Graham Capital Management L.P. Raises Position in Starbucks Corporation $SBUX

Graham Capital Management L.P. lifted its stake in Starbucks Corporation (NASDAQ:SBUX) by 809.3% in the 4th quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The firm owned 61,493 shares of the coffee company’s stock after buying an additional 54,730 shares during the period. Graham Capital Management L.P.’s holdings in Starbucks were worth $5,178,000 as of its most recent SEC filing.

Several other institutional investors and hedge funds also recently modified their holdings of SBUX. Norges Bank purchased a new stake in shares of Starbucks in the fourth quarter worth about $1,232,650,000. Capital Research Global Investors boosted its position in shares of Starbucks by 11.4% in the third quarter. Capital Research Global Investors now owns 85,460,350 shares of the coffee company’s stock worth $7,229,968,000 after buying an additional 8,774,198 shares during the period. Capital World Investors boosted its position in shares of Starbucks by 9.0% in the fourth quarter. Capital World Investors now owns 84,727,405 shares of the coffee company’s stock worth $7,135,228,000 after buying an additional 7,007,268 shares during the period. Corient Private Wealth LLC boosted its position in shares of Starbucks by 146.6% in the second quarter. Corient Private Wealth LLC now owns 6,049,192 shares of the coffee company’s stock worth $553,201,000 after buying an additional 3,596,014 shares during the period. Finally, Capital International Investors boosted its position in shares of Starbucks by 22.5% in the third quarter. Capital International Investors now owns 14,691,772 shares of the coffee company’s stock worth $1,243,104,000 after buying an additional 2,699,479 shares during the period. Hedge funds and other institutional investors own 72.29% of the company’s stock.

Analysts Set New Price Targets

SBUX has been the topic of several recent analyst reports. Robert W. Baird boosted their price target on Starbucks from $112.00 to $117.00 and gave the stock an “outperform” rating in a research note on Wednesday, April 29th. Tigress Financial initiated coverage on Starbucks in a research note on Wednesday, April 15th. They issued a “buy” rating and a $122.00 price target on the stock. Piper Sandler reiterated an “overweight” rating and issued a $110.00 price target on shares of Starbucks in a research note on Wednesday, April 29th. Stephens initiated coverage on Starbucks in a research note on Thursday, May 14th. They issued an “overweight” rating on the stock. Finally, Evercore boosted their price target on Starbucks from $110.00 to $115.00 and gave the stock an “outperform” rating in a research note on Wednesday, April 29th. One equities research analyst has rated the stock with a Strong Buy rating, twenty have assigned a Buy rating, ten have assigned a Hold rating and two have given a Sell rating to the stock. Based on data from MarketBeat.com, the stock has an average rating of “Moderate Buy” and a consensus price target of $107.93.

Key Starbucks News

Here are the key news stories impacting Starbucks this week:

• Positive Sentiment: Some recent analysis says Starbucks is seeing stronger customer traffic thanks to better service, faster operations, and improved store experience, which supports the idea that CEO Brian Niccol’s turnaround plan is starting to gain traction.
• Positive Sentiment: Zacks recently included Starbucks on its list of top income stocks, suggesting some analysts still view the shares favorably despite the near-term noise.
• Neutral Sentiment: Reports that Starbucks plans to open 5,000 smaller-format stores point to a major footprint reset aimed at improving efficiency and adapting to changing customer habits. Starbucks plans 5,000 new stores, but they won’t look the same
• Neutral Sentiment: CEO Brady Brewer’s recent stock sale was small and made under a pre-arranged 10b5-1 plan, so it is unlikely to be a major concern for investors on its own.
• Negative Sentiment: Starbucks Korea is closing all stores early for mandatory history and social sensitivity training after backlash over a marketing campaign, following boycotts, a public apology, and an investigation. The controversy raises brand and sales risk in an important international market. Starbucks Korea to give staff history training after backlash over marketing campaign
• Negative Sentiment: Separate coverage of the South Korea issue suggests the fallout is still weighing on sentiment and could pressure revenue if the boycott persists. Starbucks Korea Shuts Stores Early After Boycott Hits Revenue

Insider Activity at Starbucks

In other news, EVP Sara Kelly sold 2,000 shares of the company’s stock in a transaction that occurred on Wednesday, April 29th. The stock was sold at an average price of $105.00, for a total transaction of $210,000.00. Following the completion of the transaction, the executive vice president directly owned 57,653 shares of the company’s stock, valued at approximately $6,053,565. This represents a 3.35% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO Brady Brewer sold 588 shares of the company’s stock in a transaction that occurred on Thursday, June 11th. The shares were sold at an average price of $100.00, for a total value of $58,800.00. Following the transaction, the chief executive officer directly owned 79,593 shares of the company’s stock, valued at $7,959,300. This trade represents a 0.73% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold 8,687 shares of company stock worth $863,707 in the last 90 days. 0.03% of the stock is currently owned by insiders.

Starbucks Stock Up 0.1%

Shares of NASDAQ SBUX opened at $101.68 on Wednesday. The stock’s 50 day moving average price is $100.72 and its two-hundred day moving average price is $94.94. Starbucks Corporation has a 52-week low of $77.99 and a 52-week high of $108.88. The stock has a market capitalization of $115.88 billion, a P/E ratio of 77.03, a PEG ratio of 2.00 and a beta of 0.98.

Starbucks (NASDAQ:SBUX) last announced its quarterly earnings data on Tuesday, April 28th. The coffee company reported $0.50 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.44 by $0.06. Starbucks had a negative return on equity of 29.24% and a net margin of 3.89%.The firm had revenue of $9.53 billion for the quarter, compared to analysts’ expectations of $9.17 billion. During the same quarter in the prior year, the firm posted $0.41 earnings per share. Starbucks’s revenue for the quarter was up 8.8% compared to the same quarter last year. Starbucks has set its FY 2026 guidance at 2.250-2.450 EPS. On average, analysts anticipate that Starbucks Corporation will post 2.42 EPS for the current year.

Starbucks Announces Dividend

The company also recently disclosed a quarterly dividend, which was paid on Friday, May 29th. Shareholders of record on Friday, May 15th were paid a dividend of $0.62 per share. The ex-dividend date was Friday, May 15th. This represents a $2.48 annualized dividend and a yield of 2.4%. Starbucks’s dividend payout ratio is presently 187.88%.

Starbucks Company Profile

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.