Sequoia Financial Advisors LLC Sells 10,893 Shares of Starbucks Corporation $SBUX

Key Points

• Sequoia Financial Advisors cut its Starbucks stake by 22.9%, selling 10,893 shares and retaining 36,695 shares valued at approximately $3.75 million. Institutional investors collectively own 72.29% of the company.
• Analyst sentiment remains mixed: Starbucks has a consensus “Hold” rating and an average price target of $110.30, with individual targets ranging from $92 to $130.
• Starbucks beat quarterly earnings estimates with EPS of $0.85 versus $0.66 expected, but revenue fell 1.4% year over year. The company is investing about $1 billion in store renovations as part of its turnaround strategy, while facing competition, labor-organizing activity and an elevated valuation.

Sequoia Financial Advisors LLC decreased its position in shares of Starbucks Corporation (NASDAQ:SBUX - Free Report) by 22.9% during the second quarter, according to its most recent filing with the SEC. The firm owned 36,695 shares of the coffee company's stock after selling 10,893 shares during the period. Sequoia Financial Advisors LLC's holdings in Starbucks were worth $3,750,000 at the end of the most recent quarter.

Several other institutional investors have also recently made changes to their positions in the company. Cornerstone Financial Management LLC purchased a new stake in Starbucks in the fourth quarter worth $25,000. Phillip James Consulting Co. purchased a new position in Starbucks during the fourth quarter valued at $25,000. Meeder Asset Management Inc. bought a new stake in shares of Starbucks during the 2nd quarter valued at $25,000. Entrust Financial LLC bought a new stake in shares of Starbucks during the 4th quarter valued at $26,000. Finally, Tucker Asset Management LLC purchased a new stake in shares of Starbucks in the 4th quarter worth about $27,000. Institutional investors own 72.29% of the company's stock.

Analysts Set New Price Targets

Several research analysts recently issued reports on SBUX shares. DA Davidson increased their price target on shares of Starbucks from $102.00 to $110.00 and gave the stock a "neutral" rating in a research note on Thursday, July 30th. Deutsche Bank Aktiengesellschaft reissued a "buy" rating and set a $126.00 price objective 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 report on Monday, July 20th. BNP Paribas Exane raised their target price on shares of Starbucks from $87.00 to $92.00 and gave the company an "underperform" rating in a research note on Thursday, July 30th. Finally, BMO Capital Markets reiterated an "outperform" rating and set a $130.00 target price on shares of Starbucks in a report on Thursday, July 30th. One research analyst has rated the stock with a Strong Buy rating, eighteen have assigned a Buy rating, eleven have issued a Hold rating and four have given a Sell rating to the stock. According to data from MarketBeat.com, the stock has a consensus rating of "Hold" and an average price target of $110.30.

Starbucks News Summary

Here are the key news stories impacting Starbucks this week:

• Positive Sentiment: Starbucks plans to invest approximately $1 billion renovating as many as 8,000–9,000 North American company-operated stores. New seating, rugs, plants and other design upgrades are intended to increase customer dwell time, improve the in-store experience and support sales. Starbucks store renovation investment
• Positive Sentiment: Niccol said Starbucks’ “Back to Starbucks” turnaround is working and that roughly 1,500 or more upgraded locations could be completed by the end of the current fiscal year. The strategy focuses on service execution, café atmosphere and returning the brand to its coffeehouse roots. Starbucks CEO discusses café renovations
• Positive Sentiment: The company is emphasizing Refreshers and other cold beverages to drive afternoon traffic. The initiative could broaden Starbucks’ customer base and improve sales outside traditional morning coffee hours. Starbucks Refreshers strategy
• Neutral Sentiment: Starbucks has called for a safer Seattle, which could help improve the environment around stores and customer traffic, although the near-term financial impact is unclear. Starbucks and Seattle safety concerns
• Negative Sentiment: Workers at a Hamilton, Ontario, Starbucks have joined the United Steelworkers union, adding to labor-organizing activity in Canada. Broader unionization could increase labor costs and operational complexity. Hamilton Starbucks employees join union
• Negative Sentiment: Refreshers face rising competition from Dutch Bros and McDonald’s, raising doubts about whether the product push can generate sustained traffic gains. Starbucks also trades at an elevated valuation, while latest quarterly revenue declined 1.4% year over year despite an earnings beat.
• Neutral Sentiment: CEO Brady Brewer sold 2,229 shares under a pre-arranged Rule 10b5-1 plan. The transaction is relatively small but may attract attention from investors monitoring insider activity.

Insider Activity at Starbucks

In other news, CEO Brady Brewer sold 2,229 shares of the stock in a transaction that occurred on Friday, September 4th. The shares were sold at an average price of $105.60, for a total transaction of $235,382.40. Following the sale, the chief executive officer owned 73,149 shares in the company, valued at $7,724,534.40. This represents a 2.96% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold a total of 6,687 shares of company stock worth $703,450 in the last 90 days. Corporate insiders own 0.03% of the company's stock.

Starbucks Price Performance

SBUX opened at $98.74 on Friday. The firm has a market cap of $112.56 billion, a PE ratio of 56.75, a P/E/G ratio of 1.70 and a beta of 0.97. The stock has a 50-day moving average price of $105.16 and a 200-day moving average price of $101.27. Starbucks Corporation has a 1 year low of $77.99 and a 1 year high of $110.51.

Starbucks (NASDAQ:SBUX - Get Free Report) last announced its quarterly earnings data on Wednesday, July 29th. The coffee company reported $0.85 EPS for the quarter, beating the consensus estimate of $0.66 by $0.19. The company had revenue of $9.32 billion for the quarter, compared to the consensus estimate of $9.17 billion. Starbucks had a net margin of 5.17% and a negative return on equity of 34.10%. Starbucks's revenue for the quarter was down 1.4% on a year-over-year basis. During the same period in the prior year, the firm posted $0.50 EPS. Starbucks has set its FY 2026 guidance at 2.550-2.650 EPS. As a group, sell-side analysts anticipate that Starbucks Corporation will post 2.64 EPS for the current year.

About Starbucks

Starbucks Corporation is a global coffeehouse company that roasts, markets and sells specialty coffee, tea, cold beverages, food and other related products. Its offerings include brewed coffee, espresso-based beverages, cold drinks, teas, pastries, breakfast items and packaged coffee and tea products. Starbucks also sells branded merchandise, including drinkware and related accessories.

Founded in 1971 in Seattle, Starbucks has grown from a local coffee retailer into an international business.

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