William Blair Has Pessimistic View of Starbucks Q2 Earnings

Starbucks Co. (NASDAQ:SBUX) – Equities researchers at William Blair lowered their Q2 2025 earnings estimates for Starbucks in a research note issued to investors on Tuesday, March 25th. William Blair analyst S. Zackfia now anticipates that the coffee company will earn $0.48 per share for the quarter, down from their previous forecast of $0.51. The consensus estimate for Starbucks’ current full-year earnings is $2.99 per share. William Blair also issued estimates for Starbucks’ FY2025 earnings at $2.88 EPS.

Starbucks (NASDAQ:SBUX) last announced its quarterly earnings data on Tuesday, January 28th. The coffee company reported $0.69 EPS for the quarter, beating analysts’ consensus estimates 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 last year, the business posted $0.90 EPS.

Several other equities research analysts have also recently commented on the stock. Wells Fargo & Company lifted their price target on shares of Starbucks from $115.00 to $125.00 and gave the stock an “overweight” rating in a research report on Tuesday, February 25th. Stifel Nicolaus upped their target price on shares of Starbucks from $110.00 to $114.00 and gave the company a “buy” rating in a research report on Monday, January 27th. Wedbush increased their target price on Starbucks from $95.00 to $100.00 and gave the company a “neutral” rating in a research note on Wednesday, January 29th. Barclays boosted their target price on Starbucks from $119.00 to $124.00 and gave the stock an “overweight” rating in a research report on Wednesday, January 29th. Finally, Royal Bank of Canada reiterated an “outperform” rating and issued a $115.00 price target on shares of Starbucks in a research report on Friday, January 24th. Three research analysts have rated the stock with a sell rating, six have given a hold rating, eighteen have given a buy rating and one has assigned a strong buy rating to the company. Based on data from MarketBeat, the company currently has a consensus rating of “Moderate Buy” and a consensus target price of $106.12.

Starbucks Stock Up 2.2 %

Shares of SBUX stock opened at $97.97 on Thursday. The firm has a market cap of $111.28 billion, a price-to-earnings ratio of 31.60, a PEG ratio of 3.59 and a beta of 0.99. Starbucks has a 12 month low of $71.55 and a 12 month high of $117.46. The stock has a 50-day moving average price of $105.61 and a 200 day moving average price of $99.47.

Institutional Trading of Starbucks

A number of hedge funds and other institutional investors have recently made changes to their positions in SBUX. Quest Partners LLC acquired a new stake in Starbucks in the 3rd quarter valued at $115,000. The Manufacturers Life Insurance Company grew its holdings in shares of Starbucks by 19.6% in the 3rd quarter. The Manufacturers Life Insurance Company now owns 2,181,179 shares of the coffee company’s stock valued at $212,643,000 after acquiring an additional 357,046 shares in the last quarter. FMR LLC increased its position in shares of Starbucks by 55.0% in the third quarter. FMR LLC now owns 19,779,859 shares of the coffee company’s stock valued at $1,928,339,000 after acquiring an additional 7,015,375 shares during the last quarter. Avestar Capital LLC raised its holdings in Starbucks by 20.3% during the third quarter. Avestar Capital LLC now owns 7,646 shares of the coffee company’s stock worth $745,000 after acquiring an additional 1,292 shares in the last quarter. Finally, Transamerica Financial Advisors Inc. boosted its position in Starbucks by 25.6% during the third quarter. Transamerica Financial Advisors Inc. now owns 7,667 shares of the coffee company’s stock valued at $748,000 after purchasing an additional 1,562 shares during the last quarter. 72.29% of the stock is currently owned by institutional investors and hedge funds.

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.