Starbucks (SBUX) Earning Somewhat Favorable News Coverage, Analysis Shows

Media headlines about Starbucks (NASDAQ:SBUX) have been trending somewhat positive on Friday, according to Accern. The research firm scores the sentiment of media coverage by analyzing more than twenty million blog and news sources in real-time. Accern ranks coverage of public companies on a scale of negative one to positive one, with scores closest to one being the most favorable. Starbucks earned a coverage optimism score of 0.07 on Accern’s scale. Accern also assigned news coverage about the coffee company an impact score of 44.8116221972238 out of 100, indicating that recent media coverage is somewhat unlikely to have an effect on the company’s share price in the near term.

Here are some of the media stories that may have effected Accern Sentiment Analysis’s analysis:

A number of research analysts recently commented on SBUX shares. Oppenheimer reaffirmed an “outperform” rating on shares of Starbucks in a research report on Friday, April 27th. Wedbush lowered their price objective on shares of Starbucks from $54.00 to $53.00 and set a “neutral” rating on the stock in a research report on Friday, July 27th. JPMorgan Chase & Co. lowered their price objective on shares of Starbucks from $64.00 to $61.00 and set an “overweight” rating on the stock in a research report on Thursday, June 21st. Barclays lowered their price objective on shares of Starbucks to $60.00 in a research report on Wednesday, June 20th. Finally, BidaskClub downgraded shares of Starbucks from a “hold” rating to a “sell” rating in a research report on Wednesday, June 13th. Two investment analysts have rated the stock with a sell rating, fourteen have issued a hold rating and fifteen have issued a buy rating to the company. Starbucks has an average rating of “Hold” and an average price target of $59.75.

SBUX stock opened at $53.04 on Friday. The company has a quick ratio of 0.76, a current ratio of 1.01 and a debt-to-equity ratio of 1.54. The company has a market capitalization of $69.49 billion, a price-to-earnings ratio of 25.75, a price-to-earnings-growth ratio of 1.53 and a beta of 0.63. Starbucks has a 12 month low of $47.37 and a 12 month high of $61.94.

Starbucks (NASDAQ:SBUX) last posted its earnings results on Thursday, July 26th. The coffee company reported $0.62 EPS for the quarter, topping the Thomson Reuters’ consensus estimate of $0.60 by $0.02. The company had revenue of $6.31 billion during the quarter, compared to the consensus estimate of $6.25 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 11.5% compared to the same quarter last year. During the same period in the previous year, the firm posted $0.55 earnings per share. equities research analysts predict that Starbucks will post 2.41 EPS for the current fiscal year.

Starbucks announced that its board has initiated a stock buyback program on Thursday, April 26th that permits the company to buyback 0 shares. This buyback authorization permits the coffee company to repurchase shares of its stock through open market purchases. Shares buyback programs are often an indication that the company’s management believes its shares are undervalued.

The company also recently disclosed a quarterly dividend, which will be paid on Friday, August 24th. Investors of record on Thursday, August 9th will be issued a dividend of $0.36 per share. This is an increase from Starbucks’s previous quarterly dividend of $0.30. This represents a $1.44 annualized dividend and a dividend yield of 2.71%. The ex-dividend date of this dividend is Wednesday, August 8th. Starbucks’s dividend payout ratio is currently 69.90%.

In related news, Director Myron E. Ullman III sold 15,000 shares of the company’s stock in a transaction on Friday, August 3rd. The shares were sold at an average price of $52.13, for a total transaction of $781,950.00. Following the completion of the sale, the director now directly owns 29,000 shares of the company’s stock, valued at approximately $1,511,770. The transaction was disclosed in a legal filing with the SEC, which is available through this link. 3.48% of the stock is currently owned by corporate insiders.

Starbucks Company Profile

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.

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