Starbucks Corp Dividend Increase

Starbucks Corp (SBUX) announced a 25% increase in its cash dividend! The quarterly cash dividend will increase from $0.16 to $0.20 per share and payable on Nov 27, 2015 to shareholders on record as of Nov 12, 2015. The annual dividend rate goes up from $0.64 to $0.80. Yield going forward is 1.28%.

From the earnings release statement:

“Starbucks record Q4 financial results, highlighted by stunning comp store sales increases of 8% globally, 9% in the U.S. driven by a 4% increase in global traffic, demonstrate the strength and relevance of the Starbucks brand around the world,” said Howard Schultz, Starbucks chairman and ceo. “And our results underscore the success of the investments we continue to make in our people and business, in new beverage and food innovation and in groundbreaking technology innovation that is deepening our connection to customers everywhere,” Schultz added.

“Starbucks performance in Q4 reflected a continuation of the pattern of accelerating momentum we saw with each successive quarter of fiscal 2015,” said Scott Maw, Starbucks cfo. “And our Q4 results are particularly gratifying in that they were achieved despite the increase, and acceleration, of the significant partner and digital investments we are making to drive sustained, profitable growth around the world and into the future,” Maw added.

My portfolio consists of 25 shares of SBUX, which increases my annual dividends from $16.00 to $20.00, an increase of $4.00.


12 thoughts on “Starbucks Corp Dividend Increase

  1. Loved seeing that increase as it came in just above where I expected. I was thinking a raise to $0.19 so that extra penny per share raise sure is nice. I’d like to add more SBUX to my portfolio but there haven’t been too many opportunities to pounce on this one for a reasonable valuation. Maybe Mr. Market will dislike the holiday forecast and beat the price down some.

    • I hear you, JC. Ive been watching that stock price climb through the whole year…finally got in around $53. Its just a first transaction and will be buying more, but doesnt look like it going to slow down that climb. Will def add more when it does pull back.

      Loved the huge div increase announcement. Congrats on the raise!

  2. Hi R2R!

    I thought about adding starbucks into my portfolio, seems like an interesting buy. The dividend increase definitely gives it more incentive!

  3. Wow! Talk about an increase…holy smokes! I wish the stock would fall off of its record highs so I could add some to my portfolio. But for now I am going to hold off.

    Thanks for passing this along. I missed it during the week!


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