Stock Traders Purchase High Volume of Call Options on Starbucks (NASDAQ:SBUX)

Starbucks Co. (NASDAQ:SBUXGet Rating) saw unusually large options trading on Monday. Stock traders bought 325,723 call options on the company. This represents an increase of 397% compared to the typical daily volume of 65,500 call options.

Wall Street Analysts Forecast Growth

A number of analysts have recently weighed in on the company. Deutsche Bank Aktiengesellschaft lowered Starbucks from a “buy” rating to a “hold” rating and upped their price objective for the stock from $100.00 to $106.00 in a research report on Monday, December 5th. Evercore ISI upped their price objective on Starbucks from $95.00 to $97.00 in a research report on Friday, November 4th. Cowen upped their price objective on Starbucks from $104.00 to $112.00 and gave the stock an “outperform” rating in a research report on Wednesday, January 4th. Guggenheim upped their price objective on Starbucks from $92.00 to $103.00 in a research report on Friday, January 6th. Finally, Credit Suisse Group upped their price objective on Starbucks from $103.00 to $105.00 and gave the stock an “outperform” rating in a research report on Friday, November 4th. Thirteen research analysts have rated the stock with a hold rating and twelve have given a buy rating to the company’s stock. According to data from MarketBeat, the company has an average rating of “Hold” and an average target price of $105.12.

Starbucks Stock Performance

Shares of SBUX opened at $106.21 on Tuesday. Starbucks has a fifty-two week low of $68.39 and a fifty-two week high of $107.60. The company has a market capitalization of $121.91 billion, a price-to-earnings ratio of 37.66, a price-to-earnings-growth ratio of 2.22 and a beta of 0.89. The firm has a 50-day simple moving average of $101.56 and a 200-day simple moving average of $91.74.

Starbucks (NASDAQ:SBUXGet Rating) last announced its earnings results on Thursday, November 3rd. The coffee company reported $0.81 earnings per share for the quarter, topping the consensus estimate of $0.73 by $0.08. Starbucks had a net margin of 10.18% and a negative return on equity of 39.85%. The business had revenue of $8.41 billion during the quarter, compared to the consensus estimate of $8.43 billion. Equities research analysts forecast that Starbucks will post 3.42 EPS for the current year.

Starbucks Announces Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Friday, February 24th. Investors of record on Friday, February 10th will be given a $0.53 dividend. The ex-dividend date of this dividend is Thursday, February 9th. This represents a $2.12 dividend on an annualized basis and a yield of 2.00%. Starbucks’s payout ratio is currently 75.18%.

Insiders Place Their Bets

In other Starbucks news, CFO Rachel Ruggeri sold 3,960 shares of the company’s stock in a transaction on Monday, January 9th. The stock was sold at an average price of $106.50, for a total transaction of $421,740.00. Following the transaction, the chief financial officer now directly owns 57,962 shares in the company, valued at $6,172,953. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. In other Starbucks news, CFO Rachel Ruggeri sold 3,960 shares of the company’s stock in a transaction on Monday, January 9th. The stock was sold at an average price of $106.50, for a total transaction of $421,740.00. Following the transaction, the chief financial officer now directly owns 57,962 shares in the company, valued at $6,172,953. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, Director Clara Shih sold 7,000 shares of the company’s stock in a transaction on Thursday, December 8th. The stock was sold at an average price of $103.29, for a total value of $723,030.00. Following the transaction, the director now owns 13,661 shares in the company, valued at $1,411,044.69. The disclosure for this sale can be found here. Insiders have sold 26,280 shares of company stock worth $2,663,595 over the last ninety days. Corporate insiders own 0.27% of the company’s stock.

Institutional Investors Weigh In On Starbucks

A number of hedge funds have recently added to or reduced their stakes in the company. Blue Fin Capital Inc. acquired a new stake in Starbucks in the fourth quarter valued at about $218,000. West Wealth Group LLC acquired a new stake in Starbucks in the fourth quarter valued at about $206,000. Resonant Capital Advisors LLC increased its holdings in Starbucks by 2.1% in the fourth quarter. Resonant Capital Advisors LLC now owns 18,677 shares of the coffee company’s stock valued at $1,853,000 after buying an additional 388 shares in the last quarter. Mendel Capital Management LLC increased its holdings in Starbucks by 6.7% in the fourth quarter. Mendel Capital Management LLC now owns 3,055 shares of the coffee company’s stock valued at $303,000 after buying an additional 191 shares in the last quarter. Finally, JB Capital LLC increased its holdings in Starbucks by 8.5% in the fourth quarter. JB Capital LLC now owns 35,997 shares of the coffee company’s stock valued at $3,571,000 after buying an additional 2,818 shares in the last quarter. Institutional investors and hedge funds own 69.16% of the company’s stock.

Starbucks Company Profile

(Get Rating)

Starbucks Corp. engages in the production, marketing, and retailing of specialty coffee. It operates through the following segments: North America, International, Channel Development, and Corporate and Other. The North America segment focuses on the United States and Canada. The International segment is involved in China, Japan, Asia Pacific, Europe, Middle East, Africa, Latin America, and Caribbean.

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