Key Points
- Starbucks CEO Brady Brewer sold 588 shares at an average price of $100, generating $58,800. The transaction, conducted under a pre-arranged Rule 10b5-1 plan, reduced his holdings by 0.82% to 70,920 shares.
- Starbucks reported quarterly EPS of $0.85, exceeding the $0.66 analyst estimate, while revenue reached $9.32 billion but declined 1.4% year over year. The company raised its quarterly dividend from $0.62 to $0.63 per share.
- Analysts maintain a generally positive outlook, with a consensus “Moderate Buy” rating and average price target of $110.43, though concerns remain about Starbucks’ elevated valuation and potential sales slowdowns.
Starbucks Corporation (NASDAQ:SBUX - Get Free Report) CEO Brady Brewer sold 588 shares of the business's stock in a transaction dated Tuesday, October 20th. The stock was sold at an average price of $100.00, for a total value of $58,800.00. Following the sale, the chief executive officer owned 70,920 shares in the company, valued at approximately $7,092,000. The trade was a 0.82% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is accessible through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan.
Brady Brewer also recently made the following trade(s):
- On Monday, October 5th, Brady Brewer sold 1,641 shares of Starbucks stock. The stock was sold at an average price of $94.76, for a total transaction of $155,501.16.
- On Friday, September 4th, Brady Brewer sold 2,229 shares of Starbucks stock. The stock was sold at an average price of $105.60, for a total transaction of $235,382.40.
- On Wednesday, August 5th, Brady Brewer sold 2,229 shares of Starbucks stock. The stock was sold at an average price of $105.99, for a total transaction of $236,251.71.
Starbucks Price Performance
SBUX stock opened at $101.91 on Friday. The firm has a market capitalization of $116.18 billion, a P/E ratio of 40.77, a P/E/G ratio of 1.43 and a beta of 0.98. Starbucks Corporation has a 52-week low of $77.99 and a 52-week high of $110.51. The company's 50 day simple moving average is $99.58 and its 200-day simple moving average is $101.38.
Starbucks (NASDAQ:SBUX - Get Free Report) last posted its quarterly earnings data on Wednesday, July 29th. The coffee company reported $0.85 EPS for the quarter, topping analysts' consensus estimates of $0.66 by $0.19. Starbucks had a net margin of 5.17% and a negative return on equity of 34.10%. The firm had revenue of $9.32 billion during the quarter, compared to analyst estimates of $9.17 billion. During the same quarter last year, the business posted $0.50 EPS. The company's revenue was down 1.4% on a year-over-year basis. Starbucks has set its FY 2026 guidance at 2.550-2.650 EPS. Sell-side analysts predict that Starbucks Corporation will post 2.60 EPS for the current fiscal year.
Starbucks Increases Dividend
The firm also recently announced a quarterly dividend, which will be paid on Friday, November 27th. Stockholders of record on Friday, November 13th will be issued a $0.63 dividend. The ex-dividend date is Friday, November 13th. This is an increase from Starbucks's previous quarterly dividend of $0.62. This represents a $2.52 dividend on an annualized basis and a dividend yield of 2.5%. Starbucks's dividend payout ratio is currently 142.53%.
Trending Headlines about Starbucks
Here are the key news stories impacting Starbucks this week:
- Positive Sentiment: Analysts and earnings-focused coverage point to a potential quarterly earnings beat, citing favorable estimates and other indicators ahead of Starbucks’ report. Strong results or upbeat guidance under the “Back to Starbucks” plan could support the stock. Starbucks Earnings Expected to Grow
- Positive Sentiment: Starbucks recently raised its quarterly dividend to $0.63 per share. Investors are also watching the company’s approximately $2 billion cost-savings initiative as potential evidence that profitability and shareholder returns can improve. Starbucks Bull Case Ahead of Fourth-Quarter Results
- Positive Sentiment: Coverage highlights Starbucks’ premium global brand, dividend appeal and recent stock performance relative to parts of the retail sector. The company’s November dividend schedule may attract income-oriented investors, though it is not a major near-term earnings catalyst. Starbucks November Dividend
- Neutral Sentiment: Starbucks China is introducing new rules concerning customer seating and coffeehouse usage. The changes could improve store capacity and turnover, but their financial effect remains unclear. Starbucks China Launches New Rules
- Neutral Sentiment: Reports that Starbucks explored acquiring Chipotle have faded, removing a potentially disruptive deal but also eliminating a possible diversification catalyst. Analysts continue to debate whether Starbucks is preferable to other consumer brands such as PepsiCo. Investors Discuss Starbucks
- Negative Sentiment: Starbucks trades at a demanding valuation—roughly 59 times earnings based on the provided data—so the upcoming report must deliver meaningful growth. Concerns about a sales slowdown could pressure the shares if comparable-store sales or guidance disappoint. Could Starbucks Survive a Sales Slowdown
- Negative Sentiment: Wells Fargo remains overweight but reduced its price target from $125 to $120, signaling somewhat less upside despite continued confidence in the turnaround. Wells Fargo Lowers Starbucks Price Target
Institutional Investors Weigh In On Starbucks
A number of hedge funds and other institutional investors have recently added to or reduced their stakes in the stock. Meeder Asset Management Inc. acquired a new stake in shares of Starbucks during the 2nd quarter valued at $25,000. Black Cypress Capital Management LLC acquired a new position in shares of Starbucks in the second quarter worth $27,000. Financial Freedom LLC increased its stake in shares of Starbucks by 296.2% in the first quarter. Financial Freedom LLC now owns 313 shares of the coffee company's stock worth $28,000 after acquiring an additional 234 shares during the last quarter. Bangor Savings Bank increased its stake in shares of Starbucks by 207.5% in the second quarter. Bangor Savings Bank now owns 326 shares of the coffee company's stock worth $33,000 after acquiring an additional 220 shares during the last quarter. Finally, BOK Financial Private Wealth Inc. purchased a new stake in shares of Starbucks during the second quarter worth $34,000. Hedge funds and other institutional investors own 72.29% of the company's stock.
Wall Street Analyst Weigh In
Several research firms recently weighed in on SBUX. Needham & Company LLC set a $120.00 price target on Starbucks in a research report on Tuesday, August 18th. Wells Fargo & Company reduced their price objective on Starbucks from $125.00 to $120.00 and set an "overweight" rating for the company in a research note on Wednesday. Seaport Research Partners started coverage on Starbucks in a research report on Wednesday, September 16th. They set a "neutral" rating for the company. William Blair reaffirmed an "outperform" rating on shares of Starbucks in a research note on Thursday, October 8th. Finally, Melius Research set a $110.00 target price on Starbucks in a research note on Monday, August 3rd. Twenty-four equities research analysts have rated the stock with a Buy rating, twelve have issued a Hold rating and four have issued a Sell rating to the stock. According to data from MarketBeat.com, Starbucks currently has an average rating of "Moderate Buy" and an average target price of $110.43.
View Our Latest Research Report on Starbucks
Starbucks Company Profile
(
Get Free Report)
Starbucks Corporation is a global specialty coffee company headquartered in Seattle, Washington. Founded in 1971, the company operates and licenses coffeehouses under the Starbucks brand, serving brewed coffee, espresso beverages, teas, cold drinks, food, and other ready-to-consume products.
In addition to its company-operated and licensed stores, Starbucks sells packaged coffee, tea, and single-serve products through grocery retailers, convenience stores, and other distribution channels.
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