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Xponance Increases Stake in Starbucks by 1.6% Amid Market Activity

Xponance Inc. has expanded its position in Starbucks Corporation (NASDAQ: SBUX) by 1.6% during the first quarter of 2023. According to a recent filing with the Securities and Exchange Commission (SEC), the institutional investor now holds a total of 243,214 shares of the coffee giant, having acquired an additional 3,778 shares in the quarter. As of the latest SEC report, Xponance’s investment in Starbucks is valued at approximately $23.9 million.

Several other institutional investors and hedge funds have also adjusted their holdings in Starbucks. For instance, TrinityPoint Wealth LLC increased its stake by 2.7% during the fourth quarter, resulting in ownership of 3,421 shares, valued at $312,000 after acquiring an additional 89 shares. Similarly, Pioneer Trust Bank N A OR raised its holdings by 0.8%, now owning 11,312 shares worth $1.03 million after purchasing an additional 92 shares during the same period.

Other notable increases include Wintrust Investments LLC, which raised its stake by 7.1%, now holding 1,411 shares valued at $128,000. Gamco Investors INC. ET AL increased its stake by 3.5%, owning 2,860 shares valued at $261,000 after acquiring an additional 97 shares. Finally, Foster Dykema Cabot & Partners LLC increased its stake by 10.6%, owning 1,014 shares valued at $93,000.

Institutional investors and hedge funds collectively own approximately 72.29% of Starbucks’ stock, indicating a strong institutional interest in the company.

Analysts Provide Diverse Ratings and Price Targets

Recent reports from equity research analysts reflect a range of opinions on Starbucks stock. Evercore ISI reaffirmed an “outperform” rating with a price target of $105.00, an increase from a previous target of $95.00. Conversely, Baird R W downgraded shares from a “strong-buy” to a “hold” rating, while Wall Street Zen lowered its rating from “hold” to “sell.”

Additionally, Barclays maintained an “overweight” rating, raising its price objective from $98.00 to $108.00. TD Cowen also reissued a “hold” rating with a price objective of $90.00. Currently, three analysts rate the stock as a sell, twelve as a hold, and fifteen as a buy, according to data from MarketBeat.com. The average rating stands at “Hold” with a consensus price target of $98.23.

Starbucks Stock Performance and Earnings Overview

On the NASDAQ exchange, Starbucks shares opened at $95.15 on Friday. The stock has experienced fluctuations with a fifty-day simple moving average of $88.90 and a two-hundred-day average of $94.46. Over the past year, Starbucks has recorded a twelve-month low of $71.55 and a high of $117.46. The company boasts a market capitalization of approximately $108.13 billion and a price-to-earnings ratio of 34.47.

Starbucks announced its latest earnings results on April 29, 2023, reporting earnings per share of $0.41, falling short of analysts’ consensus estimates of $0.51 by $0.10. The company reported revenue of $8.76 billion for the quarter, slightly below expectations of $8.90 billion. Year-over-year, quarterly revenue increased by 2.3%, despite a negative return on equity of 42.14% and a net margin of 8.61%.

Looking ahead, analysts project that Starbucks will achieve earnings per share of $2.99 for the current fiscal year. Starbucks Corporation continues to operate as a leading global roaster, marketer, and retailer of coffee, with its offerings spanning various beverages and food products across North America, International markets, and through Channel Development.

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