Starbucks: Barclays maintains Overweight, PT down to $106 from $108.

Starbucks: Barclays maintains Overweight, PT down to $106 from $108.

In a significant update, Barclays has revised its rating for Starbucks (SBUX) to "Overweight" and lowered its price target to $106 from the previous $108. This adjustment comes amid mixed market conditions and the company's recent financial performance.

Starbucks closed at $92.48 in the latest trading session, marking a -1.01% move from the prior day [1]. This change lagged the S&P 500's 0.4% loss on the day, while the Dow lost 0.98% and the tech-heavy Nasdaq gained 0.18%. Over the past month, shares of the coffee chain had lost 0.06%, lagging the Retail-Wholesale sector's gain of 4.14% and the S&P 500's gain of 4.97%.

Analysts expect Starbucks to post earnings of $0.64 per share in its forthcoming earnings report, marking a year-over-year decline of 31.18% [1]. For the full year, the Zacks Consensus Estimates project earnings of $2.48 per share and a revenue of $36.84 billion, demonstrating changes of -25.08% and +1.83%, respectively, from the preceding year.

Barclays' decision to maintain an "Overweight" rating despite the downward adjustment in the price target reflects a cautious but positive outlook on Starbucks' future prospects. The investment community will continue to monitor the company's performance closely, particularly in light of its upcoming earnings report.

References:
[1] https://finance.yahoo.com/news/starbucks-sbux-falls-more-steeply-214505287.html