MGO One Seven LLC Increases Stock Position in Starbucks Corporation $SBUX

Key Points

• MGO One Seven LLC boosted its Starbucks stake by 48.9% in the fourth quarter, ending with 51,415 shares valued at about $4.33 million.
• Starbucks posted stronger-than-expected quarterly results, with EPS of $0.50 versus estimates of $0.44 and revenue of $9.53 billion, up 8.8% year over year.
• The company announced a quarterly dividend of $0.62 per share, and analysts currently view the stock as Moderate Buy with a consensus price target of $107.

MGO One Seven LLC increased its holdings in shares of Starbucks Corporation (NASDAQ:SBUX - Free Report) by 48.9% during the fourth quarter, according to the company in its most recent disclosure with the SEC. The institutional investor owned 51,415 shares of the coffee company's stock after purchasing an additional 16,887 shares during the period. MGO One Seven LLC's holdings in Starbucks were worth $4,330,000 as of its most recent SEC filing.

Several other institutional investors also recently bought and sold shares of SBUX. Collier Financial purchased a new stake in Starbucks during the third quarter worth $25,000. Rachor Investment Advisory Services LLC purchased a new position in shares of Starbucks in the 4th quarter valued at $25,000. Y.D. More Investments Ltd bought a new position in shares of Starbucks in the 3rd quarter worth $26,000. JPL Wealth Management LLC bought a new position in shares of Starbucks in the 3rd quarter worth $27,000. Finally, Kelleher Financial Advisors purchased a new stake in shares of Starbucks during the 3rd quarter worth $27,000. 72.29% of the stock is owned by hedge funds and other institutional investors.

Starbucks Stock Performance

Starbucks stock opened at $104.93 on Friday. The stock has a market cap of $119.55 billion, a PE ratio of 79.49, a price-to-earnings-growth ratio of 2.12 and a beta of 1.01. The stock has a 50-day moving average of $97.07 and a two-hundred day moving average of $91.54. Starbucks Corporation has a one year low of $77.99 and a one year high of $107.55.

Starbucks (NASDAQ:SBUX - Get Free Report) last issued its quarterly earnings results on Tuesday, April 28th. The coffee company reported $0.50 earnings per share for the quarter, topping analysts' consensus estimates of $0.44 by $0.06. Starbucks had a negative return on equity of 29.24% and a net margin of 3.89%.The business had revenue of $9.53 billion for the quarter, compared to analyst estimates of $9.17 billion. During the same quarter in the previous year, the firm earned $0.41 earnings per share. The company's revenue was up 8.8% on a year-over-year basis. Starbucks has set its FY 2026 guidance at 2.250-2.450 EPS. As a group, sell-side analysts predict that Starbucks Corporation will post 2.41 EPS for the current fiscal year.

Starbucks Dividend Announcement

The business also recently declared a quarterly dividend, which will be paid on Friday, May 29th. Shareholders of record on Friday, May 15th will be paid a dividend of $0.62 per share. The ex-dividend date is Friday, May 15th. This represents a $2.48 dividend on an annualized basis and a yield of 2.4%. Starbucks's dividend payout ratio is presently 187.88%.

Analysts Set New Price Targets

Several equities analysts have issued reports on SBUX shares. Guggenheim reiterated a "neutral" rating and issued a $97.00 target price (up from $95.00) on shares of Starbucks in a research note on Wednesday, April 29th. Barclays set a $116.00 price target on shares of Starbucks and gave the company an "overweight" rating in a research report on Friday, January 30th. Royal Bank Of Canada restated a "sector perform" rating and issued a $110.00 price target (up from $105.00) on shares of Starbucks in a report on Wednesday, April 29th. Citigroup lifted their price objective on shares of Starbucks from $99.00 to $101.00 and gave the stock a "neutral" rating in a research report on Wednesday, April 29th. Finally, Robert W. Baird boosted their price objective on shares of Starbucks from $112.00 to $117.00 and gave the stock an "outperform" rating in a research note on Wednesday, April 29th. Sixteen research analysts have rated the stock with a Buy rating, thirteen have assigned a Hold rating and one has issued a Sell rating to the company's stock. Based on data from MarketBeat.com, the stock presently has a consensus rating of "Moderate Buy" and a consensus target price of $107.00.

Insider Buying and Selling

In other news, EVP Sara Kelly sold 2,500 shares of the business's stock in a transaction on Thursday, March 5th. The shares were sold at an average price of $97.12, for a total transaction of $242,800.00. Following the sale, the executive vice president directly owned 59,609 shares of the company's stock, valued at $5,789,226.08. The trade was a 4.03% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink. Also, CEO Brady Brewer sold 2,229 shares of the company's stock in a transaction on Tuesday, May 5th. The shares were sold at an average price of $104.81, for a total value of $233,621.49. Following the completion of the transaction, the chief executive officer directly owned 81,559 shares in the company, valued at approximately $8,548,198.79. The trade was a 2.66% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold a total of 11,187 shares of company stock worth $1,111,085 in the last 90 days. 0.03% of the stock is currently owned by company insiders.

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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