Public Employees Retirement System of Ohio Purchases Shares of 433,820 Starbucks Corporation $SBUX

Public Employees Retirement System of Ohio bought a new stake in Starbucks Corporation (NASDAQ:SBUX) in the second quarter, HoldingsChannel reports. The fund bought 433,820 shares of the coffee company’s stock, valued at approximately $44,332,000.

Other large investors also recently modified their holdings of the company. BlackRock Inc. purchased a new position in Starbucks in the 2nd quarter worth approximately $8,504,509,000. Bank of America Corp DE bought a new stake in shares of Starbucks in the 2nd quarter valued at approximately $1,581,287,000. Norges Bank acquired a new stake in shares of Starbucks during the fourth quarter worth $1,232,650,000. T. Rowe Price Investment Management Inc. raised its stake in Starbucks by 65.9% during the fourth quarter. T. Rowe Price Investment Management Inc. now owns 19,447,854 shares of the coffee company’s stock worth $1,637,704,000 after acquiring an additional 7,725,547 shares during the period. Finally, Bank of New York Mellon Corp bought a new stake in shares of Starbucks in the 2nd quarter worth approximately $779,790,000. 72.29% of the stock is currently owned by hedge funds and other institutional investors.

Starbucks Price Performance

SBUX stock opened at $107.26 on Friday. The company has a 50-day moving average of $104.95 and a two-hundred day moving average of $100.73. The stock has a market capitalization of $122.28 billion, a price-to-earnings ratio of 61.64, a price-to-earnings-growth ratio of 1.87 and a beta of 0.97. Starbucks Corporation has a 52-week low of $77.99 and a 52-week high of $110.51.

Starbucks (NASDAQ:SBUX) last announced its earnings results on Wednesday, July 29th. The coffee company reported $0.85 earnings per share for the quarter, beating the consensus estimate of $0.66 by $0.19. Starbucks had a negative return on equity of 34.10% and a net margin of 5.17%.The firm had revenue of $9.32 billion during the quarter, compared to the consensus estimate of $9.17 billion. During the same quarter in the prior year, the company earned $0.50 EPS. The firm’s revenue for the quarter was down 1.4% compared to the same quarter last year. Starbucks has set its FY 2026 guidance at 2.550-2.650 EPS. Equities analysts expect that Starbucks Corporation will post 2.64 EPS for the current fiscal year.

Starbucks Dividend Announcement

The business also recently disclosed a quarterly dividend, which will be paid on Friday, August 28th. Shareholders of record on Friday, August 14th will be paid a dividend of $0.62 per share. This represents a $2.48 annualized dividend and a yield of 2.3%. The ex-dividend date is Friday, August 14th. Starbucks’s dividend payout ratio is currently 142.53%.

Analyst Upgrades and Downgrades

SBUX has been the topic of a number of research analyst reports. Morgan Stanley lowered Starbucks from an “overweight” rating to an “underweight” rating in a report on Monday, August 3rd. Evercore restated an “outperform” rating on shares of Starbucks in a report on Thursday, July 30th. Zacks Research downgraded shares of Starbucks from a “strong-buy” rating to a “hold” rating in a research report on Monday, June 29th. Citigroup lifted their target price on Starbucks from $108.00 to $112.00 and gave the company a “neutral” rating in a research note on Thursday, July 30th. Finally, Raymond James Financial downgraded Starbucks to an “outperform” rating in a research note on Monday, August 3rd. One investment analyst has rated the stock with a Strong Buy rating, eighteen have given a Buy rating, eleven have issued a Hold rating and four have assigned a Sell rating to the company’s stock. According to MarketBeat.com, the company presently has a consensus rating of “Hold” and a consensus price target of $110.30.

Key Starbucks News

Here are the key news stories impacting Starbucks this week:

• Positive Sentiment: Analyst upgrade: Robert W. Baird upgraded Starbucks to “strong buy,” signaling confidence in the company’s turnaround prospects and potentially supporting investor sentiment. Zacks report
• Positive Sentiment: Fall menu and marketing: Starbucks launched its seasonal menu, including the Pumpkin Spice Latte, supported by advertising featuring Martha Stewart. The promotion could drive customer traffic and strengthen seasonal sales. Starbucks launches fall menu Pumpkin Spice Latte advertising
• Positive Sentiment: Property transactions: A corporate Starbucks drive-thru in Jacksonville, Florida, was included in a $6.9 million pair of net-lease deals. While not a material financial event for Starbucks, the transaction highlights ongoing investor demand for Starbucks-occupied properties. Starbucks net-lease transaction
• Neutral Sentiment: Valuation and operating backdrop: Starbucks recently exceeded quarterly earnings and revenue expectations, but revenue declined year over year. With a relatively high earnings multiple, investors may require sustained improvement from the company’s turnaround plan.
• Negative Sentiment: Union-led boycott: Starbucks Workers United called for a boycott tied to stalled contract negotiations, seeking $17 hourly wages and a contract covering more than 12,000 baristas. The action presents near-term traffic, sales and reputational risks. Starbucks union boycott
• Negative Sentiment: Consumer caution: Reports questioning whether consumers are rethinking coffee purchases raise concerns about traffic and demand, particularly if customers trade down or reduce premium beverage spending. Consumer caution report
• Negative Sentiment: Turnaround costs: Additional job cuts as Starbucks expands its roughly $2 billion overhaul may pressure near-term morale and execution, even though management expects restructuring to improve efficiency over time. Starbucks job cuts and turnaround

Insider Transactions at Starbucks

In other news, CEO Brady Brewer sold 2,229 shares of Starbucks stock in a transaction that occurred on Wednesday, August 5th. The shares were sold at an average price of $105.99, for a total value of $236,251.71. Following the completion of the transaction, the chief executive officer owned 75,135 shares in the company, valued at approximately $7,963,558.65. The trade was a 2.88% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is accessible through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold 6,687 shares of company stock worth $681,663 in the last three months. Corporate insiders own 0.03% of the company’s stock.

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.