Insider Selling: Starbucks (NASDAQ:SBUX) CEO Sells 2,229 Shares

Starbucks Corporation (NASDAQ:SBUX) CEO Brady Brewer sold 2,229 shares of the business’s stock in a transaction that occurred on Wednesday, August 5th. The shares were sold at an average price of $105.99, for a total value of $236,251.71. Following the completion of the transaction, the chief executive officer directly owned 75,135 shares in the company, valued at approximately $7,963,558.65. This trade represents a 2.88% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available at this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan.

Brady Brewer also recently made the following trade(s):

• On Monday, July 6th, Brady Brewer sold 2,229 shares of Starbucks stock. The stock was sold at an average price of $104.00, for a total transaction of $231,816.00.
• On Thursday, June 11th, Brady Brewer sold 588 shares of Starbucks stock. The stock was sold at an average price of $100.00, for a total transaction of $58,800.00.
• On Friday, June 5th, Brady Brewer sold 1,641 shares of Starbucks stock. The shares were sold at an average price of $94.33, for a total transaction of $154,795.53.

Starbucks Price Performance

Shares of Starbucks stock traded down $0.84 during trading on Thursday, reaching $105.16. 5,771,776 shares of the company traded hands, compared to its average volume of 8,379,007. The firm has a market capitalization of $119.88 billion, a PE ratio of 60.44, a P/E/G ratio of 1.81 and a beta of 0.97. Starbucks Corporation has a 1-year low of $77.99 and a 1-year high of $109.23. The company has a 50 day moving average price of $102.38 and a 200-day moving average price of $99.42.

Starbucks (NASDAQ:SBUX) last posted its quarterly earnings results on Wednesday, July 29th. The coffee company reported $0.85 EPS for the quarter, topping analysts’ consensus estimates of $0.66 by $0.19. Starbucks had a net margin of 5.17% and a negative return on equity of 34.10%. The business had revenue of $9.32 billion during the quarter, compared to analysts’ expectations of $9.17 billion. During the same period last year, the company posted $0.50 earnings per share. The business’s quarterly revenue was down 1.4% on a year-over-year basis. Starbucks has set its FY 2026 guidance at 2.550-2.650 EPS. Equities research analysts expect that Starbucks Corporation will post 2.64 earnings per share for the current year.

Starbucks Dividend Announcement

The company also recently announced a quarterly dividend, which will be paid on Friday, August 28th. Investors of record on Friday, August 14th will be given a $0.62 dividend. This represents a $2.48 dividend on an annualized basis and a yield of 2.4%. The ex-dividend date of this dividend is Friday, August 14th. Starbucks’s payout ratio is presently 142.53%.

Hedge Funds Weigh In On Starbucks

A number of institutional investors and hedge funds have recently added to or reduced their stakes in the business. Rachor Investment Advisory Services LLC bought a new stake in shares of Starbucks in the fourth quarter valued at approximately $25,000. Cornerstone Financial Management LLC bought a new position in Starbucks in the 4th quarter worth approximately $25,000. Phillip James Consulting Co. purchased a new position in Starbucks in the 4th quarter valued at approximately $25,000. Entrust Financial LLC purchased a new position in Starbucks in the 4th quarter valued at approximately $26,000. Finally, Tucker Asset Management LLC bought a new stake in Starbucks during the 4th quarter valued at $27,000. Institutional investors own 72.29% of the company’s stock.

Wall Street Analyst Weigh In

Several research analysts have issued reports on SBUX shares. The Goldman Sachs Group lowered Starbucks from a “neutral” rating to a “neutral” rating in a report on Thursday, May 14th. UBS Group upped their target price on Starbucks from $105.00 to $112.00 and gave the stock a “neutral” rating in a research report on Thursday, July 30th. Tigress Financial started coverage on Starbucks in a report on Wednesday, April 15th. They issued a “buy” rating and a $122.00 target price on the stock. Jefferies Financial Group assumed coverage on shares of Starbucks in a research note on Thursday, May 14th. They set a “buy” rating for the company. Finally, BMO Capital Markets reaffirmed an “outperform” rating and issued a $130.00 price objective on shares of Starbucks in a research note on Thursday, July 30th. Nineteen equities research analysts have rated the stock with a Buy rating, eleven have issued a Hold rating and four have assigned a Sell rating to the stock. According to MarketBeat.com, the company presently has an average rating of “Hold” and an average target price of $111.96.

About Starbucks

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.