Bank of Nova Scotia Sells 355,010 Shares of Starbucks Corporation $SBUX

Key Points

• Bank of Nova Scotia cut its Starbucks stake by 66.2% in the first quarter, selling 355,010 shares and ending the period with 181,218 shares worth about $16.2 million.
• Starbucks reported stronger-than-expected Q4 results, with EPS of $0.50 versus $0.44 expected and revenue of $9.53 billion versus $9.17 billion expected, while guiding FY2026 EPS to $2.25-$2.45.
• Analysts remain cautiously upbeat: the stock has a Moderate Buy consensus rating with an average price target of $109.42, and recent research notes point to improving sales momentum and turnaround progress.

Bank of Nova Scotia decreased its position in shares of Starbucks Corporation (NASDAQ:SBUX - Free Report) by 66.2% during the first quarter, according to the company in its most recent filing with the Securities and Exchange Commission. The firm owned 181,218 shares of the coffee company's stock after selling 355,010 shares during the period. Bank of Nova Scotia's holdings in Starbucks were worth $16,235,000 at the end of the most recent quarter.

Several other large investors have also added to or reduced their stakes in the company. Norges Bank purchased a new position in Starbucks during the fourth quarter valued at $1,232,650,000. T. Rowe Price Investment Management Inc. increased its holdings in shares of Starbucks by 65.9% in the fourth quarter. T. Rowe Price Investment Management Inc. now owns 19,447,854 shares of the coffee company's stock worth $1,637,704,000 after purchasing an additional 7,725,547 shares during the last quarter. Capital World Investors increased its holdings in shares of Starbucks by 9.0% in the fourth quarter. Capital World Investors now owns 84,727,405 shares of the coffee company's stock worth $7,135,228,000 after purchasing an additional 7,007,268 shares during the last quarter. Corient Private Wealth LLC lifted its position in shares of Starbucks by 146.6% in the second quarter. Corient Private Wealth LLC now owns 6,049,192 shares of the coffee company's stock worth $553,201,000 after buying an additional 3,596,014 shares in the last quarter. Finally, Amundi lifted its position in shares of Starbucks by 57.1% in the fourth quarter. Amundi now owns 4,532,627 shares of the coffee company's stock worth $381,693,000 after buying an additional 1,647,292 shares in the last quarter. Hedge funds and other institutional investors own 72.29% of the company's stock.

Insider Activity

In other news, CEO Brady Brewer sold 2,229 shares of the firm's stock in a transaction that occurred on Monday, July 6th. The shares were sold at an average price of $104.00, for a total transaction of $231,816.00. Following the completion of the sale, the chief executive officer owned 77,364 shares in the company, valued at $8,045,856. This trade represents a 2.80% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, EVP Sara Kelly sold 2,000 shares of the firm's stock in a transaction on Wednesday, April 29th. The stock was sold at an average price of $105.00, for a total value of $210,000.00. Following the sale, the executive vice president directly owned 57,653 shares of the company's stock, valued at approximately $6,053,565. This trade represents a 3.35% decrease in their position. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last three months, insiders sold 8,687 shares of company stock worth $889,033. Insiders own 0.03% of the company's stock.

Starbucks News Summary

Here are the key news stories impacting Starbucks this week:

• Positive Sentiment: UBS said Starbucks is likely to report continued sales momentum in fiscal Q3, pointing to progress in its turnaround efforts and stronger near-term demand trends. Starbucks Sales Momentum Likely Continued in Fiscal Q3, UBS Says
• Positive Sentiment: UBS also said Starbucks’ turnaround strategy could drive U.S. comparable sales above consensus expectations, which supports the bullish case ahead of earnings. Starbucks' Turnaround Strategy Could Drive US Comparable Sale Upside, UBS Says
• Positive Sentiment: Multiple pre-earnings previews note improving traffic, loyalty momentum, and product innovation, reinforcing expectations that Starbucks may be stabilizing operations. Starbucks Q3 Earnings Ahead: Buy, Sell or Hold the Stock?
• Neutral Sentiment: Wall Street outlook pieces are highlighting upcoming Q3 estimates and key operating metrics, suggesting investors are waiting for the actual earnings report for confirmation. Unveiling Starbucks (SBUX) Q3 Outlook: Wall Street Estimates for Key Metrics
• Neutral Sentiment: Broader consumer stocks were stronger late Friday, providing a supportive sector backdrop for Starbucks rather than a company-specific catalyst. Sector Update: Consumer Stocks Rise Late Afternoon
• Positive Sentiment: Recent coverage says Starbucks is outperforming the Nasdaq-100 this year, reflecting renewed investor optimism around the stock’s recovery story. Starbucks Is on Track to Beat the Nasdaq-100 for the First Time Since 2022. Is There More Room to Run?

Starbucks Price Performance

Shares of SBUX stock opened at $103.25 on Friday. The stock's 50-day moving average is $102.32 and its 200 day moving average is $98.51. Starbucks Corporation has a 1-year low of $77.99 and a 1-year high of $109.23. The company has a market cap of $117.67 billion, a P/E ratio of 78.22, a PEG ratio of 2.05 and a beta of 0.98.

Starbucks (NASDAQ:SBUX - Get Free Report) last released its earnings results on Tuesday, April 28th. The coffee company reported $0.50 EPS for the quarter, topping analysts' consensus estimates of $0.44 by $0.06. Starbucks had a net margin of 3.89% and a negative return on equity of 29.24%. The company had revenue of $9.53 billion during the quarter, compared to analysts' expectations of $9.17 billion. During the same period last year, the business earned $0.41 EPS. Starbucks's revenue for the quarter was up 8.8% on a year-over-year basis. Starbucks has set its FY 2026 guidance at 2.250-2.450 EPS. On average, analysts anticipate that Starbucks Corporation will post 2.41 EPS for the current year.

Starbucks Dividend Announcement

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 $0.62 dividend. The ex-dividend date is Friday, August 14th. This represents a $2.48 dividend on an annualized basis and a yield of 2.4%. Starbucks's dividend payout ratio (DPR) is presently 187.88%.

Analysts Set New Price Targets

Several research firms have weighed in on SBUX. BNP Paribas Exane began coverage on Starbucks in a report on Thursday, May 14th. They set an "underperform" rating for the company. DA Davidson upped their price objective on Starbucks from $97.00 to $102.00 and gave the stock a "neutral" rating in a report on Wednesday, April 29th. Stifel Nicolaus set a $117.00 target price on Starbucks and gave the company a "buy" rating in a research report on Wednesday, May 6th. Jefferies Financial Group assumed coverage on shares of Starbucks in a research report on Thursday, May 14th. They issued a "buy" rating on the stock. Finally, Evercore upped their price target on shares of Starbucks from $110.00 to $115.00 and gave the company an "outperform" rating in a research note on Wednesday, April 29th. Nineteen research analysts have rated the stock with a Buy rating, ten have given a Hold rating and two have assigned a Sell rating to the company. Based on data from MarketBeat, the company currently has an average rating of "Moderate Buy" and a consensus price target of $109.42.

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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