ABC Arbitrage SA Acquires Shares of 12,461 Starbucks Corporation (NASDAQ:SBUX)

Key Points

• ABC Arbitrage SA has acquired 12,461 shares of Starbucks Corporation, valued at approximately $1.22 million, as filed in their recent Form 13F with the SEC.
• Starbucks reported $0.50 EPS for the latest quarter, missing analysts' expectations, although revenues increased by 3.8% year-over-year, reaching $9.46 billion.
• The company announced a quarterly dividend of $0.61, representing an annualized dividend of $2.44 with a yield of 2.7%, set to be distributed on August 29th.

ABC Arbitrage SA bought a new position in Starbucks Corporation (NASDAQ:SBUX - Free Report) in the first quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission. The institutional investor bought 12,461 shares of the coffee company's stock, valued at approximately $1,222,000.

Other hedge funds and other institutional investors have also modified their holdings of the company. Vanguard Capital Wealth Advisors bought a new position in shares of Starbucks in the fourth quarter valued at approximately $285,000. Czech National Bank increased its holdings in Starbucks by 6.2% during the 1st quarter. Czech National Bank now owns 260,898 shares of the coffee company's stock valued at $25,591,000 after purchasing an additional 15,132 shares in the last quarter. Personal CFO Solutions LLC boosted its stake in Starbucks by 125.5% in the first quarter. Personal CFO Solutions LLC now owns 9,254 shares of the coffee company's stock worth $908,000 after purchasing an additional 5,151 shares in the last quarter. Treasurer of the State of North Carolina grew its holdings in shares of Starbucks by 0.6% during the fourth quarter. Treasurer of the State of North Carolina now owns 498,511 shares of the coffee company's stock worth $45,489,000 after purchasing an additional 3,130 shares during the last quarter. Finally, Norden Group LLC grew its holdings in shares of Starbucks by 66.1% during the first quarter. Norden Group LLC now owns 30,219 shares of the coffee company's stock worth $2,964,000 after purchasing an additional 12,027 shares during the last quarter. Institutional investors own 72.29% of the company's stock.

Starbucks Stock Performance

NASDAQ:SBUX opened at $90.20 on Wednesday. The stock has a 50-day simple moving average of $91.90 and a 200 day simple moving average of $94.52. Starbucks Corporation has a 52-week low of $73.84 and a 52-week high of $117.46. The company has a market cap of $102.53 billion, a PE ratio of 38.88, a PEG ratio of 5.12 and a beta of 1.02.

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

Starbucks Announces Dividend

The business also recently announced a quarterly dividend, which will be paid on Friday, August 29th. Investors of record on Friday, August 15th will be given a $0.61 dividend. The ex-dividend date of this dividend is Friday, August 15th. This represents a $2.44 dividend on an annualized basis and a dividend yield of 2.7%. Starbucks's payout ratio is currently 105.17%.

Wall Street Analyst Weigh In

Several research analysts recently issued reports on SBUX shares. Citigroup reduced their price target on shares of Starbucks from $100.00 to $99.00 and set a "neutral" rating on the stock in a research report on Wednesday, July 30th. Stifel Nicolaus increased their price target on shares of Starbucks from $92.00 to $105.00 and gave the company a "buy" rating in a research note on Friday, July 11th. CICC Research initiated coverage on shares of Starbucks in a report on Monday, June 30th. They issued an "outperform" rating and a $100.00 price target for the company. Wall Street Zen downgraded Starbucks from a "hold" rating to a "sell" rating in a report on Thursday, May 22nd. Finally, Barclays lifted their target price on Starbucks from $106.00 to $115.00 and gave the company an "overweight" rating in a research note on Wednesday, July 30th. Four analysts have rated the stock with a sell rating, eleven have issued a hold rating and fifteen have given a buy rating to the stock. Based on data from MarketBeat.com, Starbucks currently has an average rating of "Hold" and an average target price of $101.27.

Starbucks Profile

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.

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