Compass Capital Management Inc. Purchases Shares of 78,633 Starbucks Corporation $SBUX

Compass Capital Management Inc. acquired a new position in shares of Starbucks Corporation (NASDAQ:SBUX - Free Report) in the 2nd quarter, according to its most recent disclosure with the Securities and Exchange Commission (SEC). The institutional investor acquired 78,633 shares of the coffee company's stock, valued at approximately $8,036,000.

A number of other hedge funds and other institutional investors have also bought and sold shares of SBUX. Rachor Investment Advisory Services LLC acquired a new stake in shares of Starbucks in the fourth quarter valued at approximately $25,000. Phillip James Consulting Co. bought a new position in Starbucks in the fourth quarter valued at $25,000. Cornerstone Financial Management LLC bought a new position in Starbucks in the fourth quarter valued at $25,000. Entrust Financial LLC acquired a new stake in Starbucks in the 4th quarter valued at $26,000. Finally, Financial Freedom LLC increased its stake in Starbucks by 296.2% in the 1st quarter. Financial Freedom LLC now owns 313 shares of the coffee company's stock valued at $28,000 after buying an additional 234 shares during the last quarter. Institutional investors and hedge funds own 72.29% of the company's stock.

Insider Buying and Selling at Starbucks

In related news, CEO Brady Brewer sold 2,229 shares of the business's stock in a transaction that occurred 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 transaction, the chief executive officer directly owned 75,135 shares of the company's stock, valued at approximately $7,963,558.65. The trade was a 2.88% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last quarter, insiders sold 6,687 shares of company stock worth $681,663. 0.03% of the stock is currently owned by insiders.

Wall Street Analyst Weigh In

SBUX has been the subject of a number of recent research reports. BTIG Research restated a "buy" rating and set a $115.00 price objective on shares of Starbucks in a research note on Friday, July 31st. Scotiabank downgraded Starbucks from a "market perform" rating to an "underperform" rating in a research report on Thursday, May 14th. BMO Capital Markets reiterated an "outperform" rating and set a $130.00 target price on shares of Starbucks in a report on Thursday, July 30th. Robert W. Baird set a $124.00 price target on Starbucks in a research note on Thursday, July 30th. Finally, BNP Paribas Exane boosted their price target on Starbucks from $87.00 to $92.00 and gave the stock an "underperform" rating in a research report on Thursday, July 30th. Nineteen analysts have rated the stock with a Buy rating, eleven have assigned a Hold rating and four have assigned a Sell rating to the stock. Based on data from MarketBeat.com, the company presently has a consensus rating of "Hold" and a consensus price target of $110.30.

Key Stories Impacting Starbucks

Here are the key news stories impacting Starbucks this week:

• Positive Sentiment: Starbucks is eliminating more than 200 corporate positions as part of a broader restructuring and approximately $2 billion cost-reduction effort. Lower overhead could support profitability if the company maintains service levels and directs more resources toward its stores. The reductions do not involve cafe closures. Starbucks trims corporate ranks as coffeehouse investments deliver
• Positive Sentiment: Recent market commentary highlights Starbucks’ roughly 25% 2026 gain and suggests investors are rewarding its operational reset and investments in the cafe experience. The rally follows the company’s latest quarterly earnings beat, with adjusted EPS of $0.85 versus a $0.66 consensus estimate and revenue above expectations.
• Neutral Sentiment: The restructuring is relocating some corporate operations to a new, approximately $100 million Nashville office. Around 120 Seattle employees reportedly declined the move, while another 104 roles in store design and construction are being eliminated. Management characterizes the actions as part of the restructuring winding down, but the savings and impact on execution remain to be demonstrated. Starbucks cuts another 224 Seattle jobs
• Negative Sentiment: Starbucks continues to face challenges in China, where domestic competitors, shifting consumer preferences and geopolitical tensions are eroding the position of major U.S. brands. China weakness could limit international growth and pressure comparable sales. Why some of America’s biggest brands are losing ground in China
• Negative Sentiment: The stock’s strong performance has also produced a demanding valuation, with the supplied data showing a P/E ratio above 60. Investors may require sustained earnings growth from the turnaround to justify the premium, leaving SBUX vulnerable to disappointment.

Starbucks Price Performance

Starbucks stock opened at $107.08 on Friday. The firm has a market capitalization of $122.07 billion, a PE ratio of 61.54, a P/E/G ratio of 1.79 and a beta of 0.97. The company's 50-day moving average is $104.45 and its 200-day moving average is $100.36. Starbucks Corporation has a fifty-two week low of $77.99 and a fifty-two week 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 earnings per share (EPS) for the quarter, beating the consensus estimate 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 during the quarter, compared to the consensus estimate of $9.17 billion. During the same period last year, the business posted $0.50 EPS. Starbucks's revenue was down 1.4% on a year-over-year basis. Starbucks has set its FY 2026 guidance at 2.550-2.650 EPS. As a group, analysts expect that Starbucks Corporation will post 2.64 EPS for the current year.

Starbucks Dividend Announcement

The firm also recently announced a quarterly dividend, which will be paid on Friday, August 28th. Stockholders of record on Friday, August 14th will be paid a dividend of $0.62 per share. This represents a $2.48 annualized dividend and a dividend yield of 2.3%. The ex-dividend date is Friday, August 14th. Starbucks's payout ratio is currently 142.53%.

Starbucks 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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