On May 12, 2023 at 15:03:49 ET an unusually large $885.00K block of Call contracts in Starbucks (SBUX) was bought, with a strike price of $110.00 / share, expiring in 161 day(s) (on October 20, 2023). Fintel tracks all large options trades, and the premium spent on this trade was 3.04 sigmas above the mean, placing it in the 99.93th percentile of all recent large trades made in SBUX options.
This trade was first picked up on Fintel’s real time Options Flow tool, where unusual option trades are highlighted.
What is the Fund Sentiment?
There are 3386 funds or institutions reporting positions in Starbucks. This is an increase of 124 owner(s) or 3.80% in the last quarter. Average portfolio weight of all funds dedicated to SBUX is 0.48%, an increase of 32.59%. Total shares owned by institutions decreased in the last three months by 1.01% to 931,269K shares. The put/call ratio of SBUX is 0.95, indicating a bullish outlook.
Analyst Price Forecast Suggests 12.31% Upside
As of May 11, 2023, the average one-year price target for Starbucks is 118.64. The forecasts range from a low of 95.95 to a high of $142.80. The average price target represents an increase of 12.31% from its latest reported closing price of 105.63.
See our leaderboard of companies with the largest price target upside.
The projected annual revenue for Starbucks is 36,596MM, an increase of 7.64%. The projected annual non-GAAP EPS is 3.48.
What are Other Shareholders Doing?
VTSMX – Vanguard Total Stock Market Index Fund Investor Shares holds 34,891K shares representing 3.04% ownership of the company. In it’s prior filing, the firm reported owning 34,226K shares, representing an increase of 1.91%. The firm increased its portfolio allocation in SBUX by 10.83% over the last quarter.
Bank Of America holds 32,246K shares representing 2.81% ownership of the company. In it’s prior filing, the firm reported owning 31,090K shares, representing an increase of 3.58%. The firm decreased its portfolio allocation in SBUX by 74.96% over the last quarter.
VFINX – Vanguard 500 Index Fund Investor Shares holds 26,536K shares representing 2.31% ownership of the company. In it’s prior filing, the firm reported owning 26,010K shares, representing an increase of 1.98%. The firm increased its portfolio allocation in SBUX by 10.65% over the last quarter.
Capital Research Global Investors holds 26,028K shares representing 2.26% ownership of the company. In it’s prior filing, the firm reported owning 25,232K shares, representing an increase of 3.06%. The firm increased its portfolio allocation in SBUX by 11.72% over the last quarter.
Geode Capital Management holds 21,175K shares representing 1.84% ownership of the company. In it’s prior filing, the firm reported owning 20,687K shares, representing an increase of 2.30%. The firm increased its portfolio allocation in SBUX by 11.41% over the last quarter.
Starbucks Declares $0.53 Dividend
On April 3, 2023 the company declared a regular quarterly dividend of $0.53 per share ($2.12 annualized). Shareholders of record as of May 12, 2023 will receive the payment on May 26, 2023. Previously, the company paid $0.53 per share.
At the current share price of $105.63 / share, the stock’s dividend yield is 2.01%.
Looking back five years and taking a sample every week, the average dividend yield has been 2.03%, the lowest has been 1.43%, and the highest has been 2.94%. The standard deviation of yields is 0.35 (n=236).
The current dividend yield is 0.06 standard deviations below the historical average.
Additionally, the company’s dividend payout ratio is 0.69. The payout ratio tells us how much of a company’s income is paid out in dividends. A payout ratio of one (1.0) means 100% of the company’s income is paid in a dividend. A payout ratio greater than one means the company is dipping into savings in order to maintain its dividend – not a healthy situation. Companies with few growth prospects are expected to pay out most of their income in dividends, which typically means a payout ratio between 0.5 and 1.0. Companies with good growth prospects are expected to retain some earnings in order to invest in those growth prospects, which translates to a payout ratio of zero to 0.5.
The company’s 3-Year dividend growth rate is 0.29%, demonstrating that it has increased its dividend over time.
Starbucks Background Information
(This description is provided by the company.)
Since 1971, Starbucks Coffee Company has been committed to ethically sourcing and roasting high-quality arabica coffee. Today, with nearly 33,000 stores worldwide, the company is the premier roaster and retailer of specialty coffee in the world. Through our unwavering commitment to excellence and our guiding principles, we bring the unique Starbucks Experience to life for every customer through every cup.
See all Starbucks regulatory filings.
This article originally appeared on Fintel
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