Starbucks (NASDAQ:SBUX) Now Covered by Wolfe Research

Key Points

• Wolfe Research initiated coverage of Starbucks and assigned a "peer perform" rating on the stock.
• Analyst sentiment is mixed but tilted positive: 17 Buys, 11 Holds and 2 Sells, giving an average rating of "Moderate Buy" and an average price target of $104.22.
• In the most recent quarter Starbucks missed EPS ($0.56 vs. $0.59) but beat revenue ($9.92B vs. $9.62B), set FY2026 guidance of 2.150–2.400 EPS, and its stock was trading near $97.42 (down ~1.6%).

Equities research analysts at Wolfe Research initiated coverage on shares of Starbucks (NASDAQ:SBUX - Get Free Report) in a report released on Monday. The brokerage set a "peer perform" rating on the coffee company's stock.

Several other brokerages have also commented on SBUX. Weiss Ratings reaffirmed a "hold (c-)" rating on shares of Starbucks in a research note on Monday, December 29th. Deutsche Bank Aktiengesellschaft reissued a "buy" rating and set a $113.00 price objective on shares of Starbucks in a report on Thursday, January 29th. Royal Bank Of Canada restated an "outperform" rating and issued a $105.00 target price on shares of Starbucks in a research note on Thursday, January 29th. BTIG Research reaffirmed a "buy" rating and issued a $105.00 target price on shares of Starbucks in a report on Thursday, January 29th. Finally, Wall Street Zen upgraded shares of Starbucks from a "sell" rating to a "hold" rating in a research report on Saturday, November 22nd. Seventeen investment analysts have rated the stock with a Buy rating, eleven have assigned a Hold rating and two have given a Sell rating to the company. Based on data from MarketBeat.com, Starbucks currently has an average rating of "Moderate Buy" and an average price target of $104.22.

Starbucks Trading Down 1.6%

SBUX traded down $1.57 during midday trading on Monday, reaching $97.42. The company's stock had a trading volume of 1,709,743 shares, compared to its average volume of 9,451,644. The company has a fifty day simple moving average of $93.71 and a 200 day simple moving average of $87.87. The stock has a market cap of $110.99 billion, a P/E ratio of 80.51, a PEG ratio of 2.21 and a beta of 0.93. Starbucks has a twelve month low of $75.50 and a twelve month high of $106.00.

Starbucks (NASDAQ:SBUX - Get Free Report) last posted its quarterly earnings data on Wednesday, January 28th. The coffee company reported $0.56 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.59 by ($0.03). The company had revenue of $9.92 billion for the quarter, compared to the consensus estimate of $9.62 billion. Starbucks had a negative return on equity of 28.66% and a net margin of 3.63%.The business's revenue for the quarter was up 5.5% compared to the same quarter last year. During the same quarter in the previous year, the firm posted $0.69 EPS. Starbucks has set its FY 2026 guidance at 2.150-2.400 EPS. Sell-side analysts expect that Starbucks will post 2.99 earnings per share for the current year.

Institutional Investors Weigh In On Starbucks

A number of institutional investors have recently made changes to their positions in the stock. Norges Bank bought a new position in shares of Starbucks during the fourth quarter worth $1,232,650,000. Capital Research Global Investors increased its position in shares of Starbucks by 11.4% in the 3rd quarter. Capital Research Global Investors now owns 85,460,350 shares of the coffee company's stock valued at $7,229,968,000 after buying an additional 8,774,198 shares in the last quarter. T. Rowe Price Investment Management Inc. increased its position in shares of 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. Capital World Investors raised its stake in 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 buying an additional 7,007,268 shares during the period. Finally, Corient Private Wealth LLC raised its stake in Starbucks by 146.6% during the 2nd quarter. Corient Private Wealth LLC now owns 6,049,192 shares of the coffee company's stock worth $553,201,000 after buying an additional 3,596,014 shares during the period. 72.29% of the stock is owned by institutional investors and hedge funds.

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.

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