Starbucks (NASDAQ:SBUX) Stock Price Expected to Rise, Barclays Analyst Says

Key Points

• Barclays has raised its price target for Starbucks (NASDAQ:SBUX) from $106.00 to $115.00, indicating a potential upside of 23.16% from the current price.
• Multiple analysts, including TD Cowen and BMO Capital Markets, have also increased their price targets for Starbucks, reflecting a generally optimistic outlook, although the consensus rating remains a "Hold."
• Starbucks recently reported a quarterly earnings miss, with earnings per share at $0.50 compared to an estimated $0.64, despite revenue growth of 3.8% year-over-year.

Starbucks (NASDAQ:SBUX - Get Free Report) had its price target raised by equities research analysts at Barclays from $106.00 to $115.00 in a report issued on Wednesday,Benzinga reports. The firm presently has an "overweight" rating on the coffee company's stock. Barclays's price objective points to a potential upside of 33.93% from the company's previous close.

Other analysts have also issued reports about the stock. The Goldman Sachs Group reiterated a "neutral" rating and issued a $95.00 price target (up from $85.00) on shares of Starbucks in a research note on Thursday, June 12th. Guggenheim cut their target price on shares of Starbucks from $95.00 to $83.00 and set a "neutral" rating for the company in a research report on Tuesday, April 29th. Wells Fargo & Company boosted their target price on shares of Starbucks from $100.00 to $105.00 and gave the company an "overweight" rating in a research report on Wednesday. Baird R W lowered shares of Starbucks from a "strong-buy" rating to a "hold" rating in a research report on Monday, April 7th. Finally, Robert W. Baird lifted their price target on shares of Starbucks from $88.00 to $100.00 and gave the company a "neutral" rating in a report on Wednesday. Four analysts have rated the stock with a sell rating, eleven have given a hold rating and fifteen have assigned a buy rating to the company's stock. Based on data from MarketBeat, the stock currently has an average rating of "Hold" and an average price target of $101.27.

Starbucks Price Performance

NASDAQ SBUX traded down $3.29 during trading hours on Wednesday, reaching $85.87. 5,322,267 shares of the company's stock traded hands, compared to its average volume of 10,604,690. Starbucks has a 52-week low of $72.72 and a 52-week high of $117.46. The firm has a market cap of $97.58 billion, a PE ratio of 36.97, a PEG ratio of 6.54 and a beta of 1.02. The firm has a 50-day simple moving average of $91.68 and a 200 day simple moving average of $94.62.

Starbucks (NASDAQ:SBUX - Get Free Report) last released its quarterly earnings data on Tuesday, July 29th. The coffee company reported $0.50 earnings per share for the quarter, missing analysts' consensus estimates of $0.64 by ($0.14). The firm had revenue of $9.46 billion for the quarter, compared to the consensus estimate of $9.29 billion. Starbucks had a net margin of 7.18% and a negative return on equity of 36.23%. The firm's revenue for the quarter was up 3.8% compared to the same quarter last year. During the same quarter in the prior year, the business posted $0.93 earnings per share. Sell-side analysts forecast that Starbucks will post 2.99 EPS for the current fiscal year.

Institutional Inflows and Outflows

Several large investors have recently bought and sold shares of SBUX. Brighton Jones LLC lifted its stake in Starbucks by 86.5% in the 4th quarter. Brighton Jones LLC now owns 176,722 shares of the coffee company's stock valued at $16,126,000 after buying an additional 81,952 shares in the last quarter. Arrowstreet Capital Limited Partnership purchased a new stake in Starbucks in the 4th quarter valued at about $602,000. Kesler Norman & Wride LLC grew its holdings in Starbucks by 7.7% in the 4th quarter. Kesler Norman & Wride LLC now owns 10,133 shares of the coffee company's stock valued at $925,000 after buying an additional 724 shares during the period. Cinctive Capital Management LP grew its holdings in Starbucks by 45.5% in the 4th quarter. Cinctive Capital Management LP now owns 79,616 shares of the coffee company's stock valued at $7,265,000 after buying an additional 24,888 shares during the period. Finally, OneAscent Financial Services LLC purchased a new stake in Starbucks in the 4th quarter valued at about $294,000. Hedge funds and other 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.