Starbucks Corporation (NASDAQ:SBUX) Shares Sold by Bornite Capital Management LP

Key Points

• Bornite Capital Management LP reduced its stake in Starbucks by 16.7%, now holding 125,000 shares valued at approximately $12.26 million.
• Starbucks reported a quarterly EPS of $0.50, missing estimates, while its revenue was $9.46 billion, exceeding expectations.
• The company announced a quarterly dividend of $0.61 per share, with a payout ratio of 105.17%, set to be paid on August 29th.

Bornite Capital Management LP cut its position in shares of Starbucks Corporation (NASDAQ:SBUX - Free Report) by 16.7% in the 1st quarter, according to the company in its most recent disclosure with the SEC. The fund owned 125,000 shares of the coffee company's stock after selling 25,000 shares during the quarter. Starbucks accounts for 3.2% of Bornite Capital Management LP's investment portfolio, making the stock its 16th biggest holding. Bornite Capital Management LP's holdings in Starbucks were worth $12,261,000 at the end of the most recent quarter.

Other hedge funds and other institutional investors have also recently bought and sold shares of the company. University of Texas Texas AM Investment Management Co. acquired a new position in Starbucks during the fourth quarter worth $25,000. Hughes Financial Services LLC purchased a new position in Starbucks during the first quarter worth $27,000. McClarren Financial Advisors Inc. purchased a new position in Starbucks during the first quarter worth $29,000. Kapitalo Investimentos Ltda purchased a new position in Starbucks during the fourth quarter worth $32,000. Finally, Ball & Co Wealth Management Inc. purchased a new position in Starbucks during the fourth quarter worth $41,000. 72.29% of the stock is owned by institutional investors and hedge funds.

Starbucks Stock Performance

Shares of Starbucks stock opened at $92.12 on Friday. The firm has a fifty day moving average of $92.27 and a two-hundred day moving average of $94.39. The stock has a market capitalization of $104.71 billion, a price-to-earnings ratio of 39.71, a PEG ratio of 5.25 and a beta of 1.02. Starbucks Corporation has a 52 week low of $74.75 and a 52 week high of $117.46.

Starbucks (NASDAQ:SBUX - Get Free Report) last released its quarterly earnings data on Tuesday, July 29th. The coffee company reported $0.50 EPS for the quarter, missing analysts' consensus estimates of $0.64 by ($0.14). Starbucks had a net margin of 7.18% and a negative return on equity of 36.23%. The firm had revenue of $9.46 billion during the quarter, compared to the consensus estimate of $9.29 billion. During the same quarter in the prior year, the company earned $0.93 EPS. Starbucks's quarterly revenue was up 3.8% on a year-over-year basis. As a group, research analysts forecast that Starbucks Corporation will post 2.99 EPS for the current fiscal year.

Starbucks Dividend Announcement

The company also recently announced a quarterly dividend, which will be paid on Friday, August 29th. Shareholders of record on Friday, August 15th will be issued a dividend of $0.61 per share. This represents a $2.44 dividend on an annualized basis and a yield of 2.6%. The ex-dividend date is Friday, August 15th. Starbucks's dividend payout ratio is 105.17%.

Analyst Ratings Changes

Several equities analysts have weighed in on the company. Morgan Stanley reissued an "overweight" rating and set a $103.00 price target (up previously from $95.00) on shares of Starbucks in a research report on Wednesday, July 30th. Wells Fargo & Company raised their price target on Starbucks from $100.00 to $105.00 and gave the stock an "overweight" rating in a research report on Wednesday, July 30th. JPMorgan Chase & Co. raised their price target on Starbucks from $100.00 to $105.00 and gave the stock an "overweight" rating in a research report on Wednesday, July 30th. Jefferies Financial Group downgraded Starbucks from a "hold" rating to an "underperform" rating and set a $76.00 price target for the company. in a research report on Thursday, July 17th. Finally, Bank of America raised their price target on Starbucks from $101.00 to $110.00 and gave the stock a "buy" rating in a research report on Friday, July 18th. Four equities research 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. According to MarketBeat.com, the stock presently has an average rating of "Hold" and a consensus target price of $101.27.

Starbucks 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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