Neo Ivy Capital Management Invests $2.10 Million in Starbucks Corporation (NASDAQ:SBUX)

Key Points

• Neo Ivy Capital Management invested approximately $2.10 million in Starbucks, purchasing 21,434 shares during the first quarter.
• Starbucks faced mixed analyst opinions, with price targets ranging from $76.00 to $100.00, and an overall average rating of "Hold" with a target price of $98.58.
• The company recently announced a quarterly dividend of $0.61 per share, reflecting an annualized yield of 2.58% and a payout ratio of 88.41%.

Neo Ivy Capital Management purchased a new position in shares of Starbucks Corporation (NASDAQ:SBUX - Free Report) during the first quarter, according to its most recent 13F filing with the SEC. The institutional investor purchased 21,434 shares of the coffee company's stock, valued at approximately $2,102,000.

A number of other hedge funds have also recently bought and sold shares of the company. Brighton Jones LLC lifted its stake in shares of Starbucks by 86.5% in the 4th quarter. Brighton Jones LLC now owns 176,722 shares of the coffee company's stock valued at $16,126,000 after purchasing an additional 81,952 shares during the period. Congress Wealth Management LLC DE lifted its stake in shares of Starbucks by 16.2% in the 4th quarter. Congress Wealth Management LLC DE now owns 17,230 shares of the coffee company's stock valued at $1,572,000 after purchasing an additional 2,406 shares during the period. Segall Bryant & Hamill LLC lifted its stake in shares of Starbucks by 15.1% in the 4th quarter. Segall Bryant & Hamill LLC now owns 104,272 shares of the coffee company's stock valued at $9,515,000 after purchasing an additional 13,683 shares during the period. Modern Wealth Management LLC lifted its stake in shares of Starbucks by 39.8% in the 4th quarter. Modern Wealth Management LLC now owns 8,209 shares of the coffee company's stock valued at $749,000 after purchasing an additional 2,335 shares during the period. Finally, TIAA Trust National Association lifted its stake in shares of Starbucks by 0.4% in the 4th quarter. TIAA Trust National Association now owns 54,977 shares of the coffee company's stock valued at $5,017,000 after purchasing an additional 222 shares during the period. 72.29% of the stock is currently owned by institutional investors.

Analyst Upgrades and Downgrades

A number of research analysts have recently weighed in on the company. JPMorgan Chase & Co. cut their price target on Starbucks from $105.00 to $100.00 and set an "overweight" rating on the stock in a research note on Wednesday, April 30th. TD Cowen reaffirmed a "hold" rating and set a $90.00 price objective on shares of Starbucks in a research note on Thursday, May 29th. Royal Bank Of Canada raised their price objective on Starbucks from $95.00 to $100.00 and gave the stock an "outperform" rating in a research note on Wednesday, June 11th. BMO Capital Markets dropped their price objective on Starbucks from $115.00 to $100.00 and set an "outperform" rating on the stock in a research note on Wednesday, April 30th. Finally, Jefferies Financial Group downgraded Starbucks from a "hold" rating to an "underperform" rating and set a $76.00 price objective on the stock. in a research note on Thursday, July 17th. Four investment analysts have rated the stock with a sell rating, eleven have assigned a hold rating and fifteen have assigned a buy rating to the company's stock. According to MarketBeat, Starbucks currently has an average rating of "Hold" and an average target price of $98.58.

Starbucks Trading Up 0.8%

SBUX stock traded up $0.72 during mid-day trading on Friday, hitting $94.42. 7,219,553 shares of the company were exchanged, compared to its average volume of 7,933,794. Starbucks Corporation has a 1-year low of $72.72 and a 1-year high of $117.46. The business has a 50 day simple moving average of $91.05 and a 200-day simple moving average of $94.64. The stock has a market capitalization of $107.30 billion, a PE ratio of 34.21, a price-to-earnings-growth ratio of 6.50 and a beta of 1.02.

Starbucks (NASDAQ:SBUX - Get Free Report) last released its quarterly earnings results on Tuesday, April 29th. The coffee company reported $0.41 earnings per share for the quarter, missing analysts' consensus estimates of $0.51 by ($0.10). Starbucks had a net margin of 8.61% and a negative return on equity of 42.14%. The business had revenue of $8.76 billion during the quarter, compared to analyst estimates of $8.90 billion. During the same quarter in the previous year, the firm posted $0.68 earnings per share. The firm's quarterly revenue was up 2.3% on a year-over-year basis. Equities research analysts expect that Starbucks Corporation will post 2.99 earnings per share for the current year.

Starbucks Announces Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Friday, August 29th. Shareholders of record on Friday, August 15th will be given a dividend of $0.61 per share. The ex-dividend date is Friday, August 15th. This represents a $2.44 annualized dividend and a yield of 2.58%. Starbucks's dividend payout ratio is currently 88.41%.

Starbucks Company 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.