Starbucks will post 3.69 earnings per share for the current year.

Starbucks Announces Dividend

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

Insider Buying and Selling at Starbucks

In other Starbucks news, insider Michael Aaron Conway sold 3,250 shares of the company’s stock in a transaction dated Thursday, February 15th. The shares were sold at an average price of $94.03, for a total value of $305,597.50. Following the completion of the transaction, the insider now directly owns 84,153 shares of the company’s stock, valued at approximately $7,912,906.59. The transaction was disclosed in a filing with the SEC, which is accessible through this link. Insiders sold a total of 7,250 shares of company stock valued at $651,738 in the last ninety days. Insiders own 1.98% of the company’s stock.

Hedge Funds Weigh In On Starbucks

Large investors have recently modified their holdings of the stock. Geneos Wealth Management Inc. lifted its holdings in Starbucks by 3.6% in the first quarter. Geneos Wealth Management Inc. now owns 20,757 shares of the coffee company’s stock worth $1,897,000 after acquiring an additional 729 shares during the last quarter. Valley Wealth Managers Inc. bought a new position in Starbucks in the first quarter worth about $4,164,000. Richardson Financial Services Inc. lifted its holdings in Starbucks by 17.5% in the first quarter. Richardson Financial Services Inc. now owns 2,715 shares of the coffee company’s stock worth $248,000 after acquiring an additional 405 shares during the last quarter. Clarity Capital Partners LLC lifted its holdings in Starbucks by 20.1% in the first quarter. Clarity Capital Partners LLC now owns 11,996 shares of the coffee company’s stock worth $1,096,000 after acquiring an additional 2,005 shares during the last quarter. Finally, Avidian Wealth Solutions LLC lifted its holdings in Starbucks by 12.2% in the first quarter. Avidian Wealth Solutions LLC now owns 13,238 shares of the coffee company’s stock worth $1,210,000 after acquiring an additional 1,443 shares during the last quarter. Institutional investors own 72.29% of the company’s stock.

About Starbucks

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.