Starbucks (NASDAQ:SBUX) Price Target Raised to $110.00

Starbucks (NASDAQ:SBUX) had its price target boosted by Morgan Stanley from $105.00 to $110.00 in a research report report published on Wednesday, Marketbeat.com reports. They currently have an overweight rating on the coffee company’s stock.

Several other equities analysts have also recently issued reports on the company. Zacks Research upgraded Starbucks from a “strong sell” rating to a “hold” rating in a research note on Tuesday, January 27th. Dbs Bank upgraded Starbucks from a “strong sell” rating to a “moderate sell” rating in a research note on Friday, March 20th. Citizens Jmp initiated coverage on Starbucks in a research note on Monday, March 30th. They issued an “underperform” rating and a $84.00 price objective for the company. JPMorgan Chase & Co. lifted their price objective on Starbucks from $95.00 to $100.00 and gave the company an “overweight” rating in a research note on Friday, April 24th. Finally, Guggenheim reiterated a “neutral” rating and issued a $97.00 price objective (up from $95.00) on shares of Starbucks in a research note on Wednesday. Sixteen investment analysts have rated the stock with a Buy rating, thirteen have issued a Hold rating and one has given a Sell rating to the company. According to data from MarketBeat.com, Starbucks has a consensus rating of “Moderate Buy” and an average target price of $106.93.

Starbucks Stock Performance

Shares of SBUX opened at $105.90 on Wednesday. The stock has a 50-day simple moving average of $96.53 and a 200-day simple moving average of $90.95. The stock has a market capitalization of $120.65 billion, a PE ratio of 80.23, a PEG ratio of 2.15 and a beta of 1.02. Starbucks has a 1 year low of $77.99 and a 1 year high of $107.52.

Starbucks (NASDAQ:SBUX) last announced its quarterly earnings data on Tuesday, April 28th. The coffee company reported $0.50 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.44 by $0.06. The business had revenue of $9.53 billion during the quarter, compared to analysts’ expectations of $9.17 billion. Starbucks had a negative return on equity of 29.24% and a net margin of 3.89%.The business’s quarterly revenue was up 8.8% compared to the same quarter last year. During the same quarter last year, the business posted $0.41 EPS. Starbucks has set its FY 2026 guidance at 2.250-2.450 EPS. Analysts predict that Starbucks will post 2.4 EPS for the current year.

Starbucks Announces Dividend

The firm also recently announced a quarterly dividend, which will be paid on Friday, May 29th. Investors 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 yield of 2.3%. Starbucks’s payout ratio is presently 187.88%.

Insider Activity at Starbucks

In other Starbucks news, CEO Brady Brewer sold 588 shares of the business’s stock in a transaction that occurred on Friday, April 17th. The stock was sold at an average price of $100.00, for a total value of $58,800.00. Following the completion of the sale, the chief executive officer owned 83,788 shares in the company, valued at approximately $8,378,800. The trade was a 0.70% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, EVP Sara Kelly sold 2,000 shares of the business’s stock in a transaction that occurred on Wednesday, April 29th. The shares were sold at an average price of $105.00, for a total value of $210,000.00. Following the completion of the sale, the executive vice president owned 57,653 shares of the company’s stock, valued at approximately $6,053,565. This represents a 3.35% decrease in their position. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last 90 days, insiders have sold 8,958 shares of company stock valued at $877,464. 0.03% of the stock is owned by company insiders.

Institutional Investors Weigh In On Starbucks

A number of institutional investors and hedge funds have recently added to or reduced their stakes in SBUX. Nordea Investment Management AB increased its holdings in shares of Starbucks by 3.2% in the third quarter. Nordea Investment Management AB now owns 433,112 shares of the coffee company’s stock valued at $36,576,000 after purchasing an additional 13,262 shares during the period. Providence Capital Advisors LLC acquired a new stake in shares of Starbucks during the third quarter worth $6,099,000. Asset Management One Co. Ltd. grew its position in Starbucks by 3.1% in the 3rd quarter. Asset Management One Co. Ltd. now owns 548,768 shares of the coffee company’s stock valued at $46,426,000 after buying an additional 16,428 shares during the last quarter. Allstate Corp purchased a new position in Starbucks in the 3rd quarter valued at $3,491,000. Finally, Vanguard Group Inc. increased its stake in Starbucks by 0.5% in the 3rd quarter. Vanguard Group Inc. now owns 113,438,902 shares of the coffee company’s stock valued at $9,596,931,000 after buying an additional 577,279 shares during the period. Hedge funds and other institutional investors own 72.29% of the company’s stock.

Key Starbucks News

Here are the key news stories impacting Starbucks this week:

• Positive Sentiment: Q2 beat-and-raise: Starbucks reported stronger-than-expected revenue and EPS and lifted FY26 guidance, with comps recovering — the primary catalyst for the rally. Starbucks Stock Gains as Q2 Earnings Beat Estimates, Revenues Rise Y/Y
• Positive Sentiment: High-profile endorsement: Jim Cramer and other commentators praised the quarter and improving margins, helping investor confidence in a durable turnaround. Jim Cramer Explains Why Improving Margins Will Make Starbucks Stock Cheap
• Positive Sentiment: “Back to Starbucks” investment showing results: the ~$500M program to simplify service, add staff and speed orders is credited with lifting traffic and loyalty engagement. Starbucks Invested $500 Million in a Turnaround and Now Wall Street Is Drinking Up SBUX Stock
• Neutral Sentiment: Execution improvements (shorter lines, faster pours, rewards tweaks) support growth but need sustained roll-out to lift margins meaningfully. Starbucks speeds up wait times with 4-minute lines…
• Neutral Sentiment: Corporate moves (new Nashville hub, footprint/office shifts) are strategic but not material to near-term top-line momentum. Starbucks is heading to Nashville — and it’s part of a bigger fast-food migration south
• Neutral Sentiment: Insider sale disclosed (EVP sold shares under a pre-arranged 10b5-1 plan) — notable but executed under a trading plan, so not an immediate red flag. Sara Kelly Sells 2,000 Shares of Starbucks (NASDAQ:SBUX) Stock
• Negative Sentiment: Margin pressure remains: higher labor and store-investment costs are constraining profit recovery, so the market will watch operating-margin trends closely. Starbucks customers are coming back. Profits haven’t caught up yet.
• Negative Sentiment: Valuation questions after strong run: some analysts warn the stock’s rapid gain may have priced in much of the turnaround, raising downside risk if margins lag. Has Starbucks (SBUX) Run Too Far After Its 32% One Year Share Price Gain?

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.