Baird Financial Group Inc. Decreases Stock Position in Starbucks Corporation $SBUX

Key Points

• Baird Financial Group Inc. has reduced its stake in Starbucks Corporation by 6.7%, holding approximately 1.35 million shares valued at $132.27 million following the sale of 97,152 shares.
• Despite a missed earnings estimate of $0.64 by posting $0.50 per share, Starbucks reported a revenue increase of 3.8% year-over-year, totaling $9.46 billion for the quarter.
• Starbucks has declared a quarterly dividend of $0.61, amounting to an annualized yield of 2.8%, with a current dividend payout ratio of 105.17%.

Baird Financial Group Inc. trimmed its holdings in Starbucks Corporation (NASDAQ:SBUX - Free Report) by 6.7% during the first quarter, according to its most recent 13F filing with the Securities and Exchange Commission (SEC). The institutional investor owned 1,348,463 shares of the coffee company's stock after selling 97,152 shares during the quarter. Baird Financial Group Inc. owned about 0.12% of Starbucks worth $132,271,000 as of its most recent SEC filing.

A number of other institutional investors have also bought and sold shares of SBUX. University of Texas Texas AM Investment Management Co. purchased a new position in Starbucks in the 4th quarter worth approximately $25,000. Hughes Financial Services LLC purchased a new position in Starbucks in the 1st quarter worth approximately $27,000. McClarren Financial Advisors Inc. purchased a new position in Starbucks in the 1st quarter worth approximately $29,000. Kapitalo Investimentos Ltda purchased a new stake in shares of Starbucks during the 4th quarter valued at approximately $32,000. Finally, Activest Wealth Management raised its position in shares of Starbucks by 78.0% during the 1st quarter. Activest Wealth Management now owns 331 shares of the coffee company's stock valued at $32,000 after buying an additional 145 shares during the period. 72.29% of the stock is owned by hedge funds and other institutional investors.

Wall Street Analysts Forecast Growth

Several analysts have recently commented on the stock. Jefferies Financial Group lowered shares of Starbucks from a "hold" rating to an "underperform" rating and set a $76.00 price target on the stock. in a research report on Thursday, July 17th. BMO Capital Markets reaffirmed an "outperform" rating and set a $115.00 price target (up previously from $100.00) on shares of Starbucks in a research report on Wednesday, July 30th. CICC Research assumed coverage on shares of Starbucks in a research report on Monday, June 30th. They set an "outperform" rating and a $100.00 price target on the stock. Evercore ISI reaffirmed an "outperform" rating and set a $105.00 price target (up previously from $95.00) on shares of Starbucks in a research report on Tuesday, June 24th. Finally, TD Securities reaffirmed a "hold" rating and set a $90.00 price target on shares of Starbucks in a research report on Monday, June 23rd. One research 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 given a Sell rating to the company's stock. Based on data from MarketBeat.com, Starbucks has an average rating of "Moderate Buy" and an average price target of $104.40.

Starbucks Trading Up 0.2%

Starbucks stock traded up $0.17 during trading on Monday, hitting $88.19. The company had a trading volume of 6,312,155 shares, compared to its average volume of 8,217,745. Starbucks Corporation has a 1-year low of $75.50 and a 1-year high of $117.46. The company's 50 day simple moving average is $91.88 and its 200-day simple moving average is $92.25. The stock has a market cap of $100.25 billion, a price-to-earnings ratio of 38.01, a price-to-earnings-growth ratio of 5.23 and a beta of 1.00.

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

Starbucks Announces Dividend

The firm also recently declared a quarterly dividend, which was paid on Friday, August 29th. Shareholders of record on Friday, August 15th were paid a $0.61 dividend. The ex-dividend date was Friday, August 15th. This represents a $2.44 annualized dividend and a dividend yield of 2.8%. Starbucks's payout ratio is 105.17%.

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.