Starbucks (NASDAQ:SBUX) Releases Quarterly Earnings Results, Meets Expectations

Starbucks (NASDAQ:SBUX) issued its quarterly earnings data on Tuesday. The coffee company reported $0.93 earnings per share for the quarter, hitting the consensus estimate of $0.93, Briefing.com reports. Starbucks had a net margin of 11.16% and a negative return on equity of 48.78%. The company had revenue of $9.11 billion for the quarter, compared to analysts’ expectations of $9.25 billion. During the same quarter in the previous year, the firm posted $1.00 earnings per share. Starbucks’s revenue for the quarter was down .6% on a year-over-year basis.

Starbucks Stock Down 4.6 %

NASDAQ SBUX traded down $3.61 during trading on Thursday, hitting $74.34. 6,493,708 shares of the stock traded hands, compared to its average volume of 10,765,244. Starbucks has a 12-month low of $71.55 and a 12-month high of $107.66. The company has a market capitalization of $84.20 billion, a P/E ratio of 20.53, a price-to-earnings-growth ratio of 1.72 and a beta of 0.94. The firm has a 50-day simple moving average of $77.74 and a 200-day simple moving average of $84.84.

Starbucks Announces Dividend

The business also recently announced a quarterly dividend, which will be paid on Friday, August 30th. Investors of record on Friday, August 16th will be given a dividend of $0.57 per share. The ex-dividend date is Friday, August 16th. This represents a $2.28 dividend on an annualized basis and a dividend yield of 3.07%. Starbucks’s dividend payout ratio is 62.81%.

Insider Activity at Starbucks

In other news, CFO Rachel Ruggeri sold 3,750 shares of the stock in a transaction that occurred on Wednesday, May 22nd. The stock was sold at an average price of $80.00, for a total value of $300,000.00. Following the sale, the chief financial officer now directly owns 65,431 shares in the company, valued at $5,234,480. The sale was disclosed in a document filed with the SEC, which is available at this link. In other Starbucks news, CFO Rachel Ruggeri sold 3,750 shares of the firm’s stock in a transaction on Wednesday, May 22nd. The stock was sold at an average price of $80.00, for a total transaction of $300,000.00. Following the transaction, the chief financial officer now directly owns 65,431 shares in the company, valued at approximately $5,234,480. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. Also, CEO Michael Aaron Conway sold 3,250 shares of the company’s stock in a transaction dated Friday, June 14th. The stock was sold at an average price of $80.00, for a total transaction of $260,000.00. Following the completion of the sale, the chief executive officer now directly owns 78,304 shares of the company’s stock, valued at $6,264,320. The disclosure for this sale can be found here. In the last quarter, insiders sold 7,250 shares of company stock valued at $579,375. Insiders own 1.98% of the company’s stock.

Wall Street Analysts Forecast Growth

Several brokerages have recently weighed in on SBUX. BTIG Research reduced their price target on Starbucks from $115.00 to $100.00 and set a “buy” rating for the company in a research report on Wednesday, May 1st. The Goldman Sachs Group assumed coverage on Starbucks in a report on Thursday, June 13th. They set a “buy” rating and a $100.00 price objective for the company. TD Cowen lowered their target price on shares of Starbucks from $85.00 to $81.00 and set a “hold” rating on the stock in a research note on Wednesday, July 17th. William Blair cut shares of Starbucks from an “outperform” rating to a “market perform” rating in a research report on Wednesday, May 1st. Finally, Oppenheimer restated a “market perform” rating on shares of Starbucks in a research report on Friday, April 19th. Seventeen investment analysts have rated the stock with a hold rating and nine have given a buy rating to the company’s stock. Based on data from MarketBeat.com, the company currently has a consensus rating of “Hold” and an average price target of $90.88.

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.