The stock of Starbucks Corporation (NASDAQ:SBUX) decreased by -$0.97 on Tuesday to finish at $100.04, down -0.96 percent. The last five days have seen an average of 4,192,380 shares of common stock traded. 15 times new highs were reached in the current year, with a gain of $0.84. The average number of shares traded over the last 20 days was 6,434,215, while the average volume over the last 50 days totaled 6,654,956.
SBUX stock dropped -0.88% since last month. On 08/02/23, the company’s shares reached a one-month low of $99.29. The stock touched a high of $115.48 on 05/01/23, after rallying from a low of $81.67 in 52 weeks. The price of SBUX stock has risen by 0.85% or $0.84 this year, reaching a new high 15 times. Still, the stock price is down -13.37% from the 52-week high.
Insider Transactions
SBUX stock investors should be aware that Starbucks Corporation (SBUX) stock had its last reported insider trading activity 56 days ago on Jun 21. On Jun 21, evp, cfo Ruggeri Rachel sold 679 shares at $100.60 each. This transaction resulted in the insider making $68,307. On Feb 21, Ruggeri Rachel sold 736 shares at a price of US$105.50. After the transaction, the insider now owns 56,028 shares. acting evp, general counsel Jenkins Zabrina had earlier sold 2,962 shares on Feb 13 for $108.48 a share. The transaction was completed for $321,317.
Valuation Metrics
Starbucks Corporation (SBUX) has a trailing price-to-earnings (P/E) ratio of 30.46. Beta for the stock is 0.93. There are also a few other valuation ratios worth considering, including the trailing price-to-sales (P/S) ratio of 3.29, and the price-to-cash flow ratio of 38.66.
Company paid $0.53 per share in dividends, remained unchanged from $0.53 last year. A $0.04 dividend increase was reported on Wednesday September 28 2022.
Financial Health
For the three months ended June 29, Starbucks Corporation’s quick ratio was 0.60, while its current ratio was 0.80, indicating its inability to pay off its debt. As far as profitability goes, gross margin for the trailing twelve months is 26.50% percent. Starbucks Corporation’s EBITDA margin for the year ended June 29 was 22.66%, whereas its operating margin stood at 15.30% for the same period. Based on annual data, it had gross profit of $21.93 billion and revenue of $32.25 billion.
Investors will also look at the performance of the company’s management in order to determine the potential profitability of their investment. SBUX’s return on assets (ROA) during the last 12 months has been 13.30%. There was a 57.90% return on investment (ROI) in the past year. In the meantime, the return on equity (ROE) for the last 12 months was -44.20%.
Earnings Surprise
According to Starbucks Corporation’s quarterly financial report for the quarter that ended June 29, it had $13.54 billion in total debt versus $263.0 million in cash and short-term investments. A higher net income was reported in the quarter under review than the previous quarter. Net income for the quarter came in at $9.17 billion, while revenues rose by 11.11% to $8.72 billion. It was predicted that Starbucks Corporation’s quarterly earnings would be $1, but it ended up being $0.95, beating the consensus by 5.30%. EBITDA was $1.95 billion for the quarter. At the end of Starbucks Corporation’s most recent quarter ended June 29, its liabilities totaled 37.07 billion, while its total debt was $24.42 billion. Equity owned by shareholders amounts to $1.15 billion.
Technical Picture
Here’s a quick look at Starbucks Corporation’s (SBUX) price momentum from a technical perspective. As of 15 August, the RSI 9-day stood at 42.45%, suggesting the stock is Neutral, with a 16.04% historical volatility rate.
The stochastic %K and %D were 26.89% and 31.51% respectively, while the average true range (ATR) was 1.74. Based on the 14-day stochastic reading of 14.51%, the RSI (14) reading is 45.57%. On the 9-day MACD Oscillator, the stock is at -0.33, and the 14-day reading is at -0.47.
Analyst Ratings
In a note to investors, Wells Fargo maintained its an Overweight rating on Starbucks Corporation (NASDAQ: SBUX). However, the firm raised their price target to $120, indicating a possible increase of 19.97% in the stock price. Analysts have assigned Starbucks Corporation (SBUX) an Overweight rating. SBUX is a stock that is recommended for selling by 0 brokerage firms, while 18 companies recommend holding. The stock is underweighted by 0 analysts. Among the analysts who rate the stock, 1 rate it overweight and 11 others recommend it as a buy.
What is SBUX’s price target for the next 12 months?
The current consensus forecast for the stock is between $101.00 and $150.00, with a median target price of $111.00. In analyzing these forecasts, the average price target given by analysts for Starbucks Corporation (SBUX) is $114.31.
