Starbucks (NASDAQ:SBUX) Earns Outperform Rating from Royal Bank Of Canada

Starbucks (NASDAQ:SBUX)‘s stock had its “outperform” rating reissued by equities researchers at Royal Bank Of Canada in a research report issued on Thursday,Benzinga reports. They presently have a $105.00 price target on the coffee company’s stock. Royal Bank Of Canada’s price target indicates a potential upside of 14.19% from the stock’s current price.

A number of other research firms have also recently weighed in on SBUX. Sanford C. Bernstein reaffirmed an “outperform” rating on shares of Starbucks in a report on Monday. Susquehanna set a $114.00 price target on shares of Starbucks in a report on Wednesday, January 21st. Evercore ISI reaffirmed an “outperform” rating on shares of Starbucks in a research report on Wednesday. Guggenheim reaffirmed a “buy” rating and set a $90.00 price target on shares of Starbucks in a research report on Monday. Finally, New Street Research set a $90.00 price objective on shares of Starbucks in a research report on Tuesday. Nineteen 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’s stock. According to MarketBeat, Starbucks currently has a consensus rating of “Moderate Buy” and an average price target of $104.74.

Starbucks Stock Performance

Shares of SBUX opened at $91.95 on Thursday. Starbucks has a 52 week low of $75.50 and a 52 week high of $117.46. The firm has a market capitalization of $104.56 billion, a P/E ratio of 75.99, a P/E/G ratio of 1.94 and a beta of 0.97. The company has a 50-day simple moving average of $88.09 and a 200-day simple moving average of $87.16.

Starbucks (NASDAQ:SBUX) last issued its earnings results on Wednesday, January 28th. The coffee company reported $0.56 EPS for the quarter, missing analysts’ consensus estimates of $0.59 by ($0.03). Starbucks had a net margin of 3.63% and a negative return on equity of 28.66%. The firm had revenue of $9.92 billion during the quarter, compared to analyst estimates of $9.62 billion. During the same quarter in the previous year, the company posted $0.69 earnings per share. The business’s revenue for the quarter was up 5.5% compared to the same quarter last year. Starbucks has set its FY 2026 guidance at 2.150-2.400 EPS. As a group, equities analysts forecast that Starbucks will post 2.99 earnings per share for the current year.

Insider Activity

In other Starbucks news, Director Jorgen Vig Knudstorp acquired 11,700 shares of the company’s stock in a transaction that occurred on Monday, November 10th. The stock was acquired at an average price of $85.00 per share, for a total transaction of $994,500.00. Following the acquisition, the director directly owned 53,096 shares in the company, valued at $4,513,160. This represents a 28.26% increase in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available at the SEC website. 0.09% of the stock is owned by corporate insiders.

Institutional Trading of Starbucks

A number of institutional investors and hedge funds have recently added to or reduced their stakes in SBUX. Brighton Jones LLC lifted its stake in shares of Starbucks by 86.5% in the 4th quarter. Brighton Jones LLC now owns 176,722 shares of the coffee company’s stock valued at $16,126,000 after purchasing an additional 81,952 shares during the period. V Square Quantitative Management LLC boosted its holdings in Starbucks by 27.3% during the second quarter. V Square Quantitative Management LLC now owns 2,829 shares of the coffee company’s stock worth $259,000 after purchasing an additional 607 shares during the last quarter. Janney Montgomery Scott LLC boosted its position in Starbucks by 5.2% in the second quarter. Janney Montgomery Scott LLC now owns 252,471 shares of the coffee company’s stock worth $23,134,000 after purchasing an additional 12,377 shares during the last quarter. Union Bancaire Privee UBP SA boosted its stake in Starbucks by 5.5% in the second quarter. Union Bancaire Privee UBP SA now owns 3,375 shares of the coffee company’s stock valued at $309,000 after acquiring an additional 175 shares during the last quarter. Finally, First Pacific Financial lifted its position in shares of Starbucks by 527.4% during the 2nd quarter. First Pacific Financial now owns 4,047 shares of the coffee company’s stock valued at $371,000 after buying an additional 3,402 shares during the last quarter. Institutional investors and hedge funds own 72.29% of the company’s stock.

More Starbucks News

Here are the key news stories impacting Starbucks this week:

• Positive Sentiment: Investor Day and early-operational wins — management showcased the “Back to Starbucks” turnaround (new store designs, AI initiatives, beverage innovation) and reported revenue and comp-sales gains, evidence that traffic and transactions are improving. Starbucks Gets a Jolt After Earnings, But Will the Buzz Last?
• Positive Sentiment: Rewards relaunch to drive frequency — Starbucks announced a three-tiered Rewards program (Green, Gold, Reserve) to encourage repeat visits and personalization, which could lift transactions if adoption matches management’s plan. Starbucks Unveils Reimagined Loyalty Program to Deliver More Meaningful Value, Personalization and Engagement for Members
• Neutral Sentiment: CEO tone and public comments — Brian Niccol signaled willingness to negotiate with union organizers and discussed security and stock‑price questions in media appearances; these comments reduce headline uncertainty but leave execution and labor outcomes unresolved. Starbucks CEO says he is willing to negotiate with unionizers
• Neutral Sentiment: Growth vs. guidance — management updated long‑term targets (FY2028 EPS range) and reiterated growth levers; the guidance shows progress but contains mixed signals versus consensus, so investors are awaiting concrete margin improvements and forward execution. Starbucks CEO on Growth Plans, Pricing and China Market
• Negative Sentiment: Mixed earnings: EPS miss and margin pressure — Starbucks beat on revenue but missed EPS, and management warned margins remain pressured (higher input/labor costs). That combination helped pull back earlier post‑earnings gains and weighs on near‑term stock performance. Why Starbucks (SBUX) Shares Are Down After A Mixed Earnings Report
• Negative Sentiment: Governance/PR headwinds — a shareholder‑rights law firm announced an investigation into officers/directors, and the company removed a cap on the CEO’s private jet use citing security, both creating short‑term reputational and governance risk for the stock. Halper Sadeh LLC Encourages Starbucks Corporation Shareholders To Contact The Firm To Discuss Their Rights Starbucks removes cap on CEO’s use of company’s private jet, citing security concerns

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.