OneDigital Investment Advisors LLC bought a new stake in Starbucks Corporation (NASDAQ:SBUX – Free Report) in the 2nd quarter, according to its most recent filing with the Securities & Exchange Commission. The institutional investor bought 42,622 shares of the coffee company’s stock, valued at approximately $4,355,000.
Other hedge funds have also recently added to or reduced their stakes in the company. Rachor Investment Advisory Services LLC purchased a new stake in Starbucks in the fourth quarter valued at approximately $25,000. Cornerstone Financial Management LLC purchased a new position in shares of Starbucks in the 4th quarter worth $25,000. Phillip James Consulting Co. acquired a new position in Starbucks in the fourth quarter valued at $25,000. Entrust Financial LLC acquired a new position in Starbucks in the fourth quarter valued at $26,000. Finally, Tucker Asset Management LLC purchased a new stake in Starbucks during the fourth quarter valued at about $27,000. 72.29% of the stock is owned by institutional investors and hedge funds.
Trending Headlines about Starbucks
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.
Starbucks Stock Performance
Starbucks (NASDAQ:SBUX – Get Free Report) last released its quarterly earnings results on Wednesday, July 29th. The coffee company reported $0.85 EPS for the quarter, topping the consensus estimate of $0.66 by $0.19. The firm had revenue of $9.32 billion for the quarter, compared to analyst estimates of $9.17 billion. Starbucks had a negative return on equity of 34.10% and a net margin of 5.17%.Starbucks’s revenue for the quarter was down 1.4% on a year-over-year basis. During the same period in the previous year, the company posted $0.50 EPS. Starbucks has set its FY 2026 guidance at 2.550-2.650 EPS. On average, equities research analysts predict that Starbucks Corporation will post 2.64 EPS for the current year.
Starbucks Announces Dividend
The company also recently announced a quarterly dividend, which will be paid on Friday, August 28th. Stockholders of record on Friday, August 14th will be given a dividend of $0.62 per share. This represents a $2.48 dividend on an annualized basis and a dividend yield of 2.3%. The ex-dividend date of this dividend is Friday, August 14th. Starbucks’s payout ratio is presently 142.53%.
Wall Street Analyst Weigh In
A number of research firms have recently commented on SBUX. Robert W. Baird set a $124.00 price objective on Starbucks in a report on Thursday, July 30th. Wells Fargo & Company cut Starbucks from an “overweight” rating to an “underweight” rating in a report on Monday, August 3rd. Zacks Research downgraded shares of Starbucks from a “strong-buy” rating to a “hold” rating in a research report on Monday, June 29th. Raymond James Financial cut shares of Starbucks to an “outperform” rating in a research report on Monday, August 3rd. Finally, BMO Capital Markets reiterated an “outperform” rating and set a $130.00 price objective on shares of Starbucks in a research note on Thursday, July 30th. Nineteen analysts have rated the stock with a Buy rating, eleven have issued a Hold rating and four have issued a Sell rating to the stock. According to MarketBeat.com, the stock presently has an average rating of “Hold” and an average price target of $110.30.
View Our Latest Analysis on SBUX
Insider Buying and Selling at Starbucks
In related news, CEO Brady Brewer sold 2,229 shares of the firm’s stock in a transaction on Wednesday, August 5th. The shares were sold at an average price of $105.99, for a total transaction of $236,251.71. Following the completion of the sale, the chief executive officer directly owned 75,135 shares of the company’s stock, valued at approximately $7,963,558.65. This trade represents a 2.88% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold 6,687 shares of company stock valued at $681,663 in the last ninety days. 0.03% of the stock is currently owned by corporate insiders.
Starbucks Company Profile
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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