Zacks Research Has Negative Outlook of Starbucks Q2 Earnings

Starbucks Co. (NASDAQ:SBUX) – Analysts at Zacks Research dropped their Q2 2025 earnings per share estimates for shares of Starbucks in a research note issued to investors on Tuesday, February 18th. Zacks Research analyst H. Ray now anticipates that the coffee company will post earnings of $0.53 per share for the quarter, down from their previous estimate of $0.61. The consensus estimate for Starbucks’ current full-year earnings is $3.00 per share. Zacks Research also issued estimates for Starbucks’ Q3 2025 earnings at $0.87 EPS, Q4 2025 earnings at $0.88 EPS, FY2025 earnings at $2.97 EPS, Q2 2026 earnings at $0.68 EPS, Q3 2026 earnings at $0.93 EPS, Q4 2026 earnings at $1.06 EPS, FY2026 earnings at $3.50 EPS and FY2027 earnings at $4.37 EPS.

Starbucks (NASDAQ:SBUX) last released its quarterly earnings results on Tuesday, January 28th. The coffee company reported $0.69 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.68 by $0.01. Starbucks had a negative return on equity of 44.97% and a net margin of 9.73%. During the same period in the prior year, the firm posted $0.90 earnings per share.

Several other analysts also recently issued reports on SBUX. Stifel Nicolaus boosted their price target on Starbucks from $110.00 to $114.00 and gave the company a “buy” rating in a research note on Monday, January 27th. TD Cowen reaffirmed a “buy” rating and issued a $110.00 price objective on shares of Starbucks in a report on Monday, November 11th. Wells Fargo & Company lifted their price objective on Starbucks from $110.00 to $115.00 and gave the company an “overweight” rating in a report on Tuesday, November 26th. Redburn Atlantic reaffirmed a “sell” rating and issued a $77.00 price objective (down from $84.00) on shares of Starbucks in a report on Wednesday, November 13th. Finally, Royal Bank of Canada reaffirmed an “outperform” rating and issued a $115.00 price objective on shares of Starbucks in a report on Friday, January 24th. Three equities research analysts have rated the stock with a sell rating, six have given a hold rating, seventeen have issued a buy rating and one has assigned a strong buy rating to the company. According to data from MarketBeat.com, the stock has a consensus rating of “Moderate Buy” and an average price target of $105.33.

Starbucks Price Performance

SBUX opened at $112.49 on Thursday. The business has a fifty day simple moving average of $99.13 and a 200 day simple moving average of $96.77. The company has a market capitalization of $127.78 billion, a PE ratio of 36.29, a price-to-earnings-growth ratio of 3.56 and a beta of 1.00. Starbucks has a 1 year low of $71.55 and a 1 year high of $113.47.

Institutional Investors Weigh In On Starbucks

A number of large investors have recently added to or reduced their stakes in the company. Financial Life Planners purchased a new position in shares of Starbucks in the fourth quarter worth about $25,000. University of Texas Texas AM Investment Management Co. bought a new stake in Starbucks during the 4th quarter valued at approximately $25,000. Graney & King LLC bought a new stake in Starbucks during the 4th quarter valued at approximately $26,000. Collier Financial bought a new stake in Starbucks during the 4th quarter valued at approximately $27,000. Finally, Runnymede Capital Advisors Inc. bought a new stake in shares of Starbucks in the 4th quarter worth approximately $27,000. Hedge funds and other institutional investors own 72.29% of the company’s stock.

Starbucks Company Profile

Starbucks Corporation, together with its subsidiaries, operates as a roaster, marketer, and retailer of coffee worldwide. The company operates through three segments: North America, International, and Channel Development. Its stores offer coffee and tea beverages, roasted whole beans and ground coffees, single serve products, and ready-to-drink beverages; and various food products, such as pastries, breakfast sandwiches, and lunch items.