Starbucks Stock Swings After Hedge Fund Exit
By Kim Khan
Investing.com – Shares of Starbucks (NASDAQ:SBUX) saw some volatility in afternoon trading Wednesday on reports that an activist fund has sold its stake in the stock.
Bill Ackman’s hedge fund Pershing Square Capital Management sold out of its Starbucks position, according to published reports citing investor update slides from the fund.
Starbucks dipped sharply on the news, but the dip was quickly bought and shares were off about 1%.
Pershing Square held more than 9.3 million shares of Starbucks worth more than $800 million, according to the latest data from Guru Focus.
Chipotle Mexican Grill (NYSE:CMG) remains the largest holding in the fund.
On the sell side, of the 32 analysts covering Starbucks, 14 have a buy rating on the stock, 17 are neutral and there is one sell.
The average price target is $95.37.