Starbucks Corp. (SBUX) Upgraded by Zacks Investment Research to “Hold”
Starbucks Corp. (NASDAQ:SBUX) was upgraded by Zacks Investment Research from a “sell” rating to a “hold” rating in a report released on Wednesday.
According to Zacks, “Starbucks is strengthening its portfolio with significant innovation around beverages and core food offerings. Its third-quarter sales were chiefly hurt by slow down of comps and traffic trends in the U.S. market. However, the third quarter headwinds were temporary and Starbucks expects U.S. comps to improve in the next quarter. Starbucks’s operating fundamentals remain strong – solid global retail footprint, successful innovations, best-in-class loyalty program and digital offerings. Again, digital initiatives like mobile order/pay, delivery services and third-party loyalty partnerships can stimulate stronger sales trends in the Americas. CPG growth across the world as well as China/Asia expansion will also enhance value creation. However, business in Europe is clouded by the economic uncertainties in the Northern region and deflation in the Eurozone. Accelerated global employee and digital investments can keep profits under strain.”
Other equities research analysts have also issued research reports about the stock. Nomura restated a “buy” rating on shares of Starbucks Corp. in a research note on Tuesday, July 12th. Royal Bank Of Canada restated a “buy” rating on shares of Starbucks Corp. in a research note on Tuesday, July 12th. Vetr lowered shares of Starbucks Corp. from a “strong-buy” rating to a “buy” rating and set a $62.76 price target on the stock. in a research note on Monday, July 11th. Goldman Sachs Group Inc. restated a “buy” rating and issued a $69.00 price target (down previously from $73.00) on shares of Starbucks Corp. in a research note on Wednesday, July 20th. Finally, Cowen and Company restated a “buy” rating on shares of Starbucks Corp. in a research note on Monday, July 18th. Six equities research analysts have rated the stock with a hold rating, twenty-four have assigned a buy rating and two have given a strong buy rating to the company’s stock. The stock presently has an average rating of “Buy” and an average price target of $66.04.
This story is the sole property of American Banking News and it was originally published by American Banking News. If you are reading this story on another website, that means this article was illegally copied and re-published to this website in violation of U.S. and International copyright law. The original version of this article is available at http://www.americanbankingnews.com/2016/10/19/starbucks-corp-sbux-upgraded-by-zacks-investment-research-to-hold.html
Starbucks Corp. (NASDAQ:SBUX) opened at 52.61 on Wednesday. The company has a 50-day moving average price of $54.13 and a 200 day moving average price of $56.08. Starbucks Corp. has a 12 month low of $52.59 and a 12 month high of $64.00. The firm has a market cap of $77.16 billion, a PE ratio of 29.56 and a beta of 0.83.
Starbucks Corp. (NASDAQ:SBUX) last released its quarterly earnings data on Thursday, July 21st. The coffee company reported $0.49 earnings per share for the quarter, hitting the consensus estimate of $0.49. The firm had revenue of $5.20 billion for the quarter, compared to analyst estimates of $5.34 billion. Starbucks Corp. had a net margin of 13.01% and a return on equity of 46.89%. Equities research analysts anticipate that Starbucks Corp. will post $1.89 EPS for the current year.
In other news, Director Myron E. Ullman III sold 12,654 shares of the firm’s stock in a transaction on Tuesday, July 26th. The shares were sold at an average price of $58.70, for a total transaction of $742,789.80. Following the transaction, the director now owns 26,654 shares in the company, valued at approximately $1,564,589.80. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Insiders own 3.38% of the company’s stock.
Hedge funds and other institutional investors have recently added to or reduced their stakes in the stock. Farmers National Bank acquired a new position in Starbucks Corp. during the second quarter worth $101,000. Cascade Investment Advisors Inc. purchased a new position in shares of Starbucks Corp. during the second quarter valued at approximately $107,000. Valley National Advisers Inc. increased its position in shares of Starbucks Corp. by 0.3% in the second quarter. Valley National Advisers Inc. now owns 2,062 shares of the coffee company’s stock valued at $118,000 after buying an additional 6 shares during the period. Livingston Group Asset Management CO operating as Southport Capital Management purchased a new position in shares of Starbucks Corp. during the second quarter valued at approximately $123,000. Finally, Proficio Capital Partners LLC increased its position in shares of Starbucks Corp. by 5.2% in the second quarter. Proficio Capital Partners LLC now owns 2,205 shares of the coffee company’s stock valued at $128,000 after buying an additional 109 shares during the period. Institutional investors and hedge funds own 68.39% of the company’s stock.
About Starbucks Corp.
Starbucks Corporation is the roaster, marketer and retailer of specialty coffee. The Company purchases and roasts coffees that it sells, along with coffee, tea and other beverages, and a range of fresh food items, through Company-operated stores. It also sells a range of coffee and tea products and licenses its trademarks through other channels, such as licensed stores, grocery and national foodservice accounts.
For more information about research offerings from Zacks Investment Research, visit Zacks.com
Receive News & Ratings for Starbucks Corp. Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Starbucks Corp. and related companies with MarketBeat.com's FREE daily email newsletter.