Citigroup Cuts Starbucks (NASDAQ:SBUX) Price Target to $80.00

Starbucks (NASDAQ:SBUX) had its target price cut by Citigroup from $85.00 to $80.00 in a research note issued to investors on Monday, Benzinga reports. They currently have a neutral rating on the coffee company’s stock.

Several other research analysts have also recently issued reports on the company. Piper Sandler dropped their price target on Starbucks from $88.00 to $85.00 and set a neutral rating on the stock in a report on Monday, May 6th. Oppenheimer reissued a market perform rating on shares of Starbucks in a research note on Friday, April 19th. Morgan Stanley cut their target price on shares of Starbucks from $104.00 to $98.00 and set an overweight rating on the stock in a research note on Friday, July 12th. Wedbush cut their target price on shares of Starbucks from $81.00 to $77.00 and set a neutral rating on the stock in a research note on Friday, July 19th. Finally, Bank of America boosted their target price on shares of Starbucks from $108.00 to $112.00 and gave the company a buy rating in a research note on Monday, June 10th. Seventeen equities research analysts have rated the stock with a hold rating and nine have assigned a buy rating to the company. Based on data from MarketBeat.com, Starbucks presently has a consensus rating of Hold and an average price target of $91.71.

Starbucks Stock Performance

NASDAQ SBUX opened at $73.32 on Monday. The stock has a market capitalization of $83.05 billion, a P/E ratio of 20.20, a P/E/G ratio of 1.73 and a beta of 0.94. Starbucks has a 1 year low of $71.55 and a 1 year high of $107.66. The business’s fifty day moving average is $77.95 and its two-hundred day moving average is $85.38.

Starbucks (NASDAQ:SBUX) last posted its quarterly earnings results on Tuesday, April 30th. The coffee company reported $0.68 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.79 by ($0.11). The company had revenue of $8.56 billion during the quarter, compared to the consensus estimate of $9.12 billion. Starbucks had a net margin of 11.38% and a negative return on equity of 49.91%. Starbucks’s quarterly revenue was down 1.8% on a year-over-year basis. During the same period in the prior year, the company posted $0.74 EPS. On average, research analysts forecast that Starbucks will post 3.57 earnings per share for the current year.

Starbucks Announces Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Friday, August 30th. Investors of record on Friday, August 16th will be issued a $0.57 dividend. This represents a $2.28 dividend on an annualized basis and a yield of 3.11%. The ex-dividend date of this dividend is Friday, August 16th. Starbucks’s dividend payout ratio is presently 62.81%.

Insider Buying and Selling

In related news, CEO Michael Aaron Conway sold 3,250 shares of the company’s stock in a transaction on Friday, June 14th. The shares were sold at an average price of $80.00, for a total value of $260,000.00. Following the completion of the sale, the chief executive officer now directly owns 78,304 shares in the company, valued at $6,264,320. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available at the SEC website. In other news, CFO Rachel Ruggeri sold 3,750 shares of the company’s stock in a transaction dated Wednesday, May 22nd. The shares were sold at an average price of $80.00, for a total transaction of $300,000.00. Following the completion of the transaction, the chief financial officer now owns 65,431 shares of the company’s stock, valued at $5,234,480. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Also, CEO Michael Aaron Conway sold 3,250 shares of the company’s stock in a transaction dated Friday, June 14th. The shares were sold at an average price of $80.00, for a total transaction of $260,000.00. Following the transaction, the chief executive officer now directly owns 78,304 shares of the company’s stock, valued at approximately $6,264,320. The disclosure for this sale can be found here. Over the last three months, insiders sold 7,250 shares of company stock worth $579,375. Corporate insiders own 1.98% of the company’s stock.

Institutional Inflows and Outflows

A number of large investors have recently made changes to their positions in the stock. First National Trust Co raised its position in shares of Starbucks by 2.2% during the fourth quarter. First National Trust Co now owns 5,033 shares of the coffee company’s stock valued at $483,000 after buying an additional 106 shares during the last quarter. Quent Capital LLC raised its position in Starbucks by 2.8% in the fourth quarter. Quent Capital LLC now owns 4,004 shares of the coffee company’s stock worth $384,000 after purchasing an additional 108 shares in the last quarter. Graybill Wealth Management LTD. raised its position in Starbucks by 0.3% in the fourth quarter. Graybill Wealth Management LTD. now owns 40,088 shares of the coffee company’s stock worth $3,849,000 after purchasing an additional 109 shares in the last quarter. Glass Jacobson Investment Advisors llc raised its position in Starbucks by 10.0% in the fourth quarter. Glass Jacobson Investment Advisors llc now owns 1,246 shares of the coffee company’s stock worth $120,000 after purchasing an additional 113 shares in the last quarter. Finally, Blue Bell Private Wealth Management LLC raised its position in Starbucks by 24.6% in the fourth quarter. Blue Bell Private Wealth Management LLC now owns 598 shares of the coffee company’s stock worth $57,000 after purchasing an additional 118 shares in the last quarter. Institutional investors and hedge funds own 72.29% of the company’s stock.

About Starbucks

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.