Capital Group Private Client Services Inc. Purchases 35,191 Shares of Starbucks Corporation $SBUX

Capital Group Private Client Services Inc. boosted its position in shares of Starbucks Corporation (NASDAQ:SBUX) by 504.9% in the fourth quarter, HoldingsChannel reports. The institutional investor owned 42,161 shares of the coffee company’s stock after acquiring an additional 35,191 shares during the quarter. Capital Group Private Client Services Inc.’s holdings in Starbucks were worth $3,550,000 at the end of the most recent quarter.

A number of other hedge funds and other institutional investors also recently added to or reduced their stakes in the company. Aerodigm Wealth LLC raised its holdings in Starbucks by 2.7% during the 4th quarter. Aerodigm Wealth LLC now owns 4,245 shares of the coffee company’s stock valued at $357,000 after buying an additional 112 shares during the last quarter. River Street Advisors LLC raised its holdings in Starbucks by 0.8% during the 4th quarter. River Street Advisors LLC now owns 13,516 shares of the coffee company’s stock valued at $1,138,000 after buying an additional 113 shares during the last quarter. Creative Financial Designs Inc. ADV raised its holdings in Starbucks by 38.2% during the 4th quarter. Creative Financial Designs Inc. ADV now owns 409 shares of the coffee company’s stock valued at $34,000 after buying an additional 113 shares during the last quarter. Integrity Alliance LLC. raised its holdings in Starbucks by 3.0% during the 4th quarter. Integrity Alliance LLC. now owns 3,907 shares of the coffee company’s stock valued at $329,000 after buying an additional 114 shares during the last quarter. Finally, Opus Capital Group LLC raised its holdings in Starbucks by 3.9% in the 4th quarter. Opus Capital Group LLC now owns 3,187 shares of the coffee company’s stock worth $268,000 after purchasing an additional 120 shares in the last quarter. 72.29% of the stock is currently owned by institutional investors.

Starbucks Price Performance

Shares of Starbucks stock opened at $95.29 on Monday. The company has a 50-day moving average of $99.24 and a 200 day moving average of $94.18. The firm has a market cap of $108.60 billion, a price-to-earnings ratio of 72.19, a PEG ratio of 1.88 and a beta of 0.98. Starbucks Corporation has a 1 year low of $77.99 and a 1 year high of $108.88.

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

Starbucks Announces Dividend

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

Starbucks News Roundup

Here are the key news stories impacting Starbucks this week:

• Positive Sentiment: Several articles frame Starbucks as a potential turnaround story, with commentary noting improving traffic, rewards growth, innovation, and margin-recovery efforts that could support a rebound. SBUX Down 9% in a Month: Is This the Right Time to Buy the Stock?
• Positive Sentiment: Starbucks is reportedly tying part of tech workers’ bonuses to AI usage, signaling management is pushing harder on productivity and technology adoption, which investors may view as a margin and efficiency positive. Starbucks (SBUX) Ties Part of Tech Bonuses to AI Usage
• Positive Sentiment: Coverage comparing Starbucks with Chipotle argued that Starbucks’ turnaround looks more credible than other beaten-down restaurant names, which can reinforce investor confidence in the stock. Chipotle vs Starbucks: One Turnaround Is Real, One Is Just Smoke
• Neutral Sentiment: One article revisited Starbucks’ long-term returns versus McDonald’s, which is more historical context than a direct catalyst for the stock. If you had invested $1,000 in McDonald’s or Starbucks 10 years ago, here’s what you’d have now
• Negative Sentiment: Headline risk remains around Starbucks’ operations, including criticism of an “unreliable” AI inventory system and a separate legal-focused article questioning whether insiders breached fiduciary duties, both of which can add pressure to sentiment. “Unreliable” AI Inventory System Gone at Starbucks, Starbucks Stock (NASDAQ:SBUX) Ticks Down Did Starbucks Corporation Insiders Breach their Fiduciary Duties to Shareholders?

Analysts Set New Price Targets

Several brokerages have commented on SBUX. Guggenheim restated a “neutral” rating and issued a $97.00 price objective (up from $95.00) on shares of Starbucks in a report on Wednesday, April 29th. Wells Fargo & Company restated an “overweight” rating and issued a $115.00 price objective (up from $110.00) on shares of Starbucks in a report on Wednesday, April 29th. Tigress Financial began coverage on shares of Starbucks in a report on Wednesday, April 15th. They issued a “buy” rating and a $122.00 price objective for the company. Robert W. Baird upped their price objective on shares of Starbucks from $112.00 to $117.00 and gave the stock an “outperform” rating in a report on Wednesday, April 29th. Finally, Stephens began coverage on shares of Starbucks in a report on Thursday, May 14th. They issued an “overweight” rating for the company. One analyst has rated the stock with a Strong Buy rating, twenty have assigned a Buy rating, ten have given a Hold rating and two have given a Sell rating to the stock. According to MarketBeat.com, Starbucks currently has a consensus rating of “Moderate Buy” and an average price target of $107.48.

Insider Activity

In related news, CEO Brady Brewer sold 2,229 shares of the stock in a transaction dated Tuesday, May 5th. The shares were sold at an average price of $104.81, for a total value 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 position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, EVP Sara Kelly sold 2,000 shares of the stock in a transaction dated 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 owned 57,653 shares of the company’s stock, valued at approximately $6,053,565. The trade was a 3.35% 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. Over the last quarter, insiders sold 6,458 shares of company stock valued at $650,111. 0.03% of the stock is owned by company insiders.

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.