Billionaire Paul Singer Piles Into Starbucks. Should Investors Follow Suit and Buy the Stock?
According to recent reports, billionaire Paul Singer and his activist hedge fund Elliott Investment Management have taken a large position in (NASDAQ: SBUX). The coffee house operator has seen its stock struggle in recent years. It's down over 15% in the past five years, while the S 500 is up over 85% during the same stretch.
With Elliott's involvement, should investors follow suit and pile into Starbucks shares?
Elliott's stake in Starbucks was first reported by The Wall Street Journal, with the newspaper just stating that the hedge fund had taken a "sizable" position in the stock. Depending on the timing of the purchases and how much of the company it owns, it may take some time before Elliott is required to report the size of its stake. If it is under 5% of the company and the purchases were made largely in July, Elliott would not be required to disclose its position until after the close of the third quarter.
Source Fool.com
Starbucks Corp. Stock
With 23 Buy predictions and not a single Sell prediction Starbucks Corp. is an absolute favorite of our community.
With a target price of 98 € there is a positive potential of 43.7% for Starbucks Corp. compared to the current price of 68.2 €.
