Alley Investment Management Company LLC Grows Stock Position in Starbucks Corporation $SBUX

Key Points

• Alley Investment Management Company LLC increased its stake in Starbucks Corporation by 2.3%, now holding 153,721 shares valued at approximately $14.08 million.
• Starbucks recently missed quarterly earnings expectations, reporting $0.50 earnings per share against the consensus estimate of $0.64, despite a revenue increase of 3.8% year-over-year.
• Analyst ratings for Starbucks show a mixed outlook, with one "Strong Buy," fifteen "Buy," eight "Hold," and two "Sell" ratings; the consensus target price is currently $104.00.

Alley Investment Management Company LLC grew its position in Starbucks Corporation (NASDAQ:SBUX - Free Report) by 2.3% during the 2nd quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission (SEC). The institutional investor owned 153,721 shares of the coffee company's stock after acquiring an additional 3,511 shares during the quarter. Starbucks comprises 1.7% of Alley Investment Management Company LLC's holdings, making the stock its 25th largest position. Alley Investment Management Company LLC's holdings in Starbucks were worth $14,085,000 at the end of the most recent reporting period.

Several other hedge funds and other institutional investors have also recently made changes to their positions in SBUX. Nuveen LLC acquired a new stake in shares of Starbucks in the first quarter valued at approximately $1,379,619,000. Jennison Associates LLC acquired a new stake in shares of Starbucks in the first quarter valued at approximately $817,759,000. Polen Capital Management LLC acquired a new stake in shares of Starbucks in the first quarter valued at approximately $503,539,000. Goldman Sachs Group Inc. increased its holdings in shares of Starbucks by 59.5% in the first quarter. Goldman Sachs Group Inc. now owns 9,623,282 shares of the coffee company's stock valued at $943,948,000 after purchasing an additional 3,589,537 shares during the last quarter. Finally, Wellington Management Group LLP increased its holdings in shares of Starbucks by 22.3% in the first quarter. Wellington Management Group LLP now owns 19,414,472 shares of the coffee company's stock valued at $1,904,366,000 after purchasing an additional 3,545,655 shares during the last quarter. Institutional investors and hedge funds own 72.29% of the company's stock.

Analyst Upgrades and Downgrades

Several research firms recently commented on SBUX. Barclays increased their price target on Starbucks from $106.00 to $115.00 and gave the company an "overweight" rating in a report on Wednesday, July 30th. Sanford C. Bernstein raised their target price on Starbucks from $90.00 to $100.00 and gave the stock an "outperform" rating in a research note on Wednesday, July 2nd. Royal Bank Of Canada raised their target price on Starbucks from $100.00 to $110.00 and gave the stock an "outperform" rating in a research note on Wednesday, July 30th. Cowen reissued a "hold" rating on shares of Starbucks in a research note on Tuesday, June 24th. Finally, Stifel Nicolaus raised their target price on Starbucks from $92.00 to $105.00 and gave the stock a "buy" rating in a research note on Friday, July 11th. One analyst has rated the stock with a Strong Buy rating, fifteen have given a Buy rating, eight have given a Hold rating and two have assigned a Sell rating to the company's stock. Based on data from MarketBeat.com, Starbucks presently has an average rating of "Moderate Buy" and a consensus target price of $104.00.

Starbucks Trading Down 1.2%

Shares of NASDAQ SBUX opened at $84.60 on Wednesday. Starbucks Corporation has a twelve month low of $75.50 and a twelve month high of $117.46. The stock has a fifty day simple moving average of $88.09 and a 200-day simple moving average of $88.80. The stock has a market capitalization of $96.16 billion, a PE ratio of 36.47, a PEG ratio of 5.15 and a beta of 1.00.

Starbucks (NASDAQ:SBUX - Get Free Report) last issued 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). Starbucks had a net margin of 7.18% and a negative return on equity of 36.23%. The firm had revenue of $9.46 billion during the quarter, compared to analyst estimates of $9.29 billion. During the same period in the previous year, the firm posted $0.93 earnings per share. The company's quarterly revenue was up 3.8% compared to the same quarter last year. On average, equities analysts predict that Starbucks Corporation will post 2.99 earnings per share for the current year.

Starbucks Company 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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