TOMS Capital Investment Management LP Reduces Stock Position in Starbucks Co. (NASDAQ:SBUX)

TOMS Capital Investment Management LP lowered its stake in shares of Starbucks Co. (NASDAQ:SBUX) by 53.5% during the 3rd quarter, according to the company in its most recent filing with the SEC. The fund owned 389,338 shares of the coffee company’s stock after selling 447,324 shares during the quarter. Starbucks accounts for 1.4% of TOMS Capital Investment Management LP’s holdings, making the stock its 11th biggest holding. TOMS Capital Investment Management LP’s holdings in Starbucks were worth $37,957,000 as of its most recent filing with the SEC.

Other hedge funds have also bought and sold shares of the company. Burney Co. lifted its position in Starbucks by 10.5% during the first quarter. Burney Co. now owns 3,154 shares of the coffee company’s stock valued at $288,000 after purchasing an additional 300 shares during the period. Douglas Lane & Associates LLC boosted its holdings in Starbucks by 6.0% in the 2nd quarter. Douglas Lane & Associates LLC now owns 13,085 shares of the coffee company’s stock worth $1,019,000 after buying an additional 736 shares during the last quarter. Mather Group LLC. increased its stake in Starbucks by 13.8% during the 2nd quarter. Mather Group LLC. now owns 21,214 shares of the coffee company’s stock worth $1,652,000 after buying an additional 2,575 shares in the last quarter. Lynx Investment Advisory purchased a new position in shares of Starbucks in the second quarter valued at approximately $74,000. Finally, Fulton Bank N.A. raised its stake in Starbucks by 22.4% in the 2nd quarter. Fulton Bank N.A. now owns 21,872 shares of the coffee company’s stock valued at $1,703,000 after purchasing an additional 3,999 shares during the last quarter. Institutional investors own 72.29% of the company’s stock.

Wall Street Analyst Weigh In

A number of equities research analysts have recently commented on SBUX shares. Wells Fargo & Company increased their target price on shares of Starbucks from $110.00 to $115.00 and gave the company an “overweight” rating in a research report on Tuesday, November 26th. Barclays decreased their target price on shares of Starbucks from $110.00 to $108.00 and set an “overweight” rating on the stock in a research note on Thursday, October 31st. Redburn Atlantic restated a “sell” rating and issued a $77.00 price target (down from $84.00) on shares of Starbucks in a research report on Wednesday, November 13th. Royal Bank of Canada assumed coverage on Starbucks in a research report on Friday, November 15th. They set an “outperform” rating and a $115.00 price objective on the stock. Finally, DZ Bank cut Starbucks from a “hold” rating to a “sell” rating and set a $85.00 target price for the company. in a report on Wednesday, August 21st. Three investment analysts have rated the stock with a sell rating, nine have assigned a hold rating, seventeen have assigned a buy rating and one has issued a strong buy rating to the stock. Based on data from MarketBeat.com, the company presently has an average rating of “Moderate Buy” and an average target price of $103.77.

Insider Buying and Selling

In other Starbucks news, CFO Rachel Ruggeri sold 1,491 shares of the business’s stock in a transaction that occurred on Thursday, November 21st. The shares were sold at an average price of $99.54, for a total transaction of $148,414.14. Following the completion of the transaction, the chief financial officer now owns 80,124 shares in the company, valued at $7,975,542.96. The trade was a 1.83 % decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is available at this link. Also, Director Jorgen Vig Knudstorp acquired 380 shares of the firm’s stock in a transaction dated Friday, September 6th. The shares were purchased at an average cost of $91.50 per share, with a total value of $34,770.00. Following the completion of the transaction, the director now owns 36,242 shares in the company, valued at approximately $3,316,143. The trade was a 1.06 % increase in their position. The disclosure for this purchase can be found here. 1.98% of the stock is currently owned by insiders.

Starbucks Price Performance

Shares of NASDAQ:SBUX opened at $102.46 on Monday. The firm has a market capitalization of $116.17 billion, a PE ratio of 30.95, a price-to-earnings-growth ratio of 3.00 and a beta of 0.97. Starbucks Co. has a 1 year low of $71.55 and a 1 year high of $103.32. The firm’s 50-day moving average is $97.63 and its two-hundred day moving average is $88.10.

Starbucks (NASDAQ:SBUX) last announced its earnings results on Wednesday, October 30th. The coffee company reported $0.80 earnings per share for the quarter, hitting the consensus estimate of $0.80. Starbucks had a net margin of 10.40% and a negative return on equity of 46.39%. The firm had revenue of $9.07 billion for the quarter, compared to the consensus estimate of $9.60 billion. During the same period in the prior year, the firm earned $1.06 EPS. The firm’s revenue for the quarter was down 3.2% on a year-over-year basis. Analysts expect that Starbucks Co. will post 3.12 EPS for the current fiscal year.

Starbucks Increases Dividend

The business also recently announced a quarterly dividend, which was paid on Friday, November 29th. Investors of record on Friday, November 15th were issued a $0.61 dividend. The ex-dividend date of this dividend was Friday, November 15th. This is a positive change from Starbucks’s previous quarterly dividend of $0.57. This represents a $2.44 dividend on an annualized basis and a yield of 2.38%. Starbucks’s dividend payout ratio (DPR) is 73.72%.

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.