Graham Capital Management L.P. Purchases Shares of 6,213 Starbucks Corporation $SBUX

Key Points

• Graham Capital Management L.P. acquired 6,213 shares of Starbucks Corporation ($SBUX) valued at approximately $609,000 during the first quarter.
• Starbucks reported $0.50 EPS for the last quarter, missing the consensus estimate by $0.14, while quarterly revenue was up 3.8% year-over-year.
• The company announced a quarterly dividend of $0.61, representing an annual yield of 2.9%, with a current dividend payout ratio of 105.17%.

Graham Capital Management L.P. bought a new position in shares of Starbucks Corporation (NASDAQ:SBUX - Free Report) during the 1st quarter, according to its most recent filing with the Securities & Exchange Commission. The fund bought 6,213 shares of the coffee company's stock, valued at approximately $609,000.

Other hedge funds and other institutional investors have also recently added to or reduced their stakes in the company. University of Texas Texas AM Investment Management Co. bought a new position in Starbucks during the fourth quarter worth about $25,000. Hughes Financial Services LLC bought a new position in Starbucks during the first quarter worth about $27,000. McClarren Financial Advisors Inc. bought a new position in Starbucks during the first quarter worth about $29,000. Activest Wealth Management lifted its holdings in shares of Starbucks by 78.0% in the first quarter. Activest Wealth Management now owns 331 shares of the coffee company's stock valued at $32,000 after purchasing an additional 145 shares in the last quarter. Finally, GKV Capital Management Co. Inc. bought a new stake in shares of Starbucks in the first quarter valued at about $42,000. 72.29% of the stock is currently owned by institutional investors.

Analyst Upgrades and Downgrades

A number of brokerages have recently commented on SBUX. TD Securities restated a "hold" rating and issued a $90.00 price target on shares of Starbucks in a report on Monday, June 23rd. Wall Street Zen cut shares of Starbucks from a "hold" rating to a "sell" rating in a research note on Thursday, May 22nd. CICC Research initiated coverage on shares of Starbucks in a research note on Monday, June 30th. They set an "outperform" rating and a $100.00 price target for the company. Guggenheim raised their price target on shares of Starbucks from $79.00 to $90.00 and gave the stock a "neutral" rating in a research note on Thursday, July 31st. Finally, Robert W. Baird raised shares of Starbucks from a "neutral" rating to an "outperform" rating and raised their price target for the stock from $100.00 to $115.00 in a research note on Tuesday, August 12th. One equities research analyst has rated the stock with a Strong Buy rating, fifteen have issued a Buy rating, eight have given a Hold rating and two have given a Sell rating to the stock. According to MarketBeat, Starbucks presently has an average rating of "Moderate Buy" and a consensus price target of $104.40.

Starbucks Stock Performance

SBUX traded down $1.26 on Monday, hitting $84.17. 9,200,662 shares of the company were exchanged, compared to its average volume of 7,778,873. Starbucks Corporation has a 12 month low of $75.50 and a 12 month high of $117.46. The company has a market cap of $95.68 billion, a PE ratio of 36.28, a PEG ratio of 5.09 and a beta of 1.00. The stock's fifty day moving average is $91.39 and its 200-day moving average is $91.34.

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

Starbucks Dividend Announcement

The firm also recently declared a quarterly dividend, which was paid on Friday, August 29th. Shareholders of record on Friday, August 15th were given a dividend of $0.61 per share. This represents a $2.44 dividend on an annualized basis and a yield of 2.9%. The ex-dividend date of this dividend was Friday, August 15th. Starbucks's payout ratio is 105.17%.

Starbucks 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.