Starbucks Corporation (NASDAQ:SBUX) Given Average Recommendation of "Moderate Buy" by Brokerages

Key Points

• Moderate Buy consensus from 30 analysts (1 sell, 13 hold, 16 buy) with an average 1‑year price target of $104.57.
• Starbucks missed EPS in the last quarter ($0.56 vs. $0.59 estimate) but beat revenue ($9.92B vs. $9.62B) and issued FY2026 EPS guidance of $2.15–$2.40 (consensus ~2.31).
• The company declared a quarterly dividend of $0.62 (annualized $2.48, yield 2.5%), with a notably high payout ratio of 204.96%.

Starbucks Corporation (NASDAQ:SBUX - Get Free Report) has been assigned an average rating of "Moderate Buy" from the thirty research firms that are presently covering the company, MarketBeat reports. One equities research analyst has rated the stock with a sell rating, thirteen have issued a hold rating and sixteen have assigned a buy rating to the company. The average 1-year price objective among brokerages that have covered the stock in the last year is $104.5714.

Several research firms recently issued reports on SBUX. Barclays set a $116.00 price target on shares of Starbucks and gave the company an "overweight" rating in a report on Friday, January 30th. Dbs Bank raised shares of Starbucks from a "strong sell" rating to a "moderate sell" rating in a report on Friday, March 20th. Tigress Financial began coverage on shares of Starbucks in a report on Wednesday, April 15th. They issued a "buy" rating and a $122.00 price target on the stock. Bank of America set a $114.00 price target on shares of Starbucks in a report on Wednesday, January 21st. Finally, Wolfe Research initiated coverage on shares of Starbucks in a report on Monday, March 9th. They issued a "peer perform" rating on the stock.

Starbucks Price Performance

SBUX opened at $98.95 on Tuesday. The stock has a market capitalization of $112.73 billion, a PE ratio of 81.78, a P/E/G ratio of 2.26 and a beta of 0.95. The firm's fifty day moving average price is $95.86 and its 200 day moving average price is $90.02. Starbucks has a 12-month low of $75.50 and a 12-month high of $104.82.

Starbucks (NASDAQ:SBUX - Get Free Report) last posted its quarterly earnings results on Wednesday, January 28th. The coffee company reported $0.56 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.59 by ($0.03). The company had revenue of $9.92 billion during the quarter, compared to analyst estimates of $9.62 billion. Starbucks had a net margin of 3.63% and a negative return on equity of 28.66%. The company's revenue was up 5.5% on a year-over-year basis. During the same period in the prior year, the company earned $0.69 earnings per share. Starbucks has set its FY 2026 guidance at 2.150-2.400 EPS. On average, equities research analysts forecast that Starbucks will post 2.31 earnings per share for the current fiscal year.

Starbucks Dividend Announcement

The firm also recently announced a quarterly dividend, which will be paid on Friday, May 29th. Shareholders of record on Friday, May 15th will be paid a dividend of $0.62 per share. The ex-dividend date is Friday, May 15th. This represents a $2.48 annualized dividend and a yield of 2.5%. Starbucks's payout ratio is presently 204.96%.

Insider Buying and Selling at Starbucks

In other Starbucks news, EVP Sara Kelly sold 2,500 shares of the business's stock in a transaction on Thursday, March 5th. The shares were sold at an average price of $97.12, for a total transaction of $242,800.00. Following the completion of the sale, the executive vice president owned 59,609 shares in the company, valued at $5,789,226.08. The trade was a 4.03% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. Also, CEO Brady Brewer sold 1,641 shares of the business's stock in a transaction on Monday, April 6th. The shares were sold at an average price of $90.00, for a total transaction of $147,690.00. Following the sale, the chief executive officer owned 84,376 shares of the company's stock, valued at approximately $7,593,840. The trade was a 1.91% decrease in their position. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last quarter, insiders have sold 6,370 shares of company stock valued at $608,664. 0.03% of the stock is owned by insiders.

Institutional Trading of Starbucks

Institutional investors have recently added to or reduced their stakes in the business. Collier Financial bought a new stake in Starbucks during the third quarter valued at $25,000. Rachor Investment Advisory Services LLC bought a new position in shares of Starbucks during the fourth quarter worth about $25,000. Phillip James Consulting Co. bought a new position in shares of Starbucks during the fourth quarter worth about $25,000. Cornerstone Financial Management LLC bought a new position in shares of Starbucks during the fourth quarter worth about $25,000. Finally, Y.D. More Investments Ltd bought a new position in shares of Starbucks during the third quarter worth about $26,000. Institutional investors own 72.29% of the company's stock.

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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