On Oct 31, major Wall Street analysts update their ratings for $Starbucks (SBUX.US)$, with price targets ranging from $99 to $115.
Morgan Stanley analyst Brian Harbour maintains with a buy rating, and maintains the target price at $115.
J.P. Morgan analyst John Ivankoe maintains with a buy rating, and maintains the target price at $105.
Citi analyst Jon Tower maintains with a hold rating, and maintains the target price at $99.
Barclays analyst Jeff Bernstein maintains with a buy rating, and adjusts the target price from $110 to $108.
Wells Fargo analyst Zachary Fadem maintains with a buy rating, and maintains the target price at $105.
Furthermore, according to the comprehensive report, the opinions of $Starbucks (SBUX.US)$'s main analysts recently are as follows:
Following the earnings report, it's noted that Starbucks is undertaking numerous initiatives aimed at bolstering the brand over both short and long terms. Although these strategies are not expected to produce immediate results, they lay out a clear vision that is anticipated to attract large-cap, growth investors. The sentiment suggests that these shares are poised for an upswing in advance of the company's anticipated recovery.
Starbucks' strategic initiatives are beginning to crystallize, aligning with anticipations set prior to the quarter. Nonetheless, unless there is a significant positive shift in costs in future quarters, it seems likely there will be a considerable adjustment to earnings in fiscal 2025, casting doubts on the attractiveness of the stock's current valuation.
The firm's perspective is that Starbucks' current valuation accurately encompasses the growing challenges related to near-term revenue and profit projections. This is balanced by a certain degree of assurance in the management's capacity for delivering sustained yearly growth in operating margins and earnings per share, that align with the company's historical growth patterns.
The preliminary announcement of the fiscal Q4 outcomes last week shifted the emphasis during the earnings call towards the company's future prospects. While the upcoming quarters are anticipated to pose challenges, there is an expectation that the latter half of 2025 will provide substantial signs that the strategic plan is effective. Observations suggest optimism regarding the comprehensive nature of the new CEO's plan and its potential to significantly enhance the customer experience and the company's overall direction.
Here are the latest investment ratings and price targets for $Starbucks (SBUX.US)$ from 8 analysts:
Note:
TipRanks, an independent third party, provides analysis data from financial analysts and calculates the Average Returns and Success Rates of the analysts' recommendations. The information presented is not an investment recommendation and is intended for informational purposes only.
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.
TipRanks provides a ranking of each analyst up to 5 stars, which is representative of all recommendations from the analyst. An analyst's past performance is evaluated on a scale of 1 to 5 stars, with more stars indicating better performance. The star level is determined by his/her total success rate and average return.
