Shell Asset Management Co. Boosts Stock Holdings in Starbucks Corporation $SBUX

Key Points

• Shell Asset Management Co. increased its stake in Starbucks by 69% in Q2, now holding 41,849 shares valued at approximately $3.84 million.
• Starbucks reported a quarterly earnings decline with an EPS of $0.50, missing estimates, despite a revenue increase of 3.8% year-over-year.
• The company declared a quarterly dividend of $0.62, up from $0.61, resulting in a 3.1% dividend yield and a payout ratio of 105.17%.

Shell Asset Management Co. boosted its stake in shares of Starbucks Corporation (NASDAQ:SBUX - Free Report) by 69.0% during the second quarter, according to the company in its most recent disclosure with the Securities & Exchange Commission. The firm owned 41,849 shares of the coffee company's stock after purchasing an additional 17,092 shares during the period. Shell Asset Management Co.'s holdings in Starbucks were worth $3,835,000 at the end of the most recent reporting period.

A number of other large investors also recently bought and sold shares of SBUX. Vanguard Group Inc. raised its stake in shares of Starbucks by 0.9% in the 1st quarter. Vanguard Group Inc. now owns 112,059,570 shares of the coffee company's stock valued at $10,991,923,000 after acquiring an additional 953,361 shares during the period. Wellington Management Group LLP raised its stake in shares of Starbucks by 22.3% in the 1st quarter. Wellington Management Group LLP now owns 19,414,472 shares of the coffee company's stock valued at $1,904,366,000 after acquiring an additional 3,545,655 shares during the period. Nuveen LLC purchased a new position in shares of Starbucks in the 1st quarter valued at $1,379,619,000. Goldman Sachs Group Inc. raised its stake in shares of Starbucks by 59.5% in the 1st quarter. Goldman Sachs Group Inc. now owns 9,623,282 shares of the coffee company's stock valued at $943,948,000 after acquiring an additional 3,589,537 shares during the period. Finally, Jennison Associates LLC purchased a new position in shares of Starbucks in the 1st quarter valued at $817,759,000. Hedge funds and other institutional investors own 72.29% of the company's stock.

Starbucks Price Performance

Shares of SBUX stock opened at $81.29 on Wednesday. The firm has a market cap of $92.40 billion, a P/E ratio of 35.04, a P/E/G ratio of 4.05 and a beta of 1.01. Starbucks Corporation has a 1-year low of $75.50 and a 1-year high of $117.46. The firm has a fifty day moving average of $87.09 and a two-hundred day moving average of $88.30.

Starbucks (NASDAQ:SBUX - Get Free Report) last posted its quarterly earnings results on Tuesday, July 29th. The coffee company reported $0.50 EPS 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 analyst estimates of $9.29 billion. During the same period last year, the firm posted $0.93 earnings per share. The company's quarterly revenue was up 3.8% on a year-over-year basis. On average, sell-side analysts expect that Starbucks Corporation will post 2.99 EPS for the current year.

Starbucks Increases Dividend

The firm also recently declared a quarterly dividend, which will be paid on Friday, November 28th. Stockholders of record on Friday, November 14th will be issued a $0.62 dividend. This is a boost from Starbucks's previous quarterly dividend of $0.61. The ex-dividend date of this dividend is Friday, November 14th. This represents a $2.48 annualized dividend and a dividend yield of 3.1%. Starbucks's dividend payout ratio (DPR) is presently 105.17%.

Analysts Set New Price Targets

A number of equities analysts have recently commented on SBUX shares. Piper Sandler set a $105.00 target price on shares of Starbucks and gave the company an "overweight" rating in a research note on Wednesday, July 30th. CICC Research began coverage on shares of Starbucks in a research note on Monday, June 30th. They issued an "outperform" rating and a $100.00 target price on the stock. TD Cowen reaffirmed a "hold" rating and set a $95.00 price target on shares of Starbucks in a report on Thursday, September 25th. Stifel Nicolaus raised their price target on shares of Starbucks from $92.00 to $105.00 and gave the company a "buy" rating in a report on Friday, July 11th. Finally, Citigroup lowered their price target on shares of Starbucks from $100.00 to $99.00 and set a "neutral" rating for the company in a report on Wednesday, July 30th. One research analyst has rated the stock with a Strong Buy rating, fifteen have issued a Buy rating, ten have given a Hold rating and two have given a Sell rating to the company's stock. According to MarketBeat.com, the stock currently has an average rating of "Moderate Buy" and a consensus target price of $104.00.

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.

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