FY2024 EPS Estimates for Starbucks Co. Reduced by William Blair (NASDAQ:SBUX)

Starbucks Co. (NASDAQ:SBUX) – Investment analysts at William Blair reduced their FY2024 earnings estimates for shares of Starbucks in a note issued to investors on Tuesday, April 16th. William Blair analyst S. Zackfia now expects that the coffee company will post earnings per share of $4.03 for the year, down from their previous forecast of $4.07. The consensus estimate for Starbucks’ current full-year earnings is $4.03 per share. William Blair also issued estimates for Starbucks’ Q4 2024 earnings at $1.21 EPS and FY2025 earnings at $4.68 EPS.

Several other equities analysts have also recently weighed in on the stock. Barclays cut their target price on shares of Starbucks from $116.00 to $112.00 and set an “overweight” rating for the company in a research note on Wednesday, January 31st. Stifel Nicolaus dropped their price objective on shares of Starbucks from $102.00 to $90.00 and set a “hold” rating for the company in a research note on Thursday, April 11th. Wedbush reissued a “neutral” rating and issued a $95.00 price objective on shares of Starbucks in a research note on Wednesday, January 31st. Citigroup dropped their price objective on shares of Starbucks from $102.00 to $95.00 and set a “neutral” rating for the company in a research note on Friday, April 12th. Finally, Gordon Haskett cut shares of Starbucks from a “buy” rating to a “hold” rating and set a $100.00 price objective for the company. in a research note on Tuesday, January 16th. Fourteen research analysts have rated the stock with a hold rating and ten have assigned a buy rating to the company. Based on data from MarketBeat.com, the company has a consensus rating of “Hold” and a consensus target price of $106.68.

Starbucks Stock Performance

SBUX opened at $87.61 on Thursday. The stock has a market capitalization of $99.19 billion, a price-to-earnings ratio of 23.43, a PEG ratio of 1.39 and a beta of 0.97. The company has a fifty day moving average of $90.94 and a 200 day moving average of $94.39. Starbucks has a fifty-two week low of $84.29 and a fifty-two week high of $115.48.

Starbucks (NASDAQ:SBUX) last posted its earnings results on Wednesday, January 31st. The coffee company reported $0.90 earnings per share for the quarter, missing the consensus estimate of $0.92 by ($0.02). The company had revenue of $9.43 billion for the quarter, compared to analysts’ expectations of $9.60 billion. Starbucks had a net margin of 11.70% and a negative return on equity of 50.76%. The business’s revenue was up 8.2% on a year-over-year basis. During the same period in the previous year, the business posted $0.75 earnings per share.

Starbucks Dividend Announcement

The business also recently disclosed a quarterly dividend, which will be paid on Friday, May 31st. Investors of record on Friday, May 17th will be issued a dividend of $0.57 per share. The ex-dividend date is Thursday, May 16th. This represents a $2.28 dividend on an annualized basis and a yield of 2.60%. Starbucks’s payout ratio is 60.96%.

Insider Activity at Starbucks

In related news, CEO Michael Aaron Conway sold 3,250 shares of Starbucks stock in a transaction dated Monday, April 15th. The shares were sold at an average price of $85.39, for a total transaction of $277,517.50. Following the completion of the sale, the chief executive officer now owns 81,199 shares in the company, valued at approximately $6,933,582.61. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. Insiders sold 7,250 shares of company stock worth $653,183 in the last 90 days. 1.98% of the stock is owned by corporate insiders.

Institutional Investors Weigh In On Starbucks

Institutional investors and hedge funds have recently added to or reduced their stakes in the stock. Vima LLC bought a new stake in shares of Starbucks in the 4th quarter valued at about $26,000. Scarborough Advisors LLC bought a new stake in shares of Starbucks in the 4th quarter valued at about $26,000. Freedom Wealth Alliance LLC bought a new stake in shares of Starbucks in the 4th quarter valued at about $26,000. DSM Capital Partners LLC bought a new stake in shares of Starbucks in the 4th quarter valued at about $27,000. Finally, Riggs Asset Managment Co. Inc. raised its holdings in shares of Starbucks by 1,578.9% in the 3rd quarter. Riggs Asset Managment Co. Inc. now owns 319 shares of the coffee company’s stock valued at $29,000 after purchasing an additional 300 shares in the last quarter. Institutional investors own 72.29% of the company’s stock.

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.