Rakuten Investment Management Inc. Invests $28.57 Million in Starbucks Corporation $SBUX

Rakuten Investment Management Inc. purchased a new position in Starbucks Corporation (NASDAQ:SBUX) during the second quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission. The fund purchased 274,569 shares of the coffee company’s stock, valued at approximately $28,572,000.

Other institutional investors also recently modified their holdings of the company. Cornerstone Financial Management LLC bought a new stake in shares of Starbucks in the 4th quarter valued at $25,000. Phillip James Consulting Co. acquired a new stake in Starbucks in the fourth quarter worth $25,000. Meeder Asset Management Inc. bought a new stake in Starbucks in the second quarter valued at $25,000. Entrust Financial LLC bought a new stake in Starbucks in the fourth quarter valued at $26,000. Finally, Kelleher Financial Advisors acquired a new position in shares of Starbucks during the third quarter valued at about $27,000. 72.29% of the stock is owned by institutional investors.

Starbucks Trading Up 0.6%

NASDAQ SBUX opened at $107.85 on Friday. The business has a fifty day simple moving average of $105.10 and a 200 day simple moving average of $100.78. Starbucks Corporation has a 12 month low of $77.99 and a 12 month high of $110.51. The firm has a market capitalization of $122.95 billion, a P/E ratio of 61.98, a PEG ratio of 1.85 and a beta of 0.97.

Starbucks (NASDAQ:SBUX) last posted its earnings results on Wednesday, July 29th. The coffee company reported $0.85 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.66 by $0.19. The firm had revenue of $9.32 billion during the quarter, compared to analyst estimates of $9.17 billion. Starbucks had a net margin of 5.17% and a negative return on equity of 34.10%. The business’s revenue was down 1.4% compared to the same quarter last year. During the same quarter in the prior year, the business posted $0.50 EPS. Starbucks has set its FY 2026 guidance at 2.550-2.650 EPS. As a group, sell-side analysts predict that Starbucks Corporation will post 2.64 EPS for the current fiscal year.

Starbucks Dividend Announcement

The company also recently disclosed a quarterly dividend, which was paid on Friday, August 28th. Shareholders of record on Friday, August 14th were given a $0.62 dividend. This represents a $2.48 dividend on an annualized basis and a yield of 2.3%. The ex-dividend date of this dividend was Friday, August 14th. Starbucks’s dividend payout ratio is presently 142.53%.

Analysts Set New Price Targets

SBUX has been the subject of a number of research analyst reports. Needham & Company LLC set a $120.00 target price on Starbucks in a research report on Tuesday, August 18th. Wells Fargo & Company downgraded Starbucks from an “overweight” rating to an “underweight” rating in a report on Monday, August 3rd. Morgan Stanley downgraded shares of Starbucks from an “overweight” rating to an “underweight” rating in a research report on Monday, August 3rd. UBS Group upped their price objective on shares of Starbucks from $105.00 to $112.00 and gave the stock a “neutral” rating in a report on Thursday, July 30th. Finally, Stephens assumed coverage on shares of Starbucks in a research report on Thursday, May 14th. They set an “overweight” rating for the company. One research analyst has rated the stock with a Strong Buy rating, eighteen have given a Buy rating, eleven have assigned a Hold rating and four have given a Sell rating to the stock. According to data from MarketBeat, Starbucks currently has an average rating of “Hold” and a consensus target price of $110.30.

Insider Buying and Selling

In other Starbucks news, CEO Brady Brewer sold 2,229 shares of the stock in a transaction dated Wednesday, August 5th. The shares were sold at an average price of $105.99, for a total value of $236,251.71. Following the completion of the sale, the chief executive officer owned 75,135 shares in the company, valued at approximately $7,963,558.65. This trade represents a 2.88% decrease in their position. The transaction was disclosed in a filing with the SEC, which is accessible through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last ninety days, insiders have sold 6,687 shares of company stock valued at $681,663. Company insiders own 0.03% of the company’s stock.

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.