Starbucks (NASDAQ:SBUX) Sees Unusually-High Trading Volume Following Dividend Announcement

Starbucks Corporation (NASDAQ:SBUX) shares saw an uptick in trading volume on Thursday after the company announced a dividend. Approximately 7,709,608 shares were traded during trading, a decline of 2% from the previous session’s volume of 7,907,191 shares. The stock last traded at $90.9340 and had previously closed at $93.58.

The newly announced dividend which will be paid on Friday, November 27th. Investors of record on Friday, November 13th will be paid a dividend of $0.63 per share. The ex-dividend date is Friday, November 13th. This represents a $2.52 dividend on an annualized basis and a yield of 2.8%. This is an increase from Starbucks’s previous quarterly dividend of $0.62. Starbucks’s dividend payout ratio (DPR) is currently 142.53%.

Analyst Upgrades and Downgrades

A number of analysts have weighed in on SBUX shares. Sanford C. Bernstein cut Starbucks from an “outperform” rating to a “market perform” rating in a research report on Monday, August 3rd. Morgan Stanley cut shares of Starbucks from an “overweight” rating to an “underweight” rating in a research note on Monday, August 3rd. BNP Paribas Exane upped their price objective on Starbucks from $87.00 to $92.00 and gave the stock an “underperform” rating in a report on Thursday, July 30th. Citigroup raised their target price on Starbucks from $108.00 to $112.00 and gave the company a “neutral” rating in a report on Thursday, July 30th. Finally, TD Cowen reaffirmed a “buy” rating on shares of Starbucks in a research note on Monday, September 21st. One research analyst has rated the stock with a Strong Buy rating, eighteen have issued a Buy rating, eleven have issued a Hold rating and four have issued a Sell rating to the company’s stock. Based on data from MarketBeat.com, Starbucks presently has an average rating of “Hold” and a consensus price target of $110.48.

Starbucks Price Performance

The firm has a 50-day simple moving average of $101.79 and a 200 day simple moving average of $100.98. The company has a market capitalization of $103.66 billion, a PE ratio of 52.33, a price-to-earnings-growth ratio of 1.39 and a beta of 0.98.

Starbucks (NASDAQ:SBUX) last issued its quarterly earnings results on Wednesday, July 29th. The coffee company reported $0.85 earnings per share (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 analyst estimates of $9.17 billion. During the same quarter in the previous year, the firm earned $0.50 earnings per share. The business’s 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. Equities research analysts expect that Starbucks Corporation will post 2.59 EPS for the current fiscal year.

Key Headlines Impacting Starbucks

Here are the key news stories impacting Starbucks this week:

• Positive Sentiment: Starbucks raised its quarterly dividend 1.6%, from $0.62 to $0.63 per share, bringing the annualized payout to $2.52 and the yield to approximately 2.7%. The increase suggests continued confidence in cash generation. Starbucks Announces Increase in Quarterly Cash Dividend
• Positive Sentiment: Recent commentary suggests Starbucks’ turnaround is improving customer traffic, store execution and the overall customer experience. Sustained progress could support sales growth and help justify the company’s premium valuation. Starbucks Comeback Is Working
• Neutral Sentiment: CEO Brady Brewer sold 1,641 shares for about $155,500 under a pre-arranged Rule 10b5-1 trading plan. The sale reduced his direct holdings by 2.24%, making it a limited signal about management’s outlook. SEC Insider Trading Filing
• Neutral Sentiment: Starbucks recently exceeded quarterly earnings and revenue estimates, reporting $0.85 in EPS and $9.32 billion in revenue. However, revenue declined 1.4% year over year, while fiscal 2026 EPS guidance of $2.55 to $2.65 and a roughly 53.8 price-to-earnings ratio leave investors sensitive to execution risks.
• Negative Sentiment: A proposed class-action lawsuit alleges that eight drinks marketed as “sugar-free” contain 13 to 21 grams of sugar per serving. The claims could create legal expenses and reputational damage, particularly as Starbucks promotes customization and healthier beverage options. Starbucks Sued Over Sugar-Free Protein Drinks
• Negative Sentiment: Investors have reacted cautiously to Starbucks’ pivot toward smaller stores. Although the format may reduce costs, smaller locations could provide less seating and conflict with the company’s effort to encourage customers to stay longer. Starbucks Stock Slips on Smaller Store Pivot

Insider Activity at Starbucks

In other Starbucks news, CEO Brady Brewer sold 2,229 shares of the company’s stock in a transaction dated Friday, September 4th. The shares were sold at an average price of $105.60, for a total value of $235,382.40. Following the completion of the transaction, the chief executive officer owned 73,149 shares in the company, valued at approximately $7,724,534.40. This represents a 2.96% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold a total of 6,099 shares of company stock worth $627,135 in the last three months. 0.03% of the stock is currently owned by corporate insiders.

Institutional Trading of Starbucks

A number of institutional investors have recently made changes to their positions in SBUX. Moody National Bank Trust Division increased its stake in Starbucks by 3.4% in the 3rd quarter. Moody National Bank Trust Division now owns 23,341 shares of the coffee company’s stock worth $2,193,000 after purchasing an additional 771 shares in the last quarter. QRG Capital Management Inc. lifted its stake in Starbucks by 10.5% during the second quarter. QRG Capital Management Inc. now owns 159,617 shares of the coffee company’s stock valued at $16,311,000 after buying an additional 15,211 shares in the last quarter. State Street Corp lifted its stake in Starbucks by 3.2% during the second quarter. State Street Corp now owns 49,260,268 shares of the coffee company’s stock valued at $5,033,907,000 after buying an additional 1,530,497 shares in the last quarter. Smith Chas P & Associates PA Cpas acquired a new position in shares of Starbucks in the second quarter worth about $204,000. Finally, Marathon Wealth Advisors LLC increased its position in shares of Starbucks by 1.9% in the second quarter. Marathon Wealth Advisors LLC now owns 13,128 shares of the coffee company’s stock worth $1,342,000 after acquiring an additional 246 shares in the last quarter. 72.29% of the stock is owned by institutional investors and hedge funds.

Starbucks Company Profile

Starbucks Corporation is a global specialty coffee company that operates coffeehouses and sells coffee, tea and other beverages, along with food products and merchandise. Its menu includes brewed coffee, espresso-based drinks, cold beverages, teas, bakery items and ready-to-eat food. Starbucks also markets packaged coffee, ready-to-drink beverages and related products through retail and grocery channels, often through licensing and other business partnerships.

Founded in Seattle in 1971, Starbucks expanded from a local coffee retailer into an international brand.