Vancity Investment Management Ltd Acquires Shares of 6,271 Starbucks Corporation $SBUX

Key Points

• Vancity Investment Management Ltd has acquired 6,271 shares of Starbucks Corporation, valued at approximately $615,000, during the first quarter, reflecting a growing interest from institutional investors.
• Starbucks reported $0.50 earnings per share for the last quarter, missing estimates by $0.14, although its revenue was up by 3.8% year-over-year at $9.46 billion.
• The company announced a quarterly dividend of $0.61 per share, resulting in a 2.9% yield, while its payout ratio is indicated to be 105.17%.

Vancity Investment Management Ltd acquired a new position in Starbucks Corporation (NASDAQ:SBUX - Free Report) in the first quarter, according to its most recent 13F filing with the Securities and Exchange Commission. The fund acquired 6,271 shares of the coffee company's stock, valued at approximately $615,000.

Several other institutional investors have also added to or reduced their stakes in the business. University of Texas Texas AM Investment Management Co. purchased a new position in shares of Starbucks in the fourth quarter worth $25,000. Hughes Financial Services LLC bought a new stake in Starbucks in the 1st quarter worth about $27,000. McClarren Financial Advisors Inc. bought a new stake in Starbucks in the 1st quarter worth about $29,000. Activest Wealth Management raised its position in Starbucks by 78.0% in the 1st quarter. Activest Wealth Management now owns 331 shares of the coffee company's stock worth $32,000 after buying an additional 145 shares during the last quarter. Finally, Ball & Co Wealth Management Inc. bought a new position in Starbucks during the 4th quarter valued at about $41,000. 72.29% of the stock is currently owned by hedge funds and other institutional investors.

Starbucks Trading Down 1.1%

Starbucks stock traded down $0.93 during trading on Wednesday, reaching $82.88. The company had a trading volume of 8,100,137 shares, compared to its average volume of 7,712,397. The firm's 50-day simple moving average is $90.94 and its 200 day simple moving average is $91.23. Starbucks Corporation has a 52 week low of $75.50 and a 52 week high of $117.46. The firm has a market capitalization of $94.21 billion, a price-to-earnings ratio of 35.72, a price-to-earnings-growth ratio of 4.99 and a beta of 1.00.

Starbucks (NASDAQ:SBUX - Get Free Report) last issued its quarterly earnings results on Tuesday, July 29th. The coffee company reported $0.50 EPS for the quarter, missing analysts' consensus estimates of $0.64 by ($0.14). Starbucks had a negative return on equity of 36.23% and a net margin of 7.18%.The company had revenue of $9.46 billion during the quarter, compared to analysts' expectations of $9.29 billion. During the same quarter in the previous year, the company earned $0.93 EPS. The business's quarterly revenue was up 3.8% compared to the same quarter last year. On average, analysts predict that Starbucks Corporation will post 2.99 earnings per share for the current year.

Starbucks Announces Dividend

The company also recently announced a quarterly dividend, which was paid on Friday, August 29th. Investors of record on Friday, August 15th were issued a $0.61 dividend. The ex-dividend date of this dividend was Friday, August 15th. This represents a $2.44 annualized dividend and a yield of 2.9%. Starbucks's dividend payout ratio is currently 105.17%.

Wall Street Analysts Forecast Growth

A number of brokerages have recently issued reports on SBUX. TD Cowen raised their price target on shares of Starbucks from $90.00 to $95.00 and gave the company a "hold" rating in a report on Wednesday, July 30th. Cowen restated a "hold" rating on shares of Starbucks in a report on Tuesday, June 24th. The Goldman Sachs Group reiterated a "neutral" rating and set a $95.00 target price (up from $85.00) on shares of Starbucks in a research note on Thursday, June 12th. Morgan Stanley reissued an "overweight" rating and set a $103.00 price target (up from $95.00) on shares of Starbucks in a report on Wednesday, July 30th. Finally, Citigroup dropped their price target on Starbucks from $100.00 to $99.00 and set a "neutral" rating on the stock in a research note on Wednesday, July 30th. One analyst has rated the stock with a Strong Buy rating, fifteen have assigned a Buy rating, eight have assigned a Hold rating and two have issued a Sell rating to the company's stock. According to data from MarketBeat, the stock presently has an average rating of "Moderate Buy" and a consensus target price of $104.40.

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.