Starbucks’ (SBUX) Outperform Rating Reiterated at Royal Bank Of Canada

Starbucks (NASDAQ:SBUX)‘s stock had its “outperform” rating reaffirmed by equities researchers at Royal Bank Of Canada in a note issued to investors on Thursday,Benzinga reports. They presently have a $105.00 target price on the coffee company’s stock. Royal Bank Of Canada’s price target indicates a potential upside of 11.87% from the stock’s previous close.

A number of other research firms also recently weighed in on SBUX. Sanford C. Bernstein reissued an “outperform” rating on shares of Starbucks in a report on Monday. William Blair upgraded shares of Starbucks from a “market perform” rating to an “outperform” rating in a research note on Thursday, January 22nd. Wall Street Zen upgraded shares of Starbucks from a “sell” rating to a “hold” rating in a research report on Saturday, November 22nd. Barclays reiterated an “overweight” rating and issued a $110.00 price target (up from $95.00) on shares of Starbucks in a research report on Wednesday, January 7th. Finally, Deutsche Bank Aktiengesellschaft reissued a “buy” rating and set a $113.00 price objective on shares of Starbucks in a research report on Thursday. Nineteen equities research analysts have rated the stock with a Buy rating, seven have assigned a Hold rating and two have assigned a Sell rating to the company. According to data from MarketBeat, the stock currently has a consensus rating of “Moderate Buy” and a consensus price target of $104.04.

Starbucks Stock Down 1.4%

SBUX traded down $1.30 during midday trading on Thursday, hitting $93.86. 6,951,253 shares of the company traded hands, compared to its average volume of 11,437,681. The company’s 50-day moving average is $87.73 and its 200 day moving average is $87.12. The firm has a market capitalization of $106.72 billion, a PE ratio of 57.52, a price-to-earnings-growth ratio of 1.94 and a beta of 0.97. Starbucks has a 52 week low of $75.50 and a 52 week high of $117.46.

Starbucks (NASDAQ:SBUX) last issued its earnings results on Wednesday, January 28th. The coffee company reported $0.56 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.59 by ($0.03). The company had revenue of $9.92 billion during the quarter, compared to analysts’ expectations of $9.62 billion. Starbucks had a negative return on equity of 31.32% and a net margin of 4.99%.The company’s revenue for the quarter was up 5.5% compared to the same quarter last year. During the same quarter in the prior year, the business posted $0.69 EPS. Starbucks has set its FY 2026 guidance at 2.150-2.400 EPS. On average, sell-side analysts predict that Starbucks will post 2.99 earnings per share for the current fiscal year.

Insider Transactions at Starbucks

In other Starbucks news, Director Jorgen Vig Knudstorp purchased 11,700 shares of the stock in a transaction that occurred on Monday, November 10th. The shares were bought at an average cost of $85.00 per share, with a total value of $994,500.00. Following the acquisition, the director owned 53,096 shares in the company, valued at approximately $4,513,160. This trade represents a 28.26% increase in their ownership of the stock. The purchase was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. Company insiders own 0.09% of the company’s stock.

Hedge Funds Weigh In On Starbucks

Hedge funds have recently modified their holdings of the stock. PUREfi Wealth LLC acquired a new stake in shares of Starbucks during the second quarter worth about $286,000. Narwhal Capital Management lifted its position in Starbucks by 39.6% during the 2nd quarter. Narwhal Capital Management now owns 32,738 shares of the coffee company’s stock worth $3,000,000 after acquiring an additional 9,282 shares during the period. Nordea Investment Management AB grew its stake in shares of Starbucks by 3.2% in the 3rd quarter. Nordea Investment Management AB now owns 433,112 shares of the coffee company’s stock valued at $36,576,000 after purchasing an additional 13,262 shares during the last quarter. Morningstar Investment Management LLC acquired a new position in shares of Starbucks in the second quarter valued at approximately $653,000. Finally, Asset Management One Co. Ltd. raised its stake in shares of Starbucks by 3.1% during the third quarter. Asset Management One Co. Ltd. now owns 548,768 shares of the coffee company’s stock worth $46,426,000 after purchasing an additional 16,428 shares during the last quarter. Hedge funds and other institutional investors own 72.29% of the company’s stock.

More Starbucks News

Here are the key news stories impacting Starbucks this week:

• Positive Sentiment: Revenue and traffic momentum — Starbucks reported revenue of $9.92B and its first U.S. comparable-transaction growth in two years, signaling the “Back to Starbucks” turnaround is gaining traction; that beat helped lift the stock after the print. Starbucks Gets a Jolt After Earnings, But Will the Buzz Last?
• Positive Sentiment: New loyalty program — Starbucks unveiled a tiered Starbucks Rewards rollout (Green/Gold/Reserve) to launch March 10, intended to drive frequency and personalization — a structural revenue-growth lever. Starbucks Unveils Reimagined Loyalty Program
• Positive Sentiment: Investor Day execution — management (COO Mike Grams, CEO Brian Niccol) presented store redesigns and digital/operational changes aimed at sustaining traffic and ticket gains, reinforcing the narrative that the turnaround is progressing. Starbucks says it has cracked its comeback
• Neutral Sentiment: Analyst activity mixed — some firms (BTIG) reiterated bullish targets while others (UBS, Zacks) are cautious or neutral, reflecting debate over whether upside in comps will translate to margin/cash‑flow recovery. BTIG reaffirmed buy / price target
• Neutral Sentiment: Consumer demand comment — CEO Niccol said observed in-store behavior (across cohorts) looks stronger than headline consumer-confidence metrics, which supports the case for continued traffic resilience. Starbucks CEO: Consumer confidence isn’t matching the behavior we’re seeing
• Negative Sentiment: EPS miss & margin pressure — EPS of $0.56 missed estimates and management flagged continued margin headwinds (higher input/labor costs), which tempers enthusiasm despite revenue gains and keeps near-term profitability uncertain. Starbucks (SBUX) Misses Q1 Earnings Estimates
• Negative Sentiment: Governance & legal distractions — shareholder counsel has opened an investigation into directors and a securities class action exists; separately, lifting the cap on CEO private-jet use drew negative headlines — both increase reputational/governance risk. Johnson Fistel legal investigation Starbucks removes cap on CEO’s jet use

Starbucks Company Profile

Starbucks Corporation is a global coffeehouse chain and roaster that operates, licenses and franchises coffee shops and related retail businesses. Founded in Seattle, Washington in 1971 by Jerry Baldwin, Zev Siegl and Gordon Bowker, the company grew from a single store focused on whole-bean coffee and equipment into a broad consumer-facing brand. Howard Schultz, who joined the company later and served in senior leadership roles, is widely credited with transforming Starbucks into a mass-market specialty coffee retailer and expanding its footprint internationally.

Starbucks’ core activities center on the retail sale of hot and cold specialty beverages, whole-bean and packaged coffees, teas and ready-to-drink products, along with complementary food items and merchandise such as mugs and brewing equipment.