UBS analyst Dennis Geiger maintains $Starbucks (SBUX.US)$ with a hold rating, and adjusts the target price from $85 to $98.
According to TipRanks data, the analyst has a success rate of 61.8% and a total average return of 6.3% over the past year.
Furthermore, according to the comprehensive report, the opinions of $Starbucks (SBUX.US)$'s main analysts recently are as follows:
The firm's assessment following the earnings report recognized numerous initiatives aimed at fortifying the brand both in the short and long term. Although there is no immediate remedy, the perspective for large-cap, growth investors is considered to be established. The sentiment suggests that the shares are anticipated to advance prior to the company's recovery.
Starbucks' strategy is beginning to show its shape and aligns with the general expectations set for the quarter. However, without a significant positive shift in costs in the upcoming quarters, it suggests a substantial earnings adjustment by fiscal 2025, making the stock's current valuation less persuasive.
The valuation of Starbucks now adequately captures the challenges linked to short-term visibility of both revenue and earnings while balancing the trust in management's capacity to achieve sustained growth in operating margins and earnings per share annually, in alignment with historical trends.
Note:
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Success rate is the number of the analyst's successful ratings, divided by his/her total number of ratings over the past year. A successful rating is one based on if TipRanks' virtual portfolio earned a positive return from the stock. Total average return is the average rate of return that the TipRanks' virtual portfolio has earned over the past year. These portfolios are established based on the analyst's preliminary rating and are adjusted according to the changes in the rating.
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