Assetmark Inc. Cuts Holdings in Starbucks Corporation $SBUX

Key Points

• Assetmark Inc. reduced its Starbucks stake by 72.9% in the second quarter, selling 315,326 shares and retaining 117,408 shares valued at approximately $12 million.
• Starbucks exceeded quarterly earnings expectations, reporting $0.85 EPS and $9.32 billion in revenue, though revenue declined 1.4% year over year. The company declared a quarterly dividend of $0.62 per share, equivalent to a 2.3% yield.
• Analysts maintain a consensus “Hold” rating with an average price target of $110.30, while SBUX recently traded at $106.01.

Assetmark Inc. trimmed its position in Starbucks Corporation (NASDAQ:SBUX - Free Report) by 72.9% during the 2nd quarter, according to its most recent disclosure with the Securities and Exchange Commission. The fund owned 117,408 shares of the coffee company's stock after selling 315,326 shares during the quarter. Assetmark Inc.'s holdings in Starbucks were worth $11,998,000 at the end of the most recent reporting period.

A number of other hedge funds also recently made changes to their positions in the company. B. Metzler seel. Sohn & Co. AG raised its stake in shares of Starbucks by 36.4% in the fourth quarter. B. Metzler seel. Sohn & Co. AG now owns 88,374 shares of the coffee company's stock valued at $7,442,000 after acquiring an additional 23,589 shares during the period. Jefferies Financial Group Inc. boosted its stake in shares of Starbucks by 94.5% during the 4th quarter. Jefferies Financial Group Inc. now owns 94,260 shares of the coffee company's stock worth $7,938,000 after purchasing an additional 45,794 shares during the period. Swiss Life Asset Management Ltd boosted its stake in shares of Starbucks by 20.4% during the 4th quarter. Swiss Life Asset Management Ltd now owns 518,405 shares of the coffee company's stock worth $43,655,000 after purchasing an additional 87,926 shares during the period. Norges Bank bought a new position in Starbucks during the 4th quarter valued at about $1,232,650,000. Finally, Brighton Jones LLC grew its holdings in Starbucks by 86.5% during the 4th quarter. Brighton Jones LLC now owns 176,722 shares of the coffee company's stock valued at $16,126,000 after purchasing an additional 81,952 shares during the last quarter. 72.29% of the stock is currently owned by hedge funds and other institutional investors.

Starbucks Price Performance

Shares of SBUX stock opened at $106.01 on Wednesday. The company has a market capitalization of $120.85 billion, a P/E ratio of 60.93, a P/E/G ratio of 1.86 and a beta of 0.97. The company's 50-day simple moving average is $104.21 and its two-hundred day simple moving average is $100.15. Starbucks Corporation has a one year low of $77.99 and a one year high of $110.51.

Starbucks (NASDAQ:SBUX - Get Free Report) last issued its earnings results 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 business had revenue of $9.32 billion for the quarter, compared to analyst estimates of $9.17 billion. During the same period last year, the company posted $0.50 earnings per share. The company's quarterly revenue was down 1.4% compared to the same quarter last year. Starbucks has set its FY 2026 guidance at 2.550-2.650 EPS. On average, research analysts expect that Starbucks Corporation will post 2.64 EPS for the current fiscal year.

Starbucks Announces Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Friday, August 28th. Shareholders of record on Friday, August 14th will be issued a dividend of $0.62 per share. This represents a $2.48 annualized dividend and a yield of 2.3%. The ex-dividend date is Friday, August 14th. Starbucks's dividend payout ratio (DPR) is presently 142.53%.

Wall Street Analysts Forecast Growth

SBUX has been the topic of a number of recent analyst reports. Robert W. Baird set a $124.00 price objective on shares of Starbucks in a research report on Thursday, July 30th. Melius Research set a $110.00 target price on Starbucks in a research report on Monday, August 3rd. DA Davidson upped their target price on Starbucks from $102.00 to $110.00 and gave the company a "neutral" rating in a research note on Thursday, July 30th. Sanford C. Bernstein downgraded Starbucks from an "outperform" rating to a "market perform" rating in a report on Monday, August 3rd. Finally, Weiss Ratings reissued a "hold (c)" rating on shares of Starbucks in a research note on Monday, July 20th. Nineteen analysts have rated the stock with a Buy rating, eleven have given a Hold rating and four have assigned a Sell rating to the company. According to data from MarketBeat, Starbucks presently has a consensus rating of "Hold" and an average target price of $110.30.

Insiders Place Their Bets

In other Starbucks news, CEO Brady Brewer sold 2,229 shares of Starbucks stock in a transaction on Wednesday, August 5th. The stock was sold at an average price of $105.99, for a total transaction of $236,251.71. Following the completion of the sale, the chief executive officer directly owned 75,135 shares of the company's stock, valued at $7,963,558.65. The trade was a 2.88% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available at this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last three months, insiders sold 6,687 shares of company stock worth $681,663. Insiders own 0.03% of the company's stock.

Starbucks Company Profile

Starbucks Corporation is a global coffeehouse chain and roaster that operates, licenses and franchises coffee shops and related retail businesses. Founded in Seattle, Washington in 1971 by Jerry Baldwin, Zev Siegl and Gordon Bowker, the company grew from a single store focused on whole-bean coffee and equipment into a broad consumer-facing brand. Howard Schultz, who joined the company later and served in senior leadership roles, is widely credited with transforming Starbucks into a mass-market specialty coffee retailer and expanding its footprint internationally.

Starbucks' core activities center on the retail sale of hot and cold specialty beverages, whole-bean and packaged coffees, teas and ready-to-drink products, along with complementary food items and merchandise such as mugs and brewing equipment.

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