DailyIQ
Last updated 30 minutes ago

SBUX·Starbucks Corporation

$.
-. (-.%)
High
$105.77
Open
$105.17
Market Cap
119.26B
52W High
$109.23
Low
$103.92
P. Close
$104.81
P/E
79.73
52W Low
$77.99
Fwd P/E
34.87
DailyIQ Est.
$107.53
Technical Score (1D)
68
BUY
News Sentiment
67
BULLISH
Starbucks reversed its sales decline, reporting positive comparable sales after several quarters of downturns, driven by leadership changes and operational improvements such as better staffing and faster service. The rebound in morning traffic and restored same‑store sales suggest the company may sustain growth in the second half, which could support its guidance for the next 1–10 trading days. Fiscal Q3 North American same‑store sales guidance is projected to align with consensus, indicating modest growth and no upside surprises, so traders should watch the actual release for any deviation that could shift valuation. A federal judge dismissed a shareholder lawsuit alleging false sales statements, removing a potential liability that could have weighed on investor confidence, so monitoring future litigation or earnings guidance remains prudent. Wells Fargo and Morgan Stanley have both upgraded Starbucks to overweight and raised price targets to $120 and $111 respectively, reflecting confidence in store expansion and digital sales growth, so the next earnings call will be key to confirm these expectations. The company confirmed a quarterly cash dividend of $0.62 and announced a $400 million annual software cost reduction plan, which should improve cash flow, so watch the earnings release for execution of the savings program. Starbucks also introduced a new bonus program and weekly pay overhaul that could raise hourly wages by 5%–8%, potentially increasing labor costs, so traders should monitor margin performance in the upcoming results. The earnings conference call is scheduled for July 29 post‑market, with a replay available until September 11, so the market will be focused on the Q3 FY2026 results and any guidance revisions. In addition, Jim Cramer highlighted ongoing turnaround and potential catalysts such as new store openings and menu innovation, so keep an eye on any announcements of expansion plans or product launches that could influence short‑term sentiment.
Earnings Summary
Starbucks Corporation, a global coffee industry leader, operates as a roaster, marketer, and retailer of premium coffee and related products, with a diversified footprint across North America, International, and Channel Development segments. The company’s core business centers on company‑operated and licensed stores, offering a broad beverage and food menu that supports its premium brand image. In the most recent four quarters, Starbucks’ revenue grew from $9.40 billion in Q4 2024 to $9.57 billion in Q3 2025, a 1.9 % year‑over‑year increase, while earnings per share fell from $0.69 in Q4 2024 to $0.52 in Q3 2025, reflecting a decline in profitability despite higher top‑line growth. EPS beat estimates only in Q4 2024 (0.69 vs 0.667) and missed in the following three quarters (Q1 2025 0.41 vs 0.484, Q2 2025 0.50 vs 0.645, Q3 2025 0.52 vs 0.556). The company’s revenue trend shows a rebound after a dip in Q1 2025, yet EPS has not recovered, indicating margin pressure. Historically, Starbucks has delivered steady revenue growth but has struggled to maintain EPS momentum, with recent quarters dominated by misses against analyst expectations. Recent news highlights a reversal of sales decline, driven by leadership changes and operational improvements such as better staffing and faster service, which could lift same‑store sales momentum in the second half. The company’s announced $400 million annual software cost‑reduction plan and new worker bonus program are expected to improve cash flow and employee retention, potentially supporting future earnings. Investors should watch the fiscal Q3 2026 earnings release for guidance on same‑store sales, the impact of the software savings initiative, and labor cost dynamics, as these factors will be key to assessing whether operational gains translate into improved profitability.

EPS

EstBeatMiss
$0.37$0.46$0.55$0.64$0.73Q4'24Q1'25Q2'25Q3'25Q2'26Q1'26
QtrEstActual+/−
Q1'26$0.60 - -
Q2'26$0.63$0.50-21.1%
Q3'25$0.56$0.52-6.5%
Q2'25$0.65$0.50-22.5%
Q1'25$0.48$0.41-15.2%
Q4'24$0.67$0.69+3.5%

Revenue

EstBeatMiss
$8.6B$8.9B$9.3B$9.6B$10.0BQ4'24Q1'25Q2'25Q3'25Q2'26Q1'26
QtrEstActual+/−
Q1'26$9.8B - -
Q2'26$9.0B$9.5B+5.7%
Q3'25 - $9.6B -
Q2'25 - $9.5B -
Q1'25 - $8.8B -
Q4'24 - $9.4B -

Market Data

SBUX Stock Snapshot

SBUX is currently trading at $104.49, giving Starbucks Corporation a market cap of 119.26B and a P/E ratio of 79.7. Today's range spans $103.92–$105.77, with shares opening at $105.17 and moving down $0.32 (0.3%) from the prior close. DailyIQ's technical score sits at 68/100 (BUY) with a news sentiment reading of 67/100.

Over the past year SBUX has traded between $77.99 and $109.23 - the current price is +34.0% off the 52-week low and -4.3% from the high. 47 analysts cover the stock with a Hold consensus and a mean 12-month target of $106.45 (range $81.00–$137.00), implying upside of +1.9%.

Algorithmic and quant fund activity in SBUX tends to intensify when the technical score crosses the 68/100 threshold - systematic models in large-cap Consumer Cyclical names trigger entry signals at these levels, adding momentum to what may have started as fundamental-driven buying. Signal: BUY. Sentiment: bullish (67/100). Price: $104.49 (in the upper portion of its 52-week range). The current P/E ratio stands at 79.7. Annual range: $77.99–$109.23.

What makes SBUX's BUY setup (68/100) particularly actionable at 119.26B in Consumer Cyclical capitalization is the scale-to-move ratio: large enough to feature on institutional mandates but not so large that the percentage upside is already compressed by index inertia. At $104.49 (in the upper portion of its 52-week range in $77.99–$109.23), with sentiment running bullish at 67/100, the setup rewards conviction-sized positioning more than it does speculative small bets.