Royal Bank of Canada Boosts Starbucks (SBUX) Price Target to $68.00

Starbucks (NASDAQ:SBUX) had its price objective lifted by equities research analysts at Royal Bank of Canada to $68.00 in a note issued to investors on Friday, The Fly reports. The firm currently has a “positive” rating on the coffee company’s stock. Royal Bank of Canada’s price target points to a potential upside of 15.98% from the company’s current price.

A number of other brokerages also recently commented on SBUX. Wedbush dropped their target price on shares of Starbucks from $54.00 to $53.00 and set a “neutral” rating on the stock in a research note on Friday, July 27th. BidaskClub downgraded shares of Starbucks from a “buy” rating to a “hold” rating in a research note on Tuesday, October 2nd. UBS Group restated a “positive” rating and issued a $72.00 target price (up from $62.00) on shares of Starbucks in a research note on Friday. Barclays dropped their target price on shares of Starbucks from $60.00 to $57.00 and set a “$51.15” rating on the stock in a research note on Wednesday, July 18th. Finally, Zacks Investment Research upgraded shares of Starbucks from a “strong sell” rating to a “hold” rating in a research note on Tuesday, August 21st. One investment analyst has rated the stock with a sell rating, eleven have assigned a hold rating and nineteen have issued a buy rating to the company. The stock presently has a consensus rating of “Buy” and a consensus target price of $61.23.

Shares of SBUX stock opened at $58.63 on Friday. The company has a debt-to-equity ratio of 1.54, a quick ratio of 0.76 and a current ratio of 1.01. The stock has a market capitalization of $79.04 billion, a price-to-earnings ratio of 28.46, a P/E/G ratio of 1.59 and a beta of 0.60. Starbucks has a one year low of $47.37 and a one year high of $61.94.

Starbucks (NASDAQ:SBUX) last issued its earnings results on Thursday, November 1st. The coffee company reported $0.62 EPS for the quarter, topping the Zacks’ consensus estimate of $0.60 by $0.02. The business had revenue of $6.30 billion for the quarter, compared to the consensus estimate of $6.28 billion. Starbucks had a net margin of 18.87% and a return on equity of 67.11%. The company’s revenue for the quarter was up 10.6% compared to the same quarter last year. During the same period in the prior year, the firm earned $0.55 EPS. On average, equities analysts forecast that Starbucks will post 2.4 EPS for the current fiscal year.

In related news, Director Myron E. Ullman III sold 99,166 shares of the stock in a transaction that occurred on Wednesday, September 12th. The shares were sold at an average price of $55.05, for a total transaction of $5,459,088.30. Following the completion of the sale, the director now owns 29,000 shares of the company’s stock, valued at $1,596,450. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, insider Rosalind G. Brewer bought 5,000 shares of the firm’s stock in a transaction that occurred on Monday, August 20th. The shares were purchased at an average cost of $54.04 per share, with a total value of $270,200.00. Following the transaction, the insider now directly owns 7,302 shares of the company’s stock, valued at $394,600.08. The disclosure for this purchase can be found here. Insiders have sold 280,832 shares of company stock valued at $15,052,087 in the last three months. 3.40% of the stock is currently owned by corporate insiders.

A number of large investors have recently bought and sold shares of SBUX. Parnassus Investments CA lifted its position in Starbucks by 26.8% during the second quarter. Parnassus Investments CA now owns 12,052,546 shares of the coffee company’s stock valued at $588,767,000 after acquiring an additional 2,543,697 shares during the last quarter. Charles Schwab Investment Advisory Inc. purchased a new stake in Starbucks during the second quarter valued at approximately $105,420,000. Magellan Asset Management Ltd lifted its position in Starbucks by 5.2% during the second quarter. Magellan Asset Management Ltd now owns 32,392,116 shares of the coffee company’s stock valued at $1,582,355,000 after acquiring an additional 1,613,187 shares during the last quarter. Fiera Capital Corp lifted its position in Starbucks by 3,492.3% during the second quarter. Fiera Capital Corp now owns 1,274,578 shares of the coffee company’s stock valued at $62,262,000 after acquiring an additional 1,239,097 shares during the last quarter. Finally, Morgan Stanley lifted its position in Starbucks by 2.0% during the second quarter. Morgan Stanley now owns 47,116,946 shares of the coffee company’s stock valued at $2,301,661,000 after acquiring an additional 928,175 shares during the last quarter. 71.86% of the stock is owned by institutional investors.

About Starbucks

Starbucks Corporation, together with its subsidiaries, operates as a roaster, marketer, and retailer of specialty coffee worldwide. The company operates in four segments: Americas; China/Asia Pacific; Europe, Middle East, and Africa; and Channel Development. Its stores offer coffee and tea beverages, roasted whole bean and ground coffees, single-serve and ready-to-drink coffee and tea products, and food and snacks; and various food products, such as pastries, breakfast sandwiches, and lunch items.

See Also: Why Dividend Stocks May Be Right for You

The Fly

Analyst Recommendations for Starbucks (NASDAQ:SBUX)

Receive News & Ratings for Starbucks Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Starbucks and related companies with MarketBeat.com's FREE daily email newsletter.


Leave a Reply