Starbucks (NASDAQ:SBUX) Issues Earnings Results

Starbucks (NASDAQ:SBUX) announced its quarterly earnings results on Tuesday. The coffee company reported $0.93 earnings per share (EPS) for the quarter, hitting analysts’ consensus estimates of $0.93, Briefing.com reports. The business had revenue of $9.11 billion for the quarter, compared to analyst estimates of $9.25 billion. Starbucks had a net margin of 11.38% and a negative return on equity of 49.91%. The company’s revenue was down .6% on a year-over-year basis. During the same quarter last year, the firm earned $1.00 EPS.

Starbucks Stock Performance

SBUX traded up $3.28 during trading on Wednesday, hitting $79.22. The stock had a trading volume of 6,822,492 shares, compared to its average volume of 10,706,435. The company has a market capitalization of $89.73 billion, a PE ratio of 21.74, a PEG ratio of 1.70 and a beta of 0.94. Starbucks has a twelve month low of $71.55 and a twelve month high of $107.66. The stock has a 50 day simple moving average of $77.79 and a two-hundred day simple moving average of $84.89.

Starbucks Dividend Announcement

The company also recently announced a quarterly dividend, which will be paid on Friday, August 30th. Shareholders of record on Friday, August 16th will be paid a $0.57 dividend. The ex-dividend date is Friday, August 16th. This represents a $2.28 annualized dividend and a yield of 2.88%. Starbucks’s dividend payout ratio (DPR) is 62.81%.

Wall Street Analysts Forecast Growth

Several equities research analysts have recently commented on the stock. Guggenheim dropped their target price on shares of Starbucks from $100.00 to $91.00 and set a “buy” rating for the company in a research report on Friday, April 19th. HSBC dropped their target price on shares of Starbucks from $107.00 to $84.00 and set a “hold” rating for the company in a research report on Friday, May 3rd. TD Cowen dropped their target price on shares of Starbucks from $85.00 to $81.00 and set a “hold” rating for the company in a research report on Wednesday, July 17th. Deutsche Bank Aktiengesellschaft dropped their target price on shares of Starbucks from $89.00 to $85.00 and set a “hold” rating for the company in a research report on Tuesday, July 16th. Finally, BMO Capital Markets lowered their price target on shares of Starbucks from $120.00 to $100.00 and set an “outperform” rating for the company in a research report on Monday, July 22nd. Seventeen analysts have rated the stock with a hold rating and nine have given a buy rating to the company’s stock. Based on data from MarketBeat.com, Starbucks currently has a consensus rating of “Hold” and an average target price of $91.67.

Insider Buying and Selling at Starbucks

In other Starbucks news, CFO Rachel Ruggeri sold 3,750 shares of the firm’s stock in a transaction that occurred on Wednesday, May 22nd. The shares were sold at an average price of $80.00, for a total value of $300,000.00. Following the completion of the sale, the chief financial officer now directly owns 65,431 shares in the company, valued at $5,234,480. The sale was disclosed in a legal filing with the SEC, which is available through this hyperlink. In other news, CEO Michael Aaron Conway sold 3,250 shares of Starbucks stock in a transaction on Friday, June 14th. The shares were sold at an average price of $80.00, for a total transaction of $260,000.00. Following the completion of the sale, the chief executive officer now directly owns 78,304 shares in the company, valued at $6,264,320. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this link. Also, CFO Rachel Ruggeri sold 3,750 shares of Starbucks stock in a transaction on Wednesday, May 22nd. The stock was sold at an average price of $80.00, for a total transaction of $300,000.00. Following the sale, the chief financial officer now owns 65,431 shares of the company’s stock, valued at $5,234,480. The disclosure for this sale can be found here. Insiders sold a total of 7,250 shares of company stock worth $579,375 over the last three months. Corporate insiders own 1.98% of the company’s stock.

Starbucks Company Profile

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.