Starbucks Corporation (NASDAQ:SBUX) Declares Quarterly Dividend of $0.63

Starbucks Corporation (NASDAQ:SBUX) announced a quarterly dividend on Wednesday, October 7th. Investors of record on Friday, November 13th will be paid a dividend of $0.63 per share by the coffee company on Friday, November 27th. This represents a $2.52 dividend on an annualized basis and a yield of 2.7%. The ex-dividend date is Friday, November 13th. This is a 1.6% increase from Starbucks’s previous quarterly dividend of $0.62.

Starbucks has increased its dividend by an average of 0.1%annually over the last three years and has increased its dividend every year for the last 15 years. Starbucks has a dividend payout ratio of 82.9% indicating that its dividend is currently covered by earnings, but may not be in the future if the company’s earnings fall. Analysts expect Starbucks to earn $3.15 per share next year, which means the company should continue to be able to cover its $2.48 annual dividend with an expected future payout ratio of 78.7%.

Starbucks Stock Down 2.6%

NASDAQ SBUX opened at $93.58 on Thursday. The company has a market cap of $106.68 billion, a PE ratio of 53.78, a price-to-earnings-growth ratio of 1.39 and a beta of 0.98. Starbucks has a 52 week low of $77.99 and a 52 week high of $110.51. The firm’s 50-day simple moving average is $101.79 and its two-hundred day simple moving average is $100.98.

Starbucks (NASDAQ:SBUX) last posted its earnings results on Wednesday, July 29th. The coffee company reported $0.85 earnings per share 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 the consensus estimate of $9.17 billion. Starbucks had a net margin of 5.17% and a negative return on equity of 34.10%. The company’s revenue was down 1.4% on a year-over-year basis. During the same quarter last year, the company earned $0.50 earnings per share. Starbucks has set its FY 2026 guidance at 2.550-2.650 EPS. As a group, equities research analysts anticipate that Starbucks will post 2.59 EPS for the current year.

Analyst Ratings Changes

SBUX has been the topic of a number of analyst reports. UBS Group boosted their target price on shares of Starbucks from $105.00 to $112.00 and gave the company a “neutral” rating in a report on Thursday, July 30th. BTIG Research reiterated a “buy” rating and issued a $115.00 price target on shares of Starbucks in a research report on Friday, July 31st. Sanford C. Bernstein lowered Starbucks from an “outperform” rating to a “market perform” rating in a research note on Monday, August 3rd. Seaport Research Partners began coverage on Starbucks in a report on Wednesday, September 16th. They set a “neutral” rating on the stock. Finally, Melius Research set a $110.00 target price on Starbucks in a research note on Monday, August 3rd. One 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 company. According to data from MarketBeat.com, the stock currently has an average rating of “Hold” and a consensus price target of $110.48.

Starbucks Company Profile

Starbucks Corporation is a global specialty coffee company that operates coffeehouses and sells coffee, tea and other beverages, along with food products and merchandise. Its menu includes brewed coffee, espresso-based drinks, cold beverages, teas, bakery items and ready-to-eat food. Starbucks also markets packaged coffee, ready-to-drink beverages and related products through retail and grocery channels, often through licensing and other business partnerships.

Founded in Seattle in 1971, Starbucks expanded from a local coffee retailer into an international brand.