Starbucks (NASDAQ:SBUX) PT Lowered to $85.00 at UBS Group

Starbucks (NASDAQ:SBUX) had its target price reduced by UBS Group from $95.00 to $85.00 in a report issued on Wednesday, Benzinga reports. They currently have a neutral rating on the coffee company’s stock.

Several other equities research analysts also recently commented on SBUX. Deutsche Bank Aktiengesellschaft downgraded Starbucks from a buy rating to a hold rating and reduced their price objective for the stock from $108.00 to $89.00 in a report on Wednesday. Citigroup reduced their price objective on Starbucks from $102.00 to $95.00 and set a neutral rating for the company in a report on Friday, April 12th. Gordon Haskett downgraded Starbucks from a buy rating to a hold rating and set a $100.00 price objective for the company. in a report on Tuesday, January 16th. BTIG Research reduced their price objective on Starbucks from $115.00 to $100.00 and set a buy rating for the company in a report on Wednesday. Finally, BMO Capital Markets reduced 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. Sixteen equities research analysts have rated the stock with a hold rating and nine have assigned a buy rating to the company. According to MarketBeat.com, the company has an average rating of Hold and an average price target of $100.39.

Starbucks Price Performance

SBUX opened at $74.44 on Wednesday. The stock has a 50-day moving average price of $89.76 and a 200-day moving average price of $94.11. The firm has a market cap of $84.28 billion, a PE ratio of 20.51, a P/E/G ratio of 1.49 and a beta of 0.97. Starbucks has a 1 year low of $72.67 and a 1 year high of $114.56.

Starbucks (NASDAQ:SBUX) last posted 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). The company had revenue of $8.56 billion during the quarter, compared to analysts’ expectations of $9.12 billion. Starbucks had a negative return on equity of 50.10% and a net margin of 11.38%. Starbucks’s revenue for the quarter was down 1.8% compared to the same quarter last year. During the same period in the prior year, the firm earned $0.74 EPS. As a group, sell-side analysts anticipate that Starbucks will post 3.99 EPS for the current year.

Starbucks Dividend Announcement

The business also recently disclosed a quarterly dividend, which will be paid on Friday, May 31st. Investors of record on Friday, May 17th will be paid a dividend of $0.57 per share. The ex-dividend date of this dividend is Thursday, May 16th. This represents a $2.28 dividend on an annualized basis and a dividend yield of 3.06%. Starbucks’s dividend payout ratio (DPR) is presently 62.81%.

Insider Buying and Selling

In related news, CEO Michael Aaron Conway sold 3,250 shares of the business’s stock in a transaction that occurred on Monday, April 15th. The stock was sold at an average price of $85.39, for a total value of $277,517.50. Following the transaction, the chief executive officer now directly owns 81,199 shares of the company’s stock, valued at approximately $6,933,582.61. The transaction was disclosed in a legal filing with the SEC, which can be accessed through the SEC website. In the last three months, insiders have sold 7,250 shares of company stock valued at $651,738. Corporate insiders own 1.98% of the company’s stock.

Institutional Trading of Starbucks

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

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.