Starbucks Co. (NASDAQ:SBUX) to Post Q2 2024 Earnings of $0.80 Per Share, Wedbush Forecasts

Starbucks Co. (NASDAQ:SBUX) – Analysts at Wedbush lowered their Q2 2024 earnings estimates for shares of Starbucks in a research report issued to clients and investors on Friday, April 26th. Wedbush analyst N. Setyan now anticipates that the coffee company will earn $0.80 per share for the quarter, down from their previous forecast of $0.82. Wedbush currently has a “Neutral” rating and a $92.00 target price on the stock. The consensus estimate for Starbucks’ current full-year earnings is $3.99 per share. Wedbush also issued estimates for Starbucks’ FY2024 earnings at $4.04 EPS, Q2 2025 earnings at $0.91 EPS and FY2025 earnings at $4.68 EPS.

Several other equities research analysts have also issued reports on the stock. BMO Capital Markets lowered their target price on shares of Starbucks from $125.00 to $120.00 and set an “outperform” rating on the stock in a research note on Wednesday, January 31st. Royal Bank of Canada restated a “sector perform” rating and set a $102.00 price target on shares of Starbucks in a research report on Wednesday, January 31st. Stephens restated an “equal weight” rating and set a $110.00 price target on shares of Starbucks in a research report on Wednesday, January 31st. Stifel Nicolaus reduced their price target on shares of Starbucks from $102.00 to $90.00 and set a “hold” rating for the company in a research report on Thursday, April 11th. Finally, TD Cowen restated a “hold” rating and set a $100.00 price target on shares of Starbucks in a research report on Thursday, April 11th. Fourteen analysts have rated the stock with a hold rating and ten have given a buy rating to the company’s stock. According to MarketBeat.com, the stock has a consensus rating of “Hold” and an average target price of $106.55.

Starbucks Stock Up 0.5 %

SBUX stock opened at $88.25 on Monday. The company’s 50-day simple moving average is $90.36 and its 200-day simple moving average is $94.30. Starbucks has a 52-week low of $84.29 and a 52-week high of $115.48. The firm has a market cap of $99.92 billion, a P/E ratio of 23.60, a PEG ratio of 1.48 and a beta of 0.97.

Starbucks (NASDAQ:SBUX) last posted its earnings results on Wednesday, January 31st. The coffee company reported $0.90 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.92 by ($0.02). Starbucks had a negative return on equity of 50.76% and a net margin of 11.70%. The firm had revenue of $9.43 billion for the quarter, compared to analysts’ expectations of $9.60 billion. During the same period in the previous year, the company earned $0.75 earnings per share. The company’s revenue was up 8.2% compared to the same quarter last year.

Hedge Funds Weigh In On Starbucks

A number of hedge funds have recently made changes to their positions in the stock. Conning Inc. boosted its position in shares of Starbucks by 23.7% during the 1st quarter. Conning Inc. now owns 392,014 shares of the coffee company’s stock worth $35,752,000 after purchasing an additional 75,006 shares during the period. Pinnacle Associates Ltd. boosted its position in shares of Starbucks by 1.0% during the 1st quarter. Pinnacle Associates Ltd. now owns 238,642 shares of the coffee company’s stock worth $21,809,000 after purchasing an additional 2,357 shares during the period. Harrington Investments INC boosted its position in shares of Starbucks by 1.6% during the 1st quarter. Harrington Investments INC now owns 36,878 shares of the coffee company’s stock worth $3,370,000 after purchasing an additional 588 shares during the period. Narwhal Capital Management boosted its position in Starbucks by 12.6% in the 1st quarter. Narwhal Capital Management now owns 31,596 shares of the coffee company’s stock valued at $2,888,000 after buying an additional 3,527 shares during the period. Finally, LifeSteps Financial Inc. purchased a new position in Starbucks in the 1st quarter valued at approximately $96,000. Hedge funds and other institutional investors own 72.29% of the company’s stock.

Insider Transactions at Starbucks

In other news, CEO Michael Aaron Conway sold 3,250 shares of the firm’s stock in a transaction that occurred on Monday, April 15th. The shares were sold at an average price of $85.39, for a total transaction of $277,517.50. Following the completion of the sale, the chief executive officer now owns 81,199 shares in the company, valued at approximately $6,933,582.61. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this link. Insiders sold 7,250 shares of company stock worth $651,738 in the last 90 days. Insiders own 1.98% of the company’s stock.

Starbucks Dividend Announcement

The company also recently declared a quarterly dividend, which will be paid on Friday, May 31st. Stockholders of record on Friday, May 17th will be issued a dividend of $0.57 per share. The ex-dividend date is Thursday, May 16th. This represents a $2.28 dividend on an annualized basis and a dividend yield of 2.58%. Starbucks’s dividend payout ratio is currently 60.96%.

About Starbucks

Starbucks Corporation, together with its subsidiaries, operates as a roaster, marketer, and retailer of coffee worldwide. The company operates through three segments: North America, International, and Channel Development. Its stores offer coffee and tea beverages, roasted whole beans and ground coffees, single serve products, and ready-to-drink beverages; and various food products, such as pastries, breakfast sandwiches, and lunch items.