Prediction: This Iconic Stock Will Slash Its Dividend in 2026

2026-02-10 20:45:00 ET

For 15 years, Starbucks ' (NASDAQ: SBUX) dividend growth couldn't be stopped. In 2010, in the shadow of the Great Recession, it issued its first dividend of $0.05 per share, which doubled less than three years later. Up through 2025, payouts grew by 1,140%, and anyone who had invested $1,000 on the eve of its first dividend in April 2010 would now be enjoying a yield on cost of 28% each year.

That's great income, but alas, this dividend growth is very likely in the past. As a shareholder, it pains me to say this, but I believe Starbucks' dividend growth will come to an abrupt halt later this year, as the company typically announces dividend hikes in October.

Here are the signs.

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