Lafayette Investments Inc. Increases Stake in Starbucks Co. (NASDAQ:SBUX)

24 Oct 2024, 10:45 by Teresa Graham · The Cerbat Gem

Lafayette Investments Inc. increased its holdings in Starbucks Co. (NASDAQ:SBUX – Free Report) by 1.7% during the 3rd quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission. The firm owned 73,963 shares of the coffee company’s stock after buying an additional 1,223 shares during the quarter. Starbucks comprises approximately 1.5% of Lafayette Investments Inc.’s investment portfolio, making the stock its 18th largest holding. Lafayette Investments Inc.’s holdings in Starbucks were worth $7,211,000 at the end of the most recent quarter.

Several other hedge funds and other institutional investors also recently bought and sold shares of SBUX. Strategic Investment Solutions Inc. IL acquired a new position in Starbucks in the 2nd quarter worth approximately $25,000. New Millennium Group LLC purchased a new position in shares of Starbucks during the 2nd quarter valued at approximately $26,000. Stephens Consulting LLC lifted its stake in shares of Starbucks by 498.2% in the 2nd quarter. Stephens Consulting LLC now owns 335 shares of the coffee company’s stock valued at $26,000 after purchasing an additional 279 shares during the period. Hobbs Group Advisors LLC acquired a new stake in Starbucks during the second quarter valued at $27,000. Finally, Olistico Wealth LLC purchased a new position in Starbucks in the second quarter valued at $31,000. Institutional investors and hedge funds own 72.29% of the company’s stock.

Starbucks Trading Up 1.3 %

Starbucks stock traded up $1.24 during trading on Thursday, hitting $98.89. The company had a trading volume of 1,624,466 shares, compared to its average volume of 11,334,555. Starbucks Co. has a 1-year low of $71.55 and a 1-year high of $107.66. The company’s 50 day simple moving average is $95.38 and its 200-day simple moving average is $84.89. The stock has a market cap of $112.06 billion, a price-to-earnings ratio of 27.64, a price-to-earnings-growth ratio of 2.14 and a beta of 0.97.

Starbucks (NASDAQ:SBUX – Get Free Report) last posted its earnings results on Tuesday, July 30th. The coffee company reported $0.93 earnings per share for the quarter, meeting the consensus estimate of $0.93. Starbucks had a net margin of 11.16% and a negative return on equity of 49.38%. The firm had revenue of $9.11 billion during the quarter, compared to the consensus estimate of $9.25 billion. During the same quarter last year, the firm earned $1.00 EPS. The firm’s revenue for the quarter was down .6% on a year-over-year basis. As a group, analysts forecast that Starbucks Co. will post 3.55 earnings per share for the current fiscal year.

Starbucks Increases Dividend

The firm also recently declared a quarterly dividend, which will be paid on Friday, November 29th. Shareholders of record on Friday, November 15th will be given a $0.61 dividend. This represents a $2.44 annualized dividend and a yield of 2.47%. The ex-dividend date is Friday, November 15th. This is a boost from Starbucks’s previous quarterly dividend of $0.57. Starbucks’s dividend payout ratio (DPR) is currently 63.87%.

Insider Buying and Selling at Starbucks

In other Starbucks news, CEO Rachel Ruggeri sold 3,290 shares of the firm’s stock in a transaction that occurred on Tuesday, August 13th. The shares were sold at an average price of $91.16, for a total value of $299,916.40. Following the completion of the transaction, the chief executive officer now owns 62,502 shares of the company’s stock, valued at $5,697,682.32. This trade represents a 0.00 % decrease in their position. The sale was disclosed in a filing with the SEC, which is available at this link. In other Starbucks news, CEO Rachel Ruggeri sold 3,290 shares of the firm’s stock in a transaction that occurred on Tuesday, August 13th. The shares were sold at an average price of $91.16, for a total value of $299,916.40. Following the completion of the transaction, the chief executive officer now owns 62,502 shares of the company’s stock, valued at $5,697,682.32. This trade represents a 0.00 % decrease in their position. The sale was disclosed in a filing with the SEC, which is available at this link. Also, Director Jorgen Vig Knudstorp purchased 380 shares of the firm’s stock in a transaction on Friday, September 6th. The stock was acquired at an average cost of $91.50 per share, with a total value of $34,770.00. Following the transaction, the director now directly owns 36,242 shares in the company, valued at $3,316,143. This trade represents a 0.00 % increase in their ownership of the stock. The disclosure for this purchase can be found here. 1.98% of the stock is currently owned by corporate insiders.

Analysts Set New Price Targets

Several equities research analysts have recently issued reports on the stock. BTIG Research increased their target price on shares of Starbucks from $100.00 to $115.00 and gave the stock a “buy” rating in a research note on Thursday, October 17th. Sanford C. Bernstein raised shares of Starbucks from a “market perform” rating to an “outperform” rating and raised their price target for the company from $92.00 to $115.00 in a research note on Thursday, September 26th. Robert W. Baird raised shares of Starbucks from a “neutral” rating to an “outperform” rating and raised their price target for the company from $81.00 to $110.00 in a research note on Tuesday, August 13th. Jefferies Financial Group lowered shares of Starbucks from a “hold” rating to an “underperform” rating and decreased their price target for the company from $80.00 to $76.00 in a research note on Tuesday, September 24th. Finally, Piper Sandler raised shares of Starbucks from a “neutral” rating to an “overweight” rating and raised their price target for the company from $85.00 to $103.00 in a research note on Tuesday, August 13th. Two research analysts have rated the stock with a sell rating, ten have assigned a hold rating, sixteen have given a buy rating and one has given a strong buy rating to the company. Based on data from MarketBeat, the company presently has an average rating of “Moderate Buy” and an average target price of $102.48.

Read Our Latest Stock Report on Starbucks

Starbucks Company Profile

(Free Report)

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.