Short Interest in Starbucks Co. (NASDAQ:SBUX) Increases By 50.9%

Starbucks Co. (NASDAQ:SBUX) was the recipient of a significant increase in short interest in August. As of August 15th, there was short interest totalling 33,400,000 shares, an increase of 50.9% from the July 31st total of 22,140,000 shares. Based on an average trading volume of 14,930,000 shares, the days-to-cover ratio is presently 2.2 days. Currently, 3.0% of the company’s stock are short sold.

Insider Activity at Starbucks

In other Starbucks news, CEO Michael Aaron Conway sold 3,250 shares of the business’s stock in a transaction that occurred 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 transaction, the chief executive officer now owns 78,304 shares in the company, valued at approximately $6,264,320. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at this hyperlink. In other Starbucks news, CEO Michael Aaron Conway sold 3,250 shares of the firm’s stock in a transaction on Friday, June 14th. The stock was sold at an average price of $80.00, for a total value of $260,000.00. Following 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 SEC, which can be accessed through this link. Also, CEO Rachel Ruggeri sold 3,290 shares of the company’s stock in a transaction dated Tuesday, August 13th. The stock was sold at an average price of $91.16, for a total value of $299,916.40. Following the transaction, the chief executive officer now directly owns 62,502 shares of the company’s stock, valued at $5,697,682.32. The disclosure for this sale can be found here. Insiders have sold a total of 9,790 shares of company stock valued at $865,514 over the last 90 days. 1.98% of the stock is owned by corporate insiders.

Hedge Funds Weigh In On Starbucks

A number of institutional investors have recently modified their holdings of the company. Strategic Investment Solutions Inc. IL purchased a new position in shares of Starbucks during the 2nd quarter worth $25,000. Vima LLC purchased a new position in Starbucks during the fourth quarter worth about $26,000. Scarborough Advisors LLC purchased a new stake in Starbucks in the 4th quarter valued at about $26,000. New Millennium Group LLC acquired a new position in shares of Starbucks during the 2nd quarter valued at about $26,000. Finally, Stephens Consulting LLC lifted its holdings in shares of Starbucks by 498.2% during the 2nd quarter. Stephens Consulting LLC now owns 335 shares of the coffee company’s stock worth $26,000 after acquiring an additional 279 shares during the period. Institutional investors and hedge funds own 72.29% of the company’s stock.

Wall Street Analysts Forecast Growth

SBUX has been the subject of several recent analyst reports. The Goldman Sachs Group initiated coverage on shares of Starbucks in a research report on Thursday, June 13th. They set a “buy” rating and a $100.00 price objective for the company. BMO Capital Markets reduced 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. TD Cowen raised Starbucks from a “hold” rating to a “buy” rating and raised their price objective for the stock from $81.00 to $105.00 in a report on Tuesday, August 13th. Morgan Stanley reissued an “overweight” rating and issued a $98.00 target price on shares of Starbucks in a report on Wednesday, July 31st. Finally, JPMorgan Chase & Co. dropped their price target on Starbucks from $92.00 to $90.00 and set an “overweight” rating on the stock in a research note on Wednesday, July 10th. One research analyst has rated the stock with a sell rating, eleven have issued a hold rating, fifteen have given a buy rating and one has given a strong buy rating to the company’s stock. According to MarketBeat, the company has a consensus rating of “Moderate Buy” and an average target price of $99.21.

Starbucks Trading Down 0.3 %

Shares of SBUX opened at $94.57 on Friday. Starbucks has a 12-month low of $71.55 and a 12-month high of $107.66. The stock has a market cap of $107.12 billion, a P/E ratio of 26.05, a PEG ratio of 2.28 and a beta of 0.94. The company has a 50-day moving average of $80.76 and a two-hundred day moving average of $83.98.

Starbucks (NASDAQ:SBUX) last issued its quarterly earnings data on Tuesday, July 30th. The coffee company reported $0.93 earnings per share (EPS) for the quarter, hitting the consensus estimate of $0.93. Starbucks had a negative return on equity of 49.38% and a net margin of 11.16%. The firm had revenue of $9.11 billion during the quarter, compared to the consensus estimate of $9.25 billion. During the same period in the previous year, the firm posted $1.00 EPS. The company’s quarterly revenue was down .6% compared to the same quarter last year. As a group, analysts forecast that Starbucks will post 3.55 EPS for the current fiscal year.

Starbucks Announces Dividend

The company also recently declared a quarterly dividend, which was paid on Friday, August 30th. Stockholders of record on Friday, August 16th were issued a dividend of $0.57 per share. The ex-dividend date of this dividend was Friday, August 16th. This represents a $2.28 dividend on an annualized basis and a dividend yield of 2.41%. Starbucks’s dividend payout ratio (DPR) is presently 62.81%.

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.