Clearbridge Investments LLC Sells 4,511,738 Shares of Starbucks Corporation $SBUX

Clearbridge Investments LLC trimmed its stake in Starbucks Corporation (NASDAQ:SBUX) by 69.7% in the fourth quarter, Holdings Channel reports. The firm owned 1,959,854 shares of the coffee company’s stock after selling 4,511,738 shares during the quarter. Clearbridge Investments LLC’s holdings in Starbucks were worth $165,039,000 as of its most recent SEC filing.

A number of other hedge funds have also recently bought and sold shares of SBUX. Collier Financial bought a new position in Starbucks in the third quarter valued at approximately $25,000. Rachor Investment Advisory Services LLC bought a new position in Starbucks in the fourth quarter valued at approximately $25,000. Y.D. More Investments Ltd bought a new position in Starbucks in the third quarter valued at approximately $26,000. Entrust Financial LLC bought a new position in Starbucks in the fourth quarter valued at approximately $26,000. Finally, Tucker Asset Management LLC bought a new position in Starbucks in the fourth quarter valued at approximately $27,000. 72.29% of the stock is currently owned by institutional investors.

Key Starbucks News

Here are the key news stories impacting Starbucks this week:

• Positive Sentiment: Several articles frame Starbucks as a potential turnaround story, with commentary noting improving traffic, rewards growth, innovation, and margin-recovery efforts that could support a rebound. SBUX Down 9% in a Month: Is This the Right Time to Buy the Stock?
• Positive Sentiment: Starbucks is reportedly tying part of tech workers’ bonuses to AI usage, signaling management is pushing harder on productivity and technology adoption, which investors may view as a margin and efficiency positive. Starbucks (SBUX) Ties Part of Tech Bonuses to AI Usage
• Positive Sentiment: Coverage comparing Starbucks with Chipotle argued that Starbucks’ turnaround looks more credible than other beaten-down restaurant names, which can reinforce investor confidence in the stock. Chipotle vs Starbucks: One Turnaround Is Real, One Is Just Smoke
• Neutral Sentiment: One article revisited Starbucks’ long-term returns versus McDonald’s, which is more historical context than a direct catalyst for the stock. If you had invested $1,000 in McDonald’s or Starbucks 10 years ago, here’s what you’d have now
• Negative Sentiment: Headline risk remains around Starbucks’ operations, including criticism of an “unreliable” AI inventory system and a separate legal-focused article questioning whether insiders breached fiduciary duties, both of which can add pressure to sentiment. “Unreliable” AI Inventory System Gone at Starbucks, Starbucks Stock (NASDAQ:SBUX) Ticks Down Did Starbucks Corporation Insiders Breach their Fiduciary Duties to Shareholders?

Analyst Ratings Changes

Several research analysts have recently commented on SBUX shares. JPMorgan Chase & Co. lifted their target price on Starbucks from $95.00 to $100.00 and gave the stock an “overweight” rating in a research note on Friday, April 24th. Sanford C. Bernstein reiterated an “outperform” rating on shares of Starbucks in a research note on Wednesday, March 4th. Deutsche Bank Aktiengesellschaft reiterated a “buy” rating on shares of Starbucks in a research note on Wednesday, April 29th. Zacks Research upgraded Starbucks from a “hold” rating to a “strong-buy” rating in a research note on Friday, May 15th. Finally, BNP Paribas Exane started coverage on Starbucks in a research note on Thursday, May 14th. They set an “underperform” rating for the company. One research analyst has rated the stock with a Strong Buy rating, twenty have assigned a Buy rating, ten have issued a Hold rating and two have assigned a Sell rating to the company. Based on data from MarketBeat.com, Starbucks currently has an average rating of “Moderate Buy” and an average price target of $107.48.

Insider Buying and Selling at Starbucks

In related news, CEO Brady Brewer sold 2,229 shares of the business’s stock in a transaction on Tuesday, May 5th. The stock was sold at an average price of $104.81, for a total value of $233,621.49. Following the completion of the sale, the chief executive officer directly owned 81,559 shares in the company, valued at $8,548,198.79. The trade was a 2.66% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, EVP Sara Kelly sold 2,000 shares of the business’s stock in a transaction on Wednesday, April 29th. The shares were sold at an average price of $105.00, for a total value of $210,000.00. Following the completion of the sale, the executive vice president owned 57,653 shares of the company’s stock, valued at $6,053,565. This trade represents a 3.35% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold a total of 6,458 shares of company stock valued at $650,111 over the last 90 days. 0.03% of the stock is currently owned by corporate insiders.

Starbucks Stock Performance

Shares of NASDAQ SBUX opened at $95.29 on Monday. The stock has a 50 day moving average of $99.24 and a 200-day moving average of $94.18. The company has a market capitalization of $108.60 billion, a P/E ratio of 72.19, a P/E/G ratio of 1.88 and a beta of 0.98. Starbucks Corporation has a 12 month low of $77.99 and a 12 month high of $108.88.

Starbucks (NASDAQ:SBUX) last released its quarterly earnings results on Tuesday, April 28th. The coffee company reported $0.50 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.44 by $0.06. The business had revenue of $9.53 billion during the quarter, compared to the consensus estimate of $9.17 billion. Starbucks had a negative return on equity of 29.24% and a net margin of 3.89%.The firm’s quarterly revenue was up 8.8% on a year-over-year basis. During the same period in the previous year, the company posted $0.41 EPS. Starbucks has set its FY 2026 guidance at 2.250-2.450 EPS. Analysts predict that Starbucks Corporation will post 2.42 EPS for the current fiscal year.

Starbucks Dividend Announcement

The company also recently declared a quarterly dividend, which was paid on Friday, May 29th. Investors of record on Friday, May 15th were paid a $0.62 dividend. The ex-dividend date was Friday, May 15th. This represents a $2.48 annualized dividend and a yield of 2.6%. Starbucks’s payout ratio is 187.88%.

About Starbucks

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.