Starbucks (NASDAQ:SBUX) Raised to Moderate Sell at Dbs Bank

Key Points

• Dbs Bank raised its Starbucks rating from a "strong sell" to a "moderate sell," indicating continued caution from that firm despite the change.
• The analyst consensus remains a Moderate Buy (15 Buys, 12 Holds, 1 Sell) with an average price target of $103.81, versus the stock trading around $92.55, reflecting mixed views on valuation and upside.
• Starbucks posted an EPS miss ($0.56 vs. $0.59 expected) while revenue rose to $9.92B, set FY26 EPS guidance of 2.15–2.40, and faces execution risks from a controversial rewards-program overhaul and recent sell-side downgrades.

Starbucks (NASDAQ:SBUX - Get Free Report) was upgraded by Dbs Bank from a "strong sell" rating to a "moderate sell" rating in a note issued to investors on Friday,Zacks.com reports.

A number of other analysts also recently commented on the stock. Barclays set a $116.00 price target on shares of Starbucks and gave the stock an "overweight" rating in a research report on Friday, January 30th. DA Davidson assumed coverage on shares of Starbucks in a research note on Friday, March 6th. They set a "neutral" rating and a $97.00 price objective on the stock. Piper Sandler reissued an "overweight" rating and set a $103.00 target price (up from $100.00) on shares of Starbucks in a report on Friday, January 30th. Guggenheim restated a "neutral" rating and issued a $95.00 target price (up from $90.00) on shares of Starbucks in a research report on Wednesday, March 4th. Finally, Mizuho increased their price target on Starbucks from $86.00 to $95.00 and gave the company a "neutral" rating in a research note on Monday, January 26th. Fifteen analysts have rated the stock with a Buy rating, twelve have issued a Hold rating and one has given a Sell rating to the company. According to MarketBeat.com, Starbucks has a consensus rating of "Moderate Buy" and an average price target of $103.81.

Starbucks Stock Performance

NASDAQ:SBUX opened at $92.55 on Friday. Starbucks has a 1 year low of $75.50 and a 1 year high of $104.82. The stock has a market cap of $105.44 billion, a price-to-earnings ratio of 76.49, a PEG ratio of 2.14 and a beta of 0.93. The business has a fifty day moving average of $96.01 and a 200-day moving average of $88.57.

Starbucks (NASDAQ:SBUX - Get Free Report) last issued its quarterly earnings data on Wednesday, January 28th. The coffee company reported $0.56 earnings per share for the quarter, missing analysts' consensus estimates 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 net margin of 3.63% and a negative return on equity of 28.66%. Starbucks's revenue for the quarter was up 5.5% compared to the same quarter last year. During the same quarter in the prior year, the firm earned $0.69 earnings per share. Starbucks has set its FY 2026 guidance at 2.150-2.400 EPS. On average, equities research analysts predict that Starbucks will post 2.99 EPS for the current year.

Insider Activity at Starbucks

In related news, EVP Sara Kelly sold 2,500 shares of the firm's stock in a transaction that occurred on Thursday, March 5th. The shares were sold at an average price of $97.12, for a total transaction of $242,800.00. Following the completion of the sale, the executive vice president directly owned 59,609 shares in the company, valued at approximately $5,789,226.08. This trade represents a 4.03% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available at the SEC website. Also, CEO Brady Brewer sold 1,641 shares of Starbucks stock in a transaction that occurred on Thursday, March 5th. The stock was sold at an average price of $97.12, for a total transaction of $159,373.92. Following the completion of the transaction, the chief executive officer owned 86,605 shares in the company, valued at approximately $8,411,077.60. This trade represents a 1.86% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold a total of 4,729 shares of company stock worth $460,974 in the last ninety days. Corporate insiders own 0.03% of the company's stock.

Institutional Investors Weigh In On Starbucks

Several large investors have recently modified their holdings of the stock. Osbon Capital Management LLC acquired a new position in shares of Starbucks in the 4th quarter worth $67,000. World Investment Advisors lifted its holdings in shares of Starbucks by 6.9% during the fourth quarter. World Investment Advisors now owns 86,981 shares of the coffee company's stock valued at $7,325,000 after purchasing an additional 5,635 shares during the last quarter. Meadowbrook Advisors Group LLC purchased a new stake in shares of Starbucks during the fourth quarter valued at $368,000. Green Ridge Wealth Planning LLC acquired a new position in shares of Starbucks in the 4th quarter valued at $259,000. Finally, Audent Global Asset Management LLC increased its stake in Starbucks by 89.6% in the 4th quarter. Audent Global Asset Management LLC now owns 9,330 shares of the coffee company's stock worth $786,000 after purchasing an additional 4,408 shares in the last quarter. 72.29% of the stock is owned by institutional investors.

Key Starbucks News

Here are the key news stories impacting Starbucks this week:

• Positive Sentiment: Company plans to open 600–650 new stores in FY26, which supports revenue growth and global expansion if execution holds; this is a potential medium-term tailwind. Starbucks Targets 600-650 New Stores in FY26: Is Execution the Key?
• Neutral Sentiment: Analyses note the company’s investment story is shifting as turnaround hopes confront valuation questions — useful context for medium/long-term positioning but not an immediate catalyst. How The Starbucks (SBUX) Investment Story Is Shifting As Turnaround Hopes Meet Valuation Questions
• Neutral Sentiment: Industry reference: Dutch Bros’ loyalty growth highlights the benefits of engagement-driven sales — a reminder that loyalty execution matters across the category. Dutch Bros Loyalty Hits 15M Members: Is Engagement Driving Sales?
• Negative Sentiment: RBC Capital downgraded SBUX, putting near-term pressure on the stock and signaling concerns from a major sell-side firm. RBC Capital downgrades Starbucks (SBUX)
• Negative Sentiment: Customer backlash following the March rewards-program overhaul (three-tier system) risks lower loyalty and transaction frequency if dissatisfaction persists. Starbucks Rewards Backlash Highlights Retail’s Shift Away From Points-Based Loyalty
• Negative Sentiment: Brand and design changes may not be winning back younger customers as intended, raising execution and brand-relevance risks. Starbucks’ Redesigns May Not Pull Youth Market, Starbucks Stock NASDAQ: SBUX Drops
• Negative Sentiment: Recent market reaction has been negative (shares down), reflecting the combination of the above headlines plus lingering concerns from the company’s recent EPS miss and high valuation metrics. Starbucks (SBUX) Suffers a Larger Drop Than the General Market: Key Insights

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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