Mizuho Forecasts Strong Price Appreciation for Starbucks (NASDAQ:SBUX) Stock

Starbucks (NASDAQ:SBUX) had its price target boosted by stock analysts at Mizuho from $86.00 to $95.00 in a research report issued to clients and investors on Monday,Benzinga reports. The brokerage currently has a “neutral” rating on the coffee company’s stock. Mizuho’s price target would indicate a potential downside of 2.68% from the stock’s previous close.

Other equities analysts have also issued research reports about the company. Barclays reiterated an “overweight” rating and set a $110.00 price objective (up previously from $95.00) on shares of Starbucks in a research note on Wednesday, January 7th. Wall Street Zen raised Starbucks from a “sell” rating to a “hold” rating in a report on Saturday, November 22nd. BMO Capital Markets restated an “outperform” rating on shares of Starbucks in a research report on Thursday, October 30th. BTIG Research reaffirmed a “buy” rating and set a $105.00 target price on shares of Starbucks in a report on Thursday. Finally, Weiss Ratings reiterated a “hold (c-)” rating on shares of Starbucks in a research note on Monday, December 29th. Seventeen research analysts have rated the stock with a Buy rating, eight have given a Hold rating and three have given a Sell rating to the company. Based on data from MarketBeat, the company currently has a consensus rating of “Moderate Buy” and an average target price of $103.50.

Starbucks Trading Up 1.9%

Shares of Starbucks stock opened at $97.62 on Monday. Starbucks has a 12-month low of $75.50 and a 12-month high of $117.46. The firm’s 50 day simple moving average is $87.00 and its two-hundred day simple moving average is $87.05. The firm has a market capitalization of $111.00 billion, a price-to-earnings ratio of 59.52, a PEG ratio of 2.07 and a beta of 0.97.

Starbucks (NASDAQ:SBUX) last released its quarterly earnings data on Wednesday, October 29th. The coffee company reported $0.52 EPS for the quarter, missing the consensus estimate of $0.55 by ($0.03). Starbucks had a net margin of 4.99% and a negative return on equity of 31.32%. The business had revenue of $9.57 billion during the quarter, compared to analysts’ expectations of $9.41 billion. During the same period last year, the company earned $0.80 earnings per share. The firm’s revenue was up 5.5% on a year-over-year basis. On average, sell-side analysts predict that Starbucks will post 2.99 EPS for the current fiscal year.

Insider Transactions at Starbucks

In other Starbucks news, Director Jorgen Vig Knudstorp bought 11,700 shares of the stock in a transaction on Monday, November 10th. The shares were bought at an average price of $85.00 per share, with a total value of $994,500.00. Following the purchase, the director directly owned 53,096 shares in the company, valued at $4,513,160. This trade represents a 28.26% increase in their position. The transaction was disclosed in a legal filing with the SEC, which is available through this hyperlink. 0.09% of the stock is currently owned by company insiders.

Hedge Funds Weigh In On Starbucks

Several hedge funds and other institutional investors have recently modified their holdings of the business. Game Plan Financial Advisors LLC purchased a new stake in shares of Starbucks in the second quarter valued at approximately $25,000. Transce3nd LLC lifted its position in Starbucks by 270.3% during the second quarter. Transce3nd LLC now owns 274 shares of the coffee company’s stock worth $25,000 after buying an additional 200 shares in the last quarter. Collier Financial acquired a new position in Starbucks during the third quarter worth $25,000. Chelsea Counsel Co. purchased a new stake in Starbucks in the 2nd quarter valued at $26,000. Finally, Y.D. More Investments Ltd acquired a new stake in shares of Starbucks in the 3rd quarter worth $26,000. 72.29% of the stock is owned by hedge funds and other institutional investors.

About Starbucks

Starbucks Corporation is a global coffeehouse chain and roaster that operates, licenses and franchises coffee shops and related retail businesses. Founded in Seattle, Washington in 1971 by Jerry Baldwin, Zev Siegl and Gordon Bowker, the company grew from a single store focused on whole-bean coffee and equipment into a broad consumer-facing brand. Howard Schultz, who joined the company later and served in senior leadership roles, is widely credited with transforming Starbucks into a mass-market specialty coffee retailer and expanding its footprint internationally.

Starbucks’ core activities center on the retail sale of hot and cold specialty beverages, whole-bean and packaged coffees, teas and ready-to-drink products, along with complementary food items and merchandise such as mugs and brewing equipment.