UBS Group Issues Positive Forecast for Starbucks (NASDAQ:SBUX) Stock Price

Starbucks (NASDAQ:SBUX) had its target price raised by investment analysts at UBS Group from $105.00 to $112.00 in a research note issued on Thursday. The firm presently has a “neutral” rating on the coffee company’s stock. UBS Group’s price target would indicate a potential upside of 7.55% from the company’s current price.

Other research analysts also recently issued reports about the company. Deutsche Bank Aktiengesellschaft reaffirmed a “buy” rating on shares of Starbucks in a report on Wednesday, April 29th. Piper Sandler restated an “overweight” rating and issued a $110.00 price target on shares of Starbucks in a research note on Wednesday, April 29th. Wells Fargo & Company reaffirmed an “overweight” rating and issued a $120.00 price objective (up from $115.00) on shares of Starbucks in a report on Thursday, July 16th. Wedbush started coverage on Starbucks in a report on Thursday, May 14th. They issued an “outperform” rating on the stock. Finally, Stephens began coverage on shares of Starbucks in a research report on Thursday, May 14th. They set an “overweight” rating for the company. Nineteen research analysts have rated the stock with a Buy rating, ten have assigned a Hold rating and two have given a Sell rating to the stock. According to data from MarketBeat, the company currently has an average rating of “Moderate Buy” and a consensus target price of $110.58.

Starbucks Stock Performance

Shares of SBUX stock opened at $104.14 on Thursday. The company has a market capitalization of $118.69 billion, a price-to-earnings ratio of 78.89, a price-to-earnings-growth ratio of 2.05 and a beta of 0.98. Starbucks has a one year low of $77.99 and a one year high of $109.23. The company’s 50-day moving average is $102.15 and its 200 day moving average is $98.92.

Starbucks (NASDAQ:SBUX) last posted its quarterly earnings results on Wednesday, July 29th. The coffee company reported $0.85 EPS for the quarter, beating analysts’ consensus estimates of $0.66 by $0.19. The firm had revenue of $9.32 billion for the quarter, compared to analysts’ expectations of $9.17 billion. Starbucks had a net margin of 3.89% and a negative return on equity of 29.24%. The business’s revenue for the quarter was down 1.4% on a year-over-year basis. During the same quarter in the prior year, the company posted $0.50 earnings per share. Starbucks has set its FY 2026 guidance at 2.550-2.650 EPS. As a group, research analysts predict that Starbucks will post 2.41 earnings per share for the current fiscal year.

Insider Buying and Selling at Starbucks

In other Starbucks news, CEO Brady Brewer sold 2,229 shares of the firm’s stock in a transaction that occurred on Monday, July 6th. The shares were sold at an average price of $104.00, for a total transaction of $231,816.00. Following the sale, the chief executive officer owned 77,364 shares in the company, valued at approximately $8,045,856. This trade represents a 2.80% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last 90 days, insiders sold 6,687 shares of company stock worth $679,033. 0.03% of the stock is owned by insiders.

Institutional Trading of Starbucks

Institutional investors and hedge funds have recently modified their holdings of the company. Norges Bank bought a new position in Starbucks in the 4th quarter worth $1,232,650,000. T. Rowe Price Investment Management Inc. lifted its position in shares of Starbucks by 65.9% in the fourth quarter. T. Rowe Price Investment Management Inc. now owns 19,447,854 shares of the coffee company’s stock valued at $1,637,704,000 after acquiring an additional 7,725,547 shares in the last quarter. Capital World Investors boosted its stake in shares of Starbucks by 9.0% in the fourth quarter. Capital World Investors now owns 84,727,405 shares of the coffee company’s stock worth $7,135,228,000 after acquiring an additional 7,007,268 shares during the period. Corient Private Wealth LLC grew its position in shares of Starbucks by 146.6% during the second quarter. Corient Private Wealth LLC now owns 6,049,192 shares of the coffee company’s stock worth $553,201,000 after purchasing an additional 3,596,014 shares in the last quarter. Finally, Assenagon Asset Management S.A. raised its stake in Starbucks by 483.8% during the 2nd quarter. Assenagon Asset Management S.A. now owns 3,182,890 shares of the coffee company’s stock valued at $325,260,000 after purchasing an additional 2,637,715 shares during the period. 72.29% of the stock is currently owned by institutional investors.

Key Stories Impacting Starbucks

Here are the key news stories impacting Starbucks this week:

• Positive Sentiment: Strong customer demand: Global comparable-store sales rose 7.9%, exceeding the 5.7% consensus estimate, as comparable transactions increased 4.2%. North American revenue climbed 7% to approximately $7.4 billion. Faster service, new products and expanded food offerings appear to be bringing customers back. Starbucks Reports Q3 Fiscal Year 2026 Results
• Positive Sentiment: Earnings beat and raised guidance: Adjusted earnings were $0.85 per share versus the $0.66 analyst consensus, while revenue of $9.32 billion exceeded expectations of roughly $9.17 billion. Starbucks raised fiscal 2026 adjusted EPS guidance to $2.55–$2.65 from $2.25–$2.45 and now expects full-year global comparable sales growth of 6%. The guidance increase relies primarily on higher customer traffic rather than price increases. Starbucks raises full-year forecasts again
• Positive Sentiment: China operations less risky: The conversion of Starbucks’ China business into a licensed joint venture reduced reported revenue, which declined 1.4% year over year, but the transaction may reduce execution and capital risks in the market. International margins also improved. Starbucks: Upgrading to Hold
• Neutral Sentiment: Analyst views remain generally favorable: Analysts’ consensus rating is “Moderate Buy,” although at least one research report upgraded the stock only to “Hold,” reflecting a more balanced risk-reward view after its strong run.
• Negative Sentiment: Valuation and execution risks: With shares near their 52-week high and trading at an elevated earnings multiple, investors may demand continued improvement. Starbucks is still working to ensure food availability and maintain faster service, while weaker dividend coverage and recent insider selling add cautionary signals.

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.