Starbucks (NASDAQ:SBUX) Updates FY 2026 Earnings Guidance

Key Points

• FY 2026 EPS guidance 2.250–2.450, versus the consensus estimate of 2.290; the company did not provide revenue guidance.
• Starbucks beat the latest quarter with $0.50 EPS (vs. $0.42 est.) and $9.53B revenue (vs. $9.09B est.), and management cited traffic growth that has prompted analysts to raise forecasts on hopes for margin recovery.
• The company declared a quarterly dividend of $0.62 per share (annualized $2.48, 2.5% yield), though the dividend payout ratio is very high at 204.96%.

Starbucks (NASDAQ:SBUX - Get Free Report) updated its FY 2026 earnings guidance on Tuesday. The company provided earnings per share guidance of 2.250-2.450 for the period, compared to the consensus earnings per share estimate of 2.290. The company issued revenue guidance of -.

Starbucks Stock Performance

NASDAQ:SBUX traded down $0.61 during trading on Tuesday, reaching $97.28. The company's stock had a trading volume of 9,433,176 shares, compared to its average volume of 8,616,200. The firm has a market cap of $110.83 billion, a price-to-earnings ratio of 80.40, a price-to-earnings-growth ratio of 2.23 and a beta of 0.95. The firm has a 50 day moving average of $96.11 and a 200-day moving average of $90.61. Starbucks has a 12 month low of $75.50 and a 12 month high of $104.82.

Starbucks (NASDAQ:SBUX - Get Free Report) last announced its quarterly earnings data on Tuesday, April 28th. The coffee company reported $0.50 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $0.42 by $0.08. The firm had revenue of $9.53 billion during the quarter, compared to the consensus estimate of $9.09 billion. Starbucks had a negative return on equity of 28.66% and a net margin of 3.63%.Starbucks has set its FY 2026 guidance at 2.250-2.450 EPS. Equities research analysts forecast that Starbucks will post 2.31 earnings per share for the current fiscal year.

Starbucks Dividend Announcement

The company also recently declared a quarterly dividend, which will be paid on Friday, May 29th. Stockholders of record on Friday, May 15th will be paid a dividend of $0.62 per share. The ex-dividend date is Friday, May 15th. This represents a $2.48 annualized dividend and a dividend yield of 2.5%. Starbucks's dividend payout ratio is presently 204.96%.

Analyst Upgrades and Downgrades

Several research analysts have recently weighed in on SBUX shares. JPMorgan Chase & Co. increased their price target on Starbucks from $95.00 to $100.00 and gave the stock an "overweight" rating in a research note on Friday. William Blair upgraded Starbucks from a "market perform" rating to an "outperform" rating in a research note on Thursday, January 22nd. UBS Group reiterated a "neutral" rating on shares of Starbucks in a research note on Friday, January 30th. Royal Bank Of Canada downgraded Starbucks from an "outperform" rating to a "sector perform" rating and set a $105.00 target price for the company. in a research note on Tuesday, March 17th. Finally, DA Davidson restated a "neutral" rating and issued a $97.00 target price on shares of Starbucks in a research note on Wednesday, April 22nd. Sixteen research analysts have rated the stock with a Buy rating, thirteen have assigned a Hold rating and one has assigned a Sell rating to the company's stock. According to MarketBeat.com, the stock presently has an average rating of "Moderate Buy" and a consensus price target of $104.75.

Insider Activity

In other Starbucks news, EVP Sara Kelly sold 2,500 shares of the firm's stock in a transaction dated Thursday, March 5th. The stock was sold at an average price of $97.12, for a total value of $242,800.00. Following the completion of the transaction, the executive vice president owned 59,609 shares in the company, valued at $5,789,226.08. This trade represents a 4.03% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through this hyperlink. Also, CEO Brady Brewer sold 1,641 shares of the firm's stock in a transaction dated Thursday, March 5th. The stock was sold at an average price of $97.12, for a total value of $159,373.92. Following the completion of the transaction, the chief executive officer owned 86,605 shares of the company's stock, valued at approximately $8,411,077.60. This represents a 1.86% decrease in their position. The SEC filing for this sale provides additional information. In the last 90 days, insiders sold 6,958 shares of company stock valued at $667,464. 0.03% of the stock is owned by corporate insiders.

Key Starbucks News

Here are the key news stories impacting Starbucks this week:

• Positive Sentiment: Turnaround traction: Starbucks' investments in stores and new menu items have produced the chain's first quarter of traffic growth in two years, suggesting the strategy may be working and supporting hopes for improving revenue and eventual margin recovery. Starbucks is about to report earnings. Here's what to expect
• Positive Sentiment: Analysts have revised forecasts higher ahead of the print, with street models expecting the first EPS growth since 2023 and modest revenue gains — a positive catalyst if management confirms margin progress. Starbucks Likely To Report Higher Q2 Earnings; These Most Accurate Analysts Revise Forecasts Ahead Of Earnings Call
• Positive Sentiment: Bullish media attention: high-profile commentary (e.g., Jim Cramer) and premarket strength reflect some investor optimism that Starbucks can “break out” if results show improving margins and traffic. Jim Cramer on Starbucks: “I Think It’s Ready to Break Out”
• Neutral Sentiment: Options and prediction markets imply a sizable post-earnings move (~6–7%), signaling elevated volatility rather than directional bias; traders should expect outsized stock swings around the print. Starbucks Is About to Report Q2 Earnings. Options Traders Expect 6.94% Move in SBUX Stock
• Neutral Sentiment: Corporate restructure: Starbucks’ move to establish a new headquarters in Nashville is a strategic shift that could lower costs long term but is operationally neutral short term. The CFO Playbook for Moving HQs and Unbundling Business Lines
• Negative Sentiment: Margin pressure persists: last quarter Starbucks beat revenue but missed on EPS as turnaround spending weighed on profit — investors will penalize any sign that margin recovery is still distant. Starbucks vs. McDonald’s: One Fast Food Dividend Has Quietly Become a Retirement Staple
• Negative Sentiment: China and JV concerns: reports highlight investor scrutiny of Starbucks’ China strategy after a joint‑venture surge, a potential source of downside if management provides tepid updates. What's Behind The Drop In Starbucks Stock?
• Negative Sentiment: Employee friction over HQ relocation: reporting shows pushback from some staff resisting the Seattle-to-Nashville move, raising the risk of execution costs and short-term disruption. Some Starbucks employees are resisting Seattle-to-Nashville move, report says

Institutional Trading of Starbucks

Several institutional investors and hedge funds have recently modified their holdings of SBUX. Corient Private Wealth LLC raised its holdings in shares of Starbucks by 146.6% in the 2nd quarter. Corient Private Wealth LLC now owns 6,049,192 shares of the coffee company's stock valued at $553,201,000 after acquiring an additional 3,596,014 shares in the last quarter. T. Rowe Price Investment Management Inc. raised its holdings in shares of Starbucks by 18.7% in the 4th quarter. T. Rowe Price Investment Management Inc. now owns 13,909,214 shares of the coffee company's stock valued at $1,171,295,000 after acquiring an additional 2,186,907 shares in the last quarter. Amundi raised its holdings in shares of Starbucks by 57.1% in the 4th quarter. Amundi now owns 4,532,627 shares of the coffee company's stock valued at $381,693,000 after acquiring an additional 1,647,292 shares in the last quarter. Renaissance Technologies LLC purchased a new stake in shares of Starbucks in the 4th quarter valued at about $112,158,000. Finally, California Public Employees Retirement System raised its holdings in shares of Starbucks by 39.2% in the 4th quarter. California Public Employees Retirement System now owns 3,356,091 shares of the coffee company's stock valued at $282,616,000 after acquiring an additional 944,679 shares in the last quarter. Hedge funds and other institutional investors own 72.29% of the company's stock.

About Starbucks

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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