Citigroup Issues Pessimistic Forecast for Starbucks (NASDAQ:SBUX) Stock Price

Starbucks (NASDAQ:SBUX) had its price objective dropped by Citigroup from $100.00 to $88.00 in a note issued to investors on Friday,Benzinga reports. The brokerage presently has a “neutral” rating on the coffee company’s stock. Citigroup’s price target points to a potential upside of 3.01% from the company’s previous close.

SBUX has been the topic of several other research reports. Argus upgraded shares of Starbucks from a “hold” rating to a “buy” rating and set a $115.00 target price on the stock in a report on Tuesday, March 18th. Robert W. Baird reissued a “neutral” rating and issued a $85.00 price target (down previously from $114.00) on shares of Starbucks in a report on Monday, April 7th. UBS Group upped their price objective on shares of Starbucks from $98.00 to $105.00 and gave the company a “neutral” rating in a research note on Wednesday, January 29th. Stifel Nicolaus raised their target price on Starbucks from $110.00 to $114.00 and gave the stock a “buy” rating in a research note on Monday, January 27th. Finally, Baird R W downgraded Starbucks from a “strong-buy” rating to a “hold” rating in a report on Monday, April 7th. Two research analysts have rated the stock with a sell rating, nine have given a hold rating and seventeen have issued a buy rating to the company. According to MarketBeat, Starbucks currently has an average rating of “Moderate Buy” and an average price target of $104.68.

Starbucks Price Performance

NASDAQ:SBUX opened at $85.43 on Friday. The company has a market capitalization of $97.04 billion, a price-to-earnings ratio of 27.56, a PEG ratio of 3.59 and a beta of 1.00. Starbucks has a 1-year low of $71.55 and a 1-year high of $117.46. The business has a 50 day moving average of $102.16 and a 200 day moving average of $98.78.

Starbucks (NASDAQ:SBUX) last issued its earnings results on Tuesday, January 28th. The coffee company reported $0.69 EPS for the quarter, topping analysts’ consensus estimates of $0.68 by $0.01. Starbucks had a net margin of 9.73% and a negative return on equity of 44.97%. During the same period in the previous year, the firm posted $0.90 EPS. As a group, sell-side analysts anticipate that Starbucks will post 2.99 EPS for the current year.

Institutional Investors Weigh In On Starbucks

A number of institutional investors have recently made changes to their positions in the company. Norges Bank bought a new stake in Starbucks in the 4th quarter worth about $1,244,812,000. Capital World Investors lifted its position in Starbucks by 20.1% during the fourth quarter. Capital World Investors now owns 54,924,230 shares of the coffee company’s stock valued at $5,011,796,000 after purchasing an additional 9,174,682 shares during the period. FMR LLC boosted its holdings in Starbucks by 27.0% in the fourth quarter. FMR LLC now owns 25,128,649 shares of the coffee company’s stock worth $2,292,989,000 after purchasing an additional 5,348,790 shares during the last quarter. Capital Research Global Investors grew its position in Starbucks by 167.6% in the 4th quarter. Capital Research Global Investors now owns 5,690,198 shares of the coffee company’s stock worth $519,230,000 after purchasing an additional 3,563,942 shares during the period. Finally, Raymond James Financial Inc. bought a new stake in Starbucks in the 4th quarter worth approximately $284,283,000. Hedge funds and other institutional investors own 72.29% of the company’s stock.

Starbucks Company Profile

Starbucks Corporation, together with its subsidiaries, operates as a roaster, marketer, and retailer of coffee worldwide. The company operates through three segments: North America, International, and Channel Development. Its stores offer coffee and tea beverages, roasted whole beans and ground coffees, single serve products, and ready-to-drink beverages; and various food products, such as pastries, breakfast sandwiches, and lunch items.