Red Spruce Capital LLC Purchases 4,321 Shares of Starbucks Corporation $SBUX

Key Points

• Red Spruce Capital LLC increased its stake in Starbucks by 28.4% during the second quarter, owning a total of 19,542 shares valued at approximately $1.79 million.
• Starbucks reported $0.50 earnings per share for its last quarter, falling short of analysts' expectations of $0.64, while its revenue was $9.46 billion, exceeding expectations of $9.29 billion.
• The company announced a quarterly dividend of $0.61 per share, reflecting an annualized dividend yield of 3.0%, despite a high dividend payout ratio of 105.17%.

Red Spruce Capital LLC boosted its holdings in shares of Starbucks Corporation (NASDAQ:SBUX - Free Report) by 28.4% in the 2nd quarter, according to its most recent disclosure with the Securities and Exchange Commission (SEC). The fund owned 19,542 shares of the coffee company's stock after purchasing an additional 4,321 shares during the period. Red Spruce Capital LLC's holdings in Starbucks were worth $1,791,000 at the end of the most recent quarter.

Several other institutional investors and hedge funds have also recently added to or reduced their stakes in the business. GK Wealth Management LLC lifted its stake in Starbucks by 47.0% during the second quarter. GK Wealth Management LLC now owns 3,369 shares of the coffee company's stock worth $309,000 after purchasing an additional 1,077 shares during the last quarter. Wesbanco Bank Inc. lifted its stake in Starbucks by 7.5% during the second quarter. Wesbanco Bank Inc. now owns 145,564 shares of the coffee company's stock worth $13,338,000 after purchasing an additional 10,154 shares during the last quarter. Somerset Trust Co lifted its stake in Starbucks by 3.9% during the second quarter. Somerset Trust Co now owns 6,244 shares of the coffee company's stock worth $572,000 after purchasing an additional 235 shares during the last quarter. Zevenbergen Capital Investments LLC lifted its stake in Starbucks by 1.4% during the second quarter. Zevenbergen Capital Investments LLC now owns 11,212 shares of the coffee company's stock worth $1,027,000 after purchasing an additional 160 shares during the last quarter. Finally, Thurston Springer Miller Herd & Titak Inc. lifted its stake in Starbucks by 9.5% during the second quarter. Thurston Springer Miller Herd & Titak Inc. now owns 36,395 shares of the coffee company's stock worth $3,335,000 after purchasing an additional 3,153 shares during the last quarter. 72.29% of the stock is currently owned by institutional investors.

Analyst Ratings Changes

SBUX has been the subject of several recent analyst reports. Cowen reiterated a "hold" rating on shares of Starbucks in a report on Tuesday, June 24th. TD Cowen upped their price target on shares of Starbucks from $90.00 to $95.00 and gave the stock a "hold" rating in a report on Wednesday, July 30th. Wells Fargo & Company upped their price target on shares of Starbucks from $100.00 to $105.00 and gave the stock an "overweight" rating in a report on Wednesday, July 30th. Robert W. Baird raised Starbucks from a "neutral" rating to an "outperform" rating and raised their target price for the stock from $100.00 to $115.00 in a research report on Tuesday, August 12th. Finally, UBS Group raised their target price on Starbucks from $95.00 to $100.00 and gave the stock a "neutral" rating in a research report on Wednesday, July 30th. One investment analyst has rated the stock with a Strong Buy rating, fifteen have issued a Buy rating, eight have issued a Hold rating and two have issued a Sell rating to the stock. According to data from MarketBeat.com, Starbucks has an average rating of "Moderate Buy" and an average target price of $104.40.

Starbucks Price Performance

Shares of SBUX traded up $0.77 during trading hours on Friday, hitting $84.19. The stock had a trading volume of 4,731,513 shares, compared to its average volume of 10,258,082. The firm has a 50 day simple moving average of $89.54 and a 200-day simple moving average of $89.93. The firm has a market capitalization of $95.70 billion, a P/E ratio of 36.31, a price-to-earnings-growth ratio of 4.97 and a beta of 1.00. Starbucks Corporation has a 1-year low of $75.50 and a 1-year high of $117.46.

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

Starbucks Announces Dividend

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

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.