Starbucks Co. (SBUX) to Issue Quarterly Dividend of $0.61 on February 28th

Starbucks Co. (NASDAQ:SBUX) declared a quarterly dividend on Tuesday, November 19th,RTT News reports. Investors of record on Friday, February 14th will be paid a dividend of 0.61 per share by the coffee company on Friday, February 28th. This represents a $2.44 dividend on an annualized basis and a yield of 2.20%. The ex-dividend date is Friday, February 14th.

Starbucks has increased its dividend by an average of 8.0% annually over the last three years and has raised its dividend every year for the last 14 years. Starbucks has a payout ratio of 66.7% meaning its dividend is sufficiently covered by earnings. Equities research analysts expect Starbucks to earn $3.66 per share next year, which means the company should continue to be able to cover its $2.44 annual dividend with an expected future payout ratio of 66.7%.

Starbucks Stock Performance

Shares of SBUX opened at $111.03 on Wednesday. The company’s 50 day moving average price is $97.32 and its 200 day moving average price is $95.10. Starbucks has a 52 week low of $71.55 and a 52 week high of $112.62. The company has a market capitalization of $126.12 billion, a PE ratio of 35.82, a PEG ratio of 3.52 and a beta of 1.00.

Starbucks (NASDAQ:SBUX) last announced its quarterly earnings data on Tuesday, January 28th. The coffee company reported $0.69 EPS for the quarter, beating analysts’ consensus estimates of $0.68 by $0.01. Starbucks had a net margin of 9.73% and a negative return on equity of 44.97%. During the same quarter in the prior year, the firm earned $0.90 EPS. On average, equities analysts forecast that Starbucks will post 3 earnings per share for the current fiscal year.

Wall Street Analyst Weigh In

Several analysts have commented on SBUX shares. UBS Group boosted their target price on shares of Starbucks from $98.00 to $105.00 and gave the stock a “neutral” rating in a research report on Wednesday, January 29th. Morgan Stanley boosted their target price on shares of Starbucks from $98.00 to $115.00 and gave the stock an “overweight” rating in a research report on Wednesday, October 16th. Citigroup boosted their target price on shares of Starbucks from $96.00 to $99.00 and gave the stock a “neutral” rating in a research report on Thursday, October 31st. Barclays boosted their target price on shares of Starbucks from $119.00 to $124.00 and gave the stock an “overweight” rating in a research report on Wednesday, January 29th. Finally, Redburn Atlantic reissued a “sell” rating and issued a $77.00 target price (down from $84.00) on shares of Starbucks in a research report on Wednesday, November 13th. Three research analysts have rated the stock with a sell rating, six have given a hold rating, seventeen have issued a buy rating and one has issued a strong buy rating to the company. According to data from MarketBeat, Starbucks presently has a consensus rating of “Moderate Buy” and an average price target of $105.33.

Insider Activity at Starbucks

In other news, CFO Rachel Ruggeri sold 1,491 shares of the stock in a transaction on Thursday, November 21st. The shares were sold at an average price of $99.54, for a total value of $148,414.14. Following the completion of the transaction, the chief financial officer now owns 80,124 shares in the company, valued at approximately $7,975,542.96. This represents a 1.83 % decrease in their position. The sale was disclosed in a filing with the SEC, which can be accessed through the SEC website. Corporate insiders own 0.09% of the company’s stock.

About Starbucks

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.