California Public Employees Retirement System Decreases Stock Holdings in Starbucks Corporation $SBUX

Key Points

• California Public Employees Retirement System cut its Starbucks stake by 31.4% in the first quarter, selling more than 1 million shares and leaving it with 2.3 million shares valued at about $206.3 million.
• Starbucks reported better-than-expected quarterly results, with EPS of $0.50 versus $0.44 expected and revenue of $9.53 billion versus $9.17 billion expected, while raising FY2026 EPS guidance to 2.25-2.45.
• The company also declared a quarterly dividend of $0.62 per share, and analysts remain mostly constructive with a consensus rating of Moderate Buy and an average price target of $109.42.

California Public Employees Retirement System lowered its stake in shares of Starbucks Corporation (NASDAQ:SBUX - Free Report) by 31.4% during the 1st quarter, according to its most recent filing with the SEC. The firm owned 2,302,657 shares of the coffee company's stock after selling 1,053,434 shares during the period. California Public Employees Retirement System owned approximately 0.20% of Starbucks worth $206,295,000 as of its most recent SEC filing.

A number of other institutional investors have also recently made changes to their positions in the stock. Vanguard Group Inc. lifted its position in Starbucks by 0.9% during the fourth quarter. Vanguard Group Inc. now owns 114,410,675 shares of the coffee company's stock valued at $9,634,523,000 after purchasing an additional 971,773 shares during the period. Capital World Investors boosted its holdings in 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. State Street Corp grew its position in Starbucks by 0.7% in the 4th quarter. State Street Corp now owns 47,869,056 shares of the coffee company's stock worth $4,031,053,000 after purchasing an additional 327,161 shares during the period. Geode Capital Management LLC grew its position in Starbucks by 0.9% in the 4th quarter. Geode Capital Management LLC now owns 26,373,084 shares of the coffee company's stock worth $2,212,153,000 after purchasing an additional 225,168 shares during the period. Finally, T. Rowe Price Investment Management Inc. raised its stake in Starbucks by 65.9% during the 4th quarter. T. Rowe Price Investment Management Inc. now owns 19,447,854 shares of the coffee company's stock valued at $1,637,704,000 after buying an additional 7,725,547 shares during the last quarter. Hedge funds and other institutional investors own 72.29% of the company's stock.

Starbucks Stock Performance

NASDAQ SBUX opened at $105.49 on Friday. The company has a market capitalization of $120.23 billion, a PE ratio of 79.92, a price-to-earnings-growth ratio of 2.15 and a beta of 0.98. The business's fifty day moving average is $102.56 and its 200 day moving average is $97.83. Starbucks Corporation has a fifty-two week low of $77.99 and a fifty-two week high of $109.23.

Starbucks (NASDAQ:SBUX - Get Free Report) last issued its quarterly 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. The business had revenue of $9.53 billion during the quarter, compared to analysts' expectations of $9.17 billion. Starbucks had a negative return on equity of 29.24% and a net margin of 3.89%.The business's quarterly revenue was up 8.8% on a year-over-year basis. During the same quarter in the prior year, the business posted $0.41 earnings per share. Starbucks has set its FY 2026 guidance at 2.250-2.450 EPS. On average, sell-side analysts forecast that Starbucks Corporation will post 2.4 EPS for the current year.

Starbucks Dividend Announcement

The firm also recently declared a quarterly dividend, which will be paid on Friday, August 28th. Shareholders of record on Friday, August 14th will be paid a $0.62 dividend. This represents a $2.48 dividend on an annualized basis and a yield of 2.4%. The ex-dividend date is Friday, August 14th. Starbucks's dividend payout ratio is presently 187.88%.

Insider Activity

In related news, EVP Sara Kelly sold 2,000 shares of Starbucks stock in a transaction that occurred on Wednesday, April 29th. The stock was sold at an average price of $105.00, for a total transaction of $210,000.00. Following the sale, the executive vice president 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 sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO Brady Brewer sold 2,229 shares of Starbucks 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 sale, the chief executive officer owned 77,364 shares in the company, valued at approximately $8,045,856. The trade was a 2.80% decrease in their position. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold 8,687 shares of company stock valued at $889,033 in the last quarter. 0.03% of the stock is currently owned by company insiders.

Key Starbucks News

Here are the key news stories impacting Starbucks this week:

• Positive Sentiment: RBC said Starbucks’ fiscal Q3 North America same-store sales are likely to come in line with consensus, which could reassure investors that the U.S. business is stabilizing. Starbucks Fiscal Q3 North America Same-Store Sales Poised to be In-Line With Consensus, RBC Says
• Positive Sentiment: Analyst commentary remains generally constructive, with several recent firms reiterating buy or overweight ratings and price targets clustering around levels near or above the current share price. Analysts’ Opinions Are Mixed on These Consumer Cyclical Stocks: Starbucks (SBUX), Airbnb (ABNB) and Silgan Holdings (SLGN)
• Positive Sentiment: Starbucks’ reaffirmed dividend and efforts to cut software costs by building more of its own tools with AI may support margins over time. What Starbucks (SBUX)'s Dividend Affirmation and Software Cost Cuts Mean For Shareholders
• Positive Sentiment: Starbucks recently said it will release fiscal Q3 2026 results on July 29, keeping attention focused on a potential catalyst for the shares. Starbucks Announces Q3 Fiscal Year 2026 Results Conference Call
• Neutral Sentiment: Starbucks’ earnings preview suggests investors are waiting for confirmation that traffic, loyalty trends, and the “Back to Starbucks” turnaround plan are still improving. Earnings Preview: What To Expect From Starbucks' Report
• Neutral Sentiment: Reuters reported that Starbucks defeated a shareholder lawsuit tied to sales declines in the U.S. and China, removing one legal overhang but not changing the core growth debate. Starbucks defeats shareholder lawsuit over US, China sales declines
• Negative Sentiment: Some coverage highlights that opinions on Starbucks remain mixed, reflecting uncertainty about the pace of the turnaround and whether sales momentum can fully reaccelerate. Starbucks vs. McDonald's: Which Restaurant Stock Has the Edge Now?

Wall Street Analysts Forecast Growth

A number of research firms have recently issued reports on SBUX. Weiss Ratings restated a "hold (c)" rating on shares of Starbucks in a research note on Wednesday, April 22nd. Citigroup reissued a "neutral" rating and issued a $108.00 target price (up from $101.00) on shares of Starbucks in a research report on Tuesday. Zacks Research downgraded Starbucks from a "strong-buy" rating to a "hold" rating in a research note on Monday, June 29th. Scotiabank lowered shares of Starbucks from a "market perform" rating to an "underperform" rating in a research report on Thursday, May 14th. Finally, Dbs Bank upgraded shares of Starbucks from a "strong sell" rating to a "moderate sell" rating in a research note on Friday, March 20th. Nineteen equities 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 stock. Based on data from MarketBeat, the company has a consensus 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.

Want to see what other hedge funds are holding SBUX? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for Starbucks Corporation (NASDAQ:SBUX - Free Report).

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.