Starbucks (NASDAQ:SBUX) Price Target Raised to $115.00 at Morgan Stanley

Starbucks (NASDAQ:SBUX) had its price target upped by equities research analysts at Morgan Stanley from $111.00 to $115.00 in a research note issued to investors on Thursday. The firm presently has an “overweight” rating on the coffee company’s stock. Morgan Stanley’s price target would suggest a potential upside of 10.43% from the stock’s current price.

A number of other research analysts have also commented on SBUX. Royal Bank Of Canada lowered shares of Starbucks from a “sector perform” rating to a “positive” rating in a research note on Thursday, May 14th. Guggenheim reiterated a “neutral” rating and issued a $97.00 price target (up from $95.00) on shares of Starbucks in a report on Wednesday, April 29th. The Goldman Sachs Group downgraded Starbucks from a “neutral” rating to a “neutral” rating in a research note on Thursday, May 14th. Evercore reaffirmed an “outperform” rating on shares of Starbucks in a research note on Thursday. Finally, Wedbush assumed coverage on shares of Starbucks in a report on Thursday, May 14th. They set an “outperform” rating on the stock. Nineteen equities research analysts have rated the stock with a Buy rating, ten have given a Hold rating and two have issued a Sell rating to the company’s stock. According to MarketBeat.com, the stock has a consensus rating of “Moderate Buy” and a consensus price target of $110.58.

Starbucks Trading Up 1.0%

SBUX stock opened at $104.14 on Thursday. The business’s fifty day moving average price is $102.15 and its 200 day moving average price is $98.92. Starbucks has a 12-month low of $77.99 and a 12-month high of $109.23. The company has a market capitalization of $118.69 billion, a PE ratio of 78.89, a P/E/G ratio of 2.05 and a beta of 0.98.

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

Insider Buying and Selling

In other Starbucks news, CEO Brady Brewer sold 2,229 shares of the business’s stock in a transaction 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 directly owned 77,364 shares of the company’s stock, valued at $8,045,856. The trade was a 2.80% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold 6,687 shares of company stock worth $679,033 over the last ninety days. 0.03% of the stock is currently owned by corporate insiders.

Institutional Inflows and Outflows

Several hedge funds have recently bought and sold shares of the company. Vanguard Group Inc. increased its holdings in Starbucks by 0.9% in the fourth quarter. Vanguard Group Inc. now owns 114,410,675 shares of the coffee company’s stock worth $9,634,523,000 after buying an additional 971,773 shares during the last quarter. Capital World Investors increased its holdings in shares of Starbucks by 9.0% during the 4th quarter. Capital World Investors now owns 84,727,405 shares of the coffee company’s stock worth $7,135,228,000 after purchasing an additional 7,007,268 shares during the period. State Street Corp grew its holdings in shares of Starbucks by 0.7% during the 4th quarter. State Street Corp now owns 47,869,056 shares of the coffee company’s stock worth $4,031,053,000 after purchasing an additional 327,161 shares in the last quarter. Geode Capital Management LLC increased its stake in Starbucks by 0.9% in the fourth quarter. Geode Capital Management LLC now owns 26,373,084 shares of the coffee company’s stock valued at $2,212,153,000 after acquiring an additional 225,168 shares during the period. Finally, T. Rowe Price Investment Management Inc. boosted its stake in Starbucks by 65.9% in the 4th 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 buying an additional 7,725,547 shares in the last quarter. 72.29% of the stock is owned by institutional investors and hedge funds.

Key Headlines 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.