Compass Capital Management Inc. Makes New $9.33 Million Investment in Starbucks Corporation $SBUX

Compass Capital Management Inc. bought a new stake in shares of Starbucks Corporation (NASDAQ:SBUX) in the second quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission (SEC). The firm bought 101,794 shares of the coffee company’s stock, valued at approximately $9,327,000.

Other hedge funds have also recently made changes to their positions in the company. Narwhal Capital Management increased its position in Starbucks by 39.6% during the second quarter. Narwhal Capital Management now owns 32,738 shares of the coffee company’s stock valued at $3,000,000 after acquiring an additional 9,282 shares during the last quarter. PUREfi Wealth LLC purchased a new position in Starbucks in the second quarter worth about $286,000. Napa Wealth Management bought a new stake in shares of Starbucks during the 1st quarter valued at about $1,435,000. Morningstar Investment Management LLC purchased a new stake in shares of Starbucks during the 2nd quarter valued at about $653,000. Finally, Pegasus Asset Management Inc. bought a new position in shares of Starbucks in the 2nd quarter worth approximately $1,289,000. 72.29% of the stock is owned by institutional investors.

Wall Street Analyst Weigh In

Several analysts recently issued reports on the stock. Piper Sandler cut their target price on shares of Starbucks from $105.00 to $100.00 and set an “overweight” rating for the company in a research report on Thursday, October 30th. Zacks Research raised shares of Starbucks from a “strong sell” rating to a “hold” rating in a research report on Wednesday, October 1st. Baird R W raised Starbucks from a “hold” rating to a “strong-buy” rating in a report on Tuesday, August 12th. Dbs Bank downgraded Starbucks from a “hold” rating to a “strong sell” rating in a research report on Friday. Finally, Jefferies Financial Group lowered Starbucks from a “hold” rating to an “underperform” rating and set a $76.00 price target for the company. in a report on Thursday, July 17th. One analyst has rated the stock with a Strong Buy rating, fifteen have assigned a Buy rating, eleven have given a Hold rating and three have issued a Sell rating to the stock. According to MarketBeat.com, the stock currently has an average rating of “Hold” and a consensus target price of $100.50.

Starbucks Stock Performance

Shares of SBUX stock opened at $85.57 on Monday. The stock has a fifty day simple moving average of $83.92 and a two-hundred day simple moving average of $87.54. The firm has a market capitalization of $97.27 billion, a PE ratio of 52.18, a PEG ratio of 4.28 and a beta of 1.02. Starbucks Corporation has a 52-week low of $75.50 and a 52-week high of $117.46.

Starbucks (NASDAQ:SBUX) last announced its quarterly earnings data on Wednesday, October 29th. The coffee company reported $0.52 EPS for the quarter, missing the consensus estimate of $0.55 by ($0.03). Starbucks had a net margin of 4.99% and a negative return on equity of 31.84%. The business had revenue of $9.57 billion during the quarter, compared to analysts’ expectations of $9.41 billion. During the same quarter in the previous year, the firm earned $0.80 earnings per share. Starbucks’s revenue was up 5.5% on a year-over-year basis. On average, sell-side analysts forecast that Starbucks Corporation will post 2.99 EPS for the current fiscal year.

Starbucks Increases Dividend

The firm also recently declared a quarterly dividend, which will be paid on Friday, November 28th. Shareholders of record on Friday, November 14th will be paid a $0.62 dividend. This represents a $2.48 annualized dividend and a yield of 2.9%. The ex-dividend date is Friday, November 14th. This is a positive change from Starbucks’s previous quarterly dividend of $0.61. Starbucks’s dividend payout ratio is currently 151.22%.

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.