Starbucks (NASDAQ:SBUX) Receives “Outperform” Rating from Royal Bank of Canada

Royal Bank of Canada reissued their outperform rating on shares of Starbucks (NASDAQ:SBUX) in a research report report published on Friday morning,Benzinga reports. The firm currently has a $95.00 target price on the coffee company’s stock.

Several other brokerages have also commented on SBUX. StockNews.com upgraded Starbucks from a “sell” rating to a “hold” rating in a research note on Saturday, May 10th. TD Securities dropped their price target on Starbucks from $102.00 to $90.00 and set a “buy” rating for the company in a research note on Wednesday, April 30th. UBS Group dropped their price target on Starbucks from $105.00 to $90.00 and set a “neutral” rating for the company in a research note on Monday, April 28th. The Goldman Sachs Group downgraded Starbucks from a “buy” rating to a “neutral” rating and decreased their target price for the stock from $103.00 to $85.00 in a research report on Wednesday, April 30th. Finally, Citigroup dropped their target price on Starbucks from $88.00 to $84.00 and set a “neutral” rating on the stock in a report on Wednesday, April 30th. Two equities research analysts have rated the stock with a sell rating, ten have assigned a hold rating and sixteen have assigned a buy rating to the company. According to MarketBeat, the company currently has an average rating of “Moderate Buy” and a consensus price target of $98.72.

Starbucks Price Performance

Shares of NASDAQ:SBUX opened at $85.57 on Friday. The firm has a market capitalization of $97.24 billion, a PE ratio of 27.60, a P/E/G ratio of 3.59 and a beta of 0.99. The business has a 50-day moving average of $88.15 and a two-hundred day moving average of $96.49. Starbucks has a 12 month low of $71.55 and a 12 month high of $117.46.

Starbucks (NASDAQ:SBUX) last announced its quarterly earnings results on Tuesday, April 29th. The coffee company reported $0.41 EPS for the quarter, missing the consensus estimate of $0.51 by ($0.10). The firm had revenue of $8.76 billion for the quarter, compared to analyst estimates of $8.90 billion. Starbucks had a negative return on equity of 44.97% and a net margin of 9.73%. The business’s revenue was up 2.3% compared to the same quarter last year. During the same quarter in the prior year, the company earned $0.68 earnings per share. As a group, research analysts anticipate that Starbucks will post 2.99 earnings per share for the current year.

Starbucks Announces Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Friday, May 30th. Shareholders of record on Friday, May 16th will be issued 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 yield of 2.85%. Starbucks’s dividend payout ratio is presently 88.41%.

Institutional Investors Weigh In On Starbucks

Several hedge funds and other institutional investors have recently bought and sold shares of the business. Kathmere Capital Management LLC grew its position in shares of Starbucks by 9.0% in the 4th quarter. Kathmere Capital Management LLC now owns 2,550 shares of the coffee company’s stock worth $233,000 after acquiring an additional 210 shares in the last quarter. Hennion & Walsh Asset Management Inc. grew its position in shares of Starbucks by 20.7% in the 4th quarter. Hennion & Walsh Asset Management Inc. now owns 4,545 shares of the coffee company’s stock worth $415,000 after acquiring an additional 779 shares in the last quarter. Capital Advisors Wealth Management LLC grew its position in shares of Starbucks by 27.3% in the 4th quarter. Capital Advisors Wealth Management LLC now owns 3,583 shares of the coffee company’s stock worth $327,000 after acquiring an additional 768 shares in the last quarter. Cohen Investment Advisors LLC grew its position in shares of Starbucks by 2.3% in the 4th quarter. Cohen Investment Advisors LLC now owns 23,284 shares of the coffee company’s stock worth $2,125,000 after acquiring an additional 521 shares in the last quarter. Finally, Morton Capital Management LLC CA grew its position in shares of Starbucks by 144.6% in the 4th quarter. Morton Capital Management LLC CA now owns 6,771 shares of the coffee company’s stock worth $618,000 after acquiring an additional 4,003 shares in the last quarter. 72.29% of the stock is currently 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.