Starbucks Corporation (NASDAQ:SBUX) stock is trading higher Wednesday after the company reported a third-quarter revenue beat.
What To Know: The company reported sales of $9.45 billion, beating the consensus estimate of $9.29 billion. In addition, the company reported earnings per share of 50 cents, missing the consensus estimate of 65 cents.
Global comparable store sales declined 2%, dragged down by a 2% drop in transaction volume, partially offset by a 1% increase in average ticket. In North America, comparable sales also fell 2%, while U.S. transactions slipped 4%.
International sales were flat, but China delivered a 2% gain in comparable sales as a 6% jump in transaction volume offset a 4% dip in average ticket. Starbucks opened 308 net new stores during the quarter, bringing its global footprint to 41,097.
"We've fixed a lot and done the hard work on the hard things to build a strong operating foundation, and based on my experience of turnarounds, we are ahead of schedule," said Brian Niccol, chairman and CEO of Starbucks.
"In 2026, we'll unleash a wave of innovation that fuels growth, elevates customer service and ensures everyone experiences the very best of Starbucks."
Analyst Changes: Following the earnings report, multiple analysts issued price target adjustments.
- Barclays analyst Jeffrey Bernstein maintained an Overweight rating on Starbucks and raised the price target from $106 to $115.
- Morgan Stanley analyst Brian Harbour maintained an Overweight rating on Starbucks and raised the price target from $95 to $103.
- Citigroup analyst Jon Tower maintained a Neutral rating on Starbucks and lowered the price target from $100 to $99.
- UBS analyst Dennis Geiger maintained a Neutral rating on Starbucks and raised the price target from $95 to $100.
- RBC Capital analyst Logan Reich maintained an Outperform rating on Starbucks and raised the price target from $100 to $110.
The consensus price target for Starbucks is $100.70, with the lowest price target at $76.00 and the highest price target at $125.00.
See Also: This IonQ Analyst Begins Coverage On A Bullish Note; Here Are Top 5 Initiations For Wednesday
SBUX Price Action: At the time of writing, Starbucks stars are trading 0.33% higher at $93.20, according to data from Benzinga Pro.
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