Portfolio Design Labs LLC Makes New $1.06 Million Investment in Starbucks Corporation $SBUX

Key Points

• Portfolio Design Labs LLC purchased 10,382 Starbucks shares worth approximately $1.06 million in the second quarter, while institutional investors collectively own 72.29% of the company.
• Starbucks recently exceeded earnings expectations, reporting quarterly EPS of $0.85 versus $0.66 forecast and revenue of $9.32 billion versus $9.17 billion expected. Shares opened at $107.49, near their 52-week high of $110.51.
• Despite improving traffic, margins and guidance, analysts maintain a consensus “Hold” rating with an average price target of $110.30; risks include the stock’s premium valuation, consumer weakness and ongoing restructuring.

Portfolio Design Labs LLC bought a new stake in shares of Starbucks Corporation (NASDAQ:SBUX - Free Report) in the second quarter, according to its most recent filing with the Securities and Exchange Commission. The fund bought 10,382 shares of the coffee company's stock, valued at approximately $1,061,000.

Other hedge funds and other institutional investors have also recently modified their holdings of the company. Jefferies Financial Group Inc. increased its stake in shares of Starbucks by 94.5% in the 4th quarter. Jefferies Financial Group Inc. now owns 94,260 shares of the coffee company's stock worth $7,938,000 after purchasing an additional 45,794 shares in the last quarter. Swiss Life Asset Management Ltd lifted its position in Starbucks by 20.4% during the fourth quarter. Swiss Life Asset Management Ltd now owns 518,405 shares of the coffee company's stock valued at $43,655,000 after purchasing an additional 87,926 shares in the last quarter. Norges Bank purchased a new position in Starbucks during the fourth quarter valued at $1,232,650,000. Brighton Jones LLC grew its holdings in Starbucks by 86.5% during the fourth 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. Finally, Parkside Investments LLC purchased a new stake in Starbucks in the fourth quarter worth about $842,000. 72.29% of the stock is owned by institutional investors.

Starbucks News Summary

Here are the key news stories impacting Starbucks this week:

• Positive Sentiment: Starbucks’ coffee strategy is drawing renewed investor attention as management focuses on improving the customer experience, store performance and operational execution. Starbucks Coffee Strategy Draws Fresh Attention
• Positive Sentiment: The fall menu includes the return of a 23-year-old customer favorite along with nine new seasonal food and beverage items, providing a potential near-term traffic and sales catalyst. Starbucks Fall Menu 2026
• Positive Sentiment: The limited-time Unicorn Frappuccino reportedly produced Starbucks’ biggest sales weekend ever and lifted traffic 28.5% versus a typical Saturday, supporting the case that innovative promotions can attract customers. Starbucks Unicorn Frappuccino Sales
• Positive Sentiment: Analyst commentary highlights SBUX’s roughly 27% year-to-date advance, stronger traffic, recovering margins and raised guidance. Recent earnings also exceeded expectations, with quarterly EPS of $0.85 versus a $0.66 consensus and revenue of $9.32 billion. Starbucks Stock Gains 27 Percent Year to Date
• Neutral Sentiment: Starbucks has received a consensus analyst rating of “Hold,” suggesting that improving fundamentals are currently balanced against the stock’s already strong rally and execution risks. Starbucks Consensus Hold Rating
• Negative Sentiment: At a premium valuation, SBUX could experience greater volatility if consumer spending weakens or investors reduce expectations for the turnaround. Higher input costs and broader consumer uncertainty remain key risks. High-Flying Stocks With Warning Signs
• Negative Sentiment: Starbucks plans to eliminate more than 200 positions at its Seattle headquarters and shift some roles to Nashville. The restructuring may improve efficiency, but the layoffs could signal ongoing cost and organizational pressure. Starbucks Seattle Headquarters Layoffs

Starbucks Stock Up 0.4%

Shares of NASDAQ:SBUX opened at $107.49 on Tuesday. The firm has a fifty day simple moving average of $104.57 and a two-hundred day simple moving average of $100.53. Starbucks Corporation has a 52 week low of $77.99 and a 52 week high of $110.51. The stock has a market capitalization of $122.54 billion, a P/E ratio of 61.78, a PEG ratio of 1.85 and a beta of 0.97.

Starbucks (NASDAQ:SBUX - Get Free Report) last issued its quarterly earnings results on Wednesday, July 29th. The coffee company reported $0.85 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $0.66 by $0.19. The company had revenue of $9.32 billion during the quarter, compared to the consensus estimate of $9.17 billion. Starbucks had a negative return on equity of 34.10% and a net margin of 5.17%.Starbucks's revenue was down 1.4% on a year-over-year basis. During the same period last year, the company earned $0.50 earnings per share. Starbucks has set its FY 2026 guidance at 2.550-2.650 EPS. On average, analysts expect that Starbucks Corporation will post 2.64 earnings per share for the current year.

Starbucks Dividend Announcement

The business also recently declared a quarterly dividend, which will be paid on Friday, August 28th. Investors of record on Friday, August 14th will be paid a $0.62 dividend. This represents a $2.48 annualized dividend and a yield of 2.3%. The ex-dividend date of this dividend is Friday, August 14th. Starbucks's dividend payout ratio (DPR) is currently 142.53%.

Insiders Place Their Bets

In other Starbucks news, CEO Brady Brewer sold 2,229 shares of the business's stock in a transaction dated Wednesday, August 5th. The shares were sold at an average price of $105.99, for a total value of $236,251.71. Following the completion of the sale, the chief executive officer directly owned 75,135 shares of the company's stock, valued at $7,963,558.65. The trade was a 2.88% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last three months, insiders have sold 6,687 shares of company stock worth $681,663. Company insiders own 0.03% of the company's stock.

Analysts Set New Price Targets

A number of equities research analysts have commented on SBUX shares. Needham & Company LLC set a $120.00 target price on shares of Starbucks in a research note on Tuesday, August 18th. Royal Bank Of Canada reissued a "sector perform" rating and issued a $115.00 price objective (up from $110.00) on shares of Starbucks in a research note on Thursday, July 30th. Weiss Ratings restated a "hold (c)" rating on shares of Starbucks in a research note on Monday, July 20th. Jefferies Financial Group assumed coverage on shares of Starbucks in a report on Thursday, May 14th. They issued a "buy" rating for the company. Finally, Piper Sandler reiterated an "overweight" rating and issued a $110.00 price target on shares of Starbucks in a research note on Wednesday, April 29th. Nineteen analysts have rated the stock with a Buy rating, eleven have assigned a Hold rating and four have given a Sell rating to the company's stock. Based on data from MarketBeat, the stock presently has a consensus rating of "Hold" and an average target price of $110.30.

About Starbucks

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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