BMO Capital Markets Issues Pessimistic Forecast for Starbucks (NASDAQ:SBUX) Stock Price

Starbucks (NASDAQ:SBUX) had its price objective cut by equities researchers at BMO Capital Markets from $115.00 to $100.00 in a research report issued to clients and investors on Wednesday,Benzinga reports. The brokerage currently has an “outperform” rating on the coffee company’s stock. BMO Capital Markets’ target price would indicate a potential upside of 21.94% from the company’s previous close.

Several other equities research analysts have also recently issued reports on SBUX. UBS Group cut their price target on Starbucks from $105.00 to $90.00 and set a “neutral” rating for the company in a research note on Monday. The Goldman Sachs Group cut Starbucks from a “buy” rating to a “neutral” rating and decreased their price target for the stock from $103.00 to $85.00 in a research report on Wednesday. Wedbush upped their price objective on shares of Starbucks from $95.00 to $100.00 and gave the stock a “neutral” rating in a research report on Wednesday, January 29th. Jefferies Financial Group raised shares of Starbucks from an “underperform” rating to a “hold” rating and set a $76.00 target price on the stock in a report on Wednesday, April 9th. Finally, Robert W. Baird reaffirmed a “neutral” rating and set a $85.00 price target (down previously from $114.00) on shares of Starbucks in a report on Monday, April 7th. Two investment analysts have rated the stock with a sell rating, ten have given a hold rating and sixteen have assigned a buy rating to the company. Based on data from MarketBeat, Starbucks currently has an average rating of “Moderate Buy” and a consensus target price of $98.15.

Starbucks Price Performance

SBUX opened at $82.01 on Wednesday. The company has a market capitalization of $93.16 billion, a PE ratio of 26.45, a price-to-earnings-growth ratio of 3.59 and a beta of 1.00. The business has a fifty day simple moving average of $93.82 and a 200 day simple moving average of $97.45. Starbucks has a 1 year low of $71.55 and a 1 year high of $117.46.

Starbucks (NASDAQ:SBUX) last released its quarterly earnings results on Tuesday, April 29th. The coffee company reported $0.41 EPS for the quarter, missing the consensus estimate of $0.51 by ($0.10). The business had revenue of $8.76 billion during the quarter, compared to analyst estimates of $8.90 billion. Starbucks had a net margin of 9.73% and a negative return on equity of 44.97%. The company’s revenue was up 2.3% on a year-over-year basis. During the same quarter last year, the company posted $0.68 earnings per share. Equities analysts anticipate that Starbucks will post 2.99 earnings per share for the current fiscal year.

Institutional Inflows and Outflows

A number of large investors have recently added to or reduced their stakes in SBUX. University of Texas Texas AM Investment Management Co. bought a new position in Starbucks during the 4th quarter worth approximately $25,000. Hughes Financial Services LLC bought a new position in Starbucks during the 1st quarter worth approximately $27,000. Financial Life Planners bought a new position in Starbucks during the 4th quarter worth approximately $25,000. Graney & King LLC bought a new position in Starbucks during the 4th quarter worth approximately $26,000. Finally, Collier Financial bought a new position in Starbucks during the 4th quarter worth approximately $27,000. Institutional investors own 72.29% 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.