Allen Investment Management LLC Reduces Position in Starbucks Corporation $SBUX

Allen Investment Management LLC cut its holdings in shares of Starbucks Corporation (NASDAQ:SBUX) by 92.8% during the 4th quarter, Holdings Channel.com reports. The firm owned 20,269 shares of the coffee company’s stock after selling 261,765 shares during the quarter. Allen Investment Management LLC’s holdings in Starbucks were worth $1,707,000 as of its most recent filing with the Securities & Exchange Commission.

Several other institutional investors have also added to or reduced their stakes in the business. Vanguard Group Inc. lifted its holdings in Starbucks by 0.9% during the fourth quarter. Vanguard Group Inc. now owns 114,410,675 shares of the coffee company’s stock valued at $9,634,523,000 after purchasing an additional 971,773 shares during the last quarter. Capital Research Global Investors increased its position in shares of Starbucks by 11.4% during the third quarter. Capital Research Global Investors now owns 85,460,350 shares of the coffee company’s stock valued at $7,229,968,000 after buying an additional 8,774,198 shares during the period. Capital World Investors increased its position in shares of Starbucks by 1.9% during the third quarter. Capital World Investors now owns 77,720,137 shares of the coffee company’s stock valued at $6,575,430,000 after buying an additional 1,462,874 shares during the period. Geode Capital Management LLC increased its position in shares of Starbucks by 0.9% during the fourth quarter. Geode Capital Management LLC now owns 26,373,084 shares of the coffee company’s stock valued at $2,212,153,000 after buying an additional 225,168 shares during the period. Finally, Capital International Investors increased its position in shares of Starbucks by 22.5% during the third quarter. Capital International Investors now owns 14,691,772 shares of the coffee company’s stock valued at $1,243,104,000 after buying an additional 2,699,479 shares during the period. 72.29% of the stock is owned by hedge funds and other institutional investors.

Insider Buying and Selling at Starbucks

In other news, CEO Brady Brewer sold 2,229 shares of the firm’s stock in a transaction on Tuesday, May 5th. The stock was sold at an average price of $104.81, for a total transaction of $233,621.49. Following the completion of the transaction, the chief executive officer directly owned 81,559 shares in the company, valued at $8,548,198.79. This trade represents a 2.66% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, EVP Sara Kelly sold 2,500 shares of the firm’s stock in a transaction on Thursday, March 5th. The shares were sold at an average price of $97.12, for a total value of $242,800.00. Following the transaction, the executive vice president owned 59,609 shares of the company’s stock, valued at $5,789,226.08. The trade was a 4.03% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders have sold 11,187 shares of company stock valued at $1,111,085 over the last 90 days. Corporate insiders own 0.03% of the company’s stock.

Analyst Ratings Changes

Several equities research analysts have recently weighed in on SBUX shares. Zacks Research upgraded Starbucks from a “hold” rating to a “strong-buy” rating in a research report on Friday, May 15th. Citigroup upped their price target on Starbucks from $99.00 to $101.00 and gave the company a “neutral” rating in a research report on Wednesday, April 29th. JPMorgan Chase & Co. upped their price target on Starbucks from $95.00 to $100.00 and gave the company an “overweight” rating in a research report on Friday, April 24th. Wedbush started coverage on shares of Starbucks in a research report on Thursday, May 14th. They issued an “outperform” rating on the stock. Finally, Morgan Stanley upgraded shares of Starbucks from an “overweight” rating to an “overweight” rating in a research report on Thursday, May 14th. One equities research analyst has rated the stock with a Strong Buy rating, twenty have issued a Buy rating, ten have given a Hold rating and two have given a Sell rating to the company. According to data from MarketBeat.com, the stock has an average rating of “Moderate Buy” and a consensus target price of $107.48.

Starbucks Trading Down 2.7%

SBUX opened at $96.51 on Tuesday. The stock has a fifty day simple moving average of $99.04 and a two-hundred day simple moving average of $93.90. The company has a market cap of $109.99 billion, a price-to-earnings ratio of 73.11, a price-to-earnings-growth ratio of 1.95 and a beta of 0.98. Starbucks Corporation has a 12-month low of $77.99 and a 12-month high of $108.88.

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

Starbucks Announces Dividend

The business also recently declared a quarterly dividend, which was paid on Friday, May 29th. Stockholders of record on Friday, May 15th were issued a dividend of $0.62 per share. The ex-dividend date was Friday, May 15th. This represents a $2.48 annualized dividend and a dividend yield of 2.6%. Starbucks’s dividend payout ratio (DPR) is presently 187.88%.

Starbucks 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.