Grandfield & Dodd LLC acquired a new stake in Starbucks Corporation (NASDAQ:SBUX – Free Report) in the second quarter, Holdings Channel.com reports. The fund acquired 55,037 shares of the coffee company’s stock, valued at approximately $5,624,000.
Other hedge funds and other institutional investors have also recently bought and sold shares of the company. Rachor Investment Advisory Services LLC purchased a new position in Starbucks during the fourth quarter worth about $25,000. Cornerstone Financial Management LLC purchased a new stake in shares of Starbucks in the 4th quarter valued at approximately $25,000. Phillip James Consulting Co. purchased a new stake in shares of Starbucks in the 4th quarter valued at approximately $25,000. Entrust Financial LLC acquired a new stake in shares of Starbucks during the 4th quarter worth approximately $26,000. Finally, Tucker Asset Management LLC acquired a new stake in shares of Starbucks during the 4th quarter worth approximately $27,000. 72.29% of the stock is currently owned by institutional investors and hedge funds.
Analyst Upgrades and Downgrades
SBUX has been the topic of a number of recent analyst reports. Piper Sandler reiterated an “overweight” rating and issued a $110.00 price objective on shares of Starbucks in a report on Wednesday, April 29th. Guggenheim began coverage on Starbucks in a research note on Monday, August 3rd. They set a “buy” rating for the company. Weiss Ratings restated a “hold (c)” rating on shares of Starbucks in a research report on Monday, July 20th. Evercore reaffirmed an “outperform” rating on shares of Starbucks in a research note on Thursday, July 30th. Finally, UBS Group increased their price target on Starbucks from $105.00 to $112.00 and gave the stock a “neutral” rating in a report on Thursday, July 30th. Nineteen research analysts have rated the stock with a Buy rating, eleven have assigned a Hold rating and four have assigned a Sell rating to the company. Based on data from MarketBeat, Starbucks currently has a consensus rating of “Hold” and an average price target of $110.30.
Insider Transactions at Starbucks
In related news, CEO Brady Brewer sold 2,229 shares of the firm’s stock in a transaction dated Wednesday, August 5th. The stock was sold at an average price of $105.99, for a total transaction of $236,251.71. Following the completion of the transaction, the chief executive officer directly owned 75,135 shares in the company, valued at $7,963,558.65. This trade represents a 2.88% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is available through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last quarter, insiders sold 6,687 shares of company stock worth $681,663. 0.03% of the stock is currently owned by corporate insiders.
Starbucks Stock Performance
Starbucks stock opened at $107.08 on Friday. Starbucks Corporation has a fifty-two week low of $77.99 and a fifty-two week high of $110.51. The firm has a 50 day moving average price of $104.45 and a 200 day moving average price of $100.36. The company has a market capitalization of $122.07 billion, a PE ratio of 61.54, a price-to-earnings-growth ratio of 1.85 and a beta of 0.97.
Starbucks (NASDAQ:SBUX – Get Free Report) last announced its earnings results on Wednesday, July 29th. The coffee company reported $0.85 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.66 by $0.19. Starbucks had a negative return on equity of 34.10% and a net margin of 5.17%.The company had revenue of $9.32 billion for the quarter, compared to analyst estimates of $9.17 billion. During the same quarter in the previous year, the company earned $0.50 earnings per share. The firm’s quarterly revenue was down 1.4% compared to the same quarter last year. Starbucks has set its FY 2026 guidance at 2.550-2.650 EPS. As a group, equities research analysts forecast that Starbucks Corporation will post 2.64 earnings per share for the current year.
Starbucks Announces Dividend
The company also recently disclosed a quarterly dividend, which will be paid on Friday, August 28th. Investors of record on Friday, August 14th will be issued a $0.62 dividend. This represents a $2.48 annualized dividend and a dividend yield of 2.3%. The ex-dividend date is Friday, August 14th. Starbucks’s payout ratio is currently 142.53%.
Starbucks News Roundup
Here are the key news stories impacting Starbucks this week:
- Positive Sentiment: Starbucks is eliminating more than 200 corporate positions as part of a broader restructuring and approximately $2 billion cost-reduction effort. Lower overhead could support profitability if the company maintains service levels and directs more resources toward its stores. The reductions do not involve cafe closures. Starbucks trims corporate ranks as coffeehouse investments deliver
- Positive Sentiment: Recent market commentary highlights Starbucks’ roughly 25% 2026 gain and suggests investors are rewarding its operational reset and investments in the cafe experience. The rally follows the company’s latest quarterly earnings beat, with adjusted EPS of $0.85 versus a $0.66 consensus estimate and revenue above expectations.
- Neutral Sentiment: The restructuring is relocating some corporate operations to a new, approximately $100 million Nashville office. Around 120 Seattle employees reportedly declined the move, while another 104 roles in store design and construction are being eliminated. Management characterizes the actions as part of the restructuring winding down, but the savings and impact on execution remain to be demonstrated. Starbucks cuts another 224 Seattle jobs
- Negative Sentiment: Starbucks continues to face challenges in China, where domestic competitors, shifting consumer preferences and geopolitical tensions are eroding the position of major U.S. brands. China weakness could limit international growth and pressure comparable sales. Why some of America’s biggest brands are losing ground in China
- Negative Sentiment: The stock’s strong performance has also produced a demanding valuation, with the supplied data showing a P/E ratio above 60. Investors may require sustained earnings growth from the turnaround to justify the premium, leaving SBUX vulnerable to disappointment.
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.
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