Starbucks Corporation · SBUX · FY2025 Q3 · Calendar Q3 2025

Starbucks advances turnaround plan as margins remain the key test

The quarter supports a cautiously constructive turnaround thesis: management is investing in service, stores, digital capabilities and menu innovation, while international performance is strong and U.S. transaction trends are improving. The evidence is not yet conclusive because comparable store sales remain down, formal guidance was not provided, and the path back to pre-COVID margins depends on offsetting labor costs and executing at scale.

Reported After market closeNASDAQConsumer Cyclical $109.57B market cap
100quality score

Earnings scorecard

Reported versus consensus
Reported EPS $0.50 Consensus $0.65
EPS surprise -22.7% Reported versus consensus
Reported revenue $9.46B Consensus $9.29B
Revenue surprise +1.7% Reported versus consensus

Market reaction

event-close to next-session close
Stock move -0.2% Event window
SPY move -0.1% Same window
Abnormal move -0.1% Stock minus SPY
Volume 5.4× Versus trailing sessions
Subsequent drift -5.5% Up to 20 sessions
SBUXSPY benchmark

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Transcript intelligence

What changed

Management emphasized faster rollout of Green Apron Service, broader use of SmartQ, store uplift investments and lower-cost store formats. The company also highlighted strong international performance, including China, alongside modest U.S. transaction improvement. Compared with the prior quarter, the plan places greater emphasis on scaling operational changes and increasing capital deployment, while margin recovery remains a central unresolved question.

Guidance delta

No formal guidance was provided. Management expressed confidence that operational improvements and innovation can support a return to pre-COVID margin levels by 2026.

Key takeaways

  • Green Apron Service is being accelerated across U.S. stores to improve speed, consistency and transaction growth.
  • U.S. comparable store sales remain down, although non-Rewards transaction growth and customer sentiment are improving.
  • International performance was strong, with China exceeding $2 billion in quarterly revenue and positive comparable trends.
  • Capital deployment emphasizes store uplifts, lower-cost builds and new menu platforms.
  • Management’s 2026 margin-recovery ambition remains dependent on execution and cost efficiencies.

Management priorities

  • Scale Green Apron Service and SmartQ across the store base.
  • Complete at least 1,000 North America store uplifts by the end of 2026.
  • Advance the coffeehouse-of-the-future and small-format store prototypes.
  • Expand delivery and digital loyalty capabilities, including Mobile Order enhancements.
  • Develop menu innovations such as protein cold foam and new roast offerings.

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Earnings History

Estimate Beat Miss Match
SBUX REVENUE earnings history estimate and actual scatter chart 8 reported fiscal quarters and 4 future estimate-only quarters. Q1 '24 estimate $9B Q1 '24 actual $9B, miss Q2 '24 estimate $9B Q2 '24 actual $9B, miss Q3 '24 estimate $9B Q3 '24 actual $9B, miss Q4 '24 estimate $9B Q4 '24 actual $9B, miss Q3 '25 estimate $9B Q3 '25 actual $9B, beat Q4 '25 estimate $9B Q4 '25 actual $10B, beat Q1 '26 estimate $10B Q1 '26 actual $10B, beat Q2 '26 estimate $9B Q2 '26 actual $10B, beat Q3 '26 estimate $9B Q4 '26 estimate $9B Q1 '27 estimate $10B Q2 '27 estimate $9B

Analyst Consensus ?

ConsensusHold57 ratings
Bullish2849.1%
Neutral2645.6%
Bearish35.3%

1 unmapped firm rating excluded from the percentages.

Analyst 52W Price Targets

$93.58Current
$70Low
$108.1Average
$165High

Latest persisted target per named analyst; persisted current price from FN2's market snapshot as of Oct 8, 2026. Not an FN2 forecast.

Firm-level rating actions

FMP grade actions identify the grading firm, not a named analyst.

FirmRatingPrior ratingActionDate
JP Morgan Overweight OverweightMaintainSep 29, 2026
BTIG Buy BuyMaintainJul 31, 2026
Wells Fargo Overweight OverweightMaintainJul 30, 2026
UBS Neutral NeutralMaintainJul 30, 2026
TD Cowen Buy BuyMaintainJul 30, 2026
Show 53 more rating actions

Named analyst price targets

Upside is calculated against the persisted current price $93.58. FMP does not supply a rating on these named-analyst rows.

FirmAnalyst52W targetPrice when postedUpsideDate
NeedhamAnalyst unavailable$120$108.02 +28.2%Aug 18, 2026
Melius ResearchAnalyst unavailable$110$105.16 +17.5%Aug 3, 2026
D.A. DavidsonMatt Curtis$110$107.62 +17.5%Jul 30, 2026
Deutsche BankLauren Silberman$126$105.75 +34.6%Jul 30, 2026
Robert W. BairdAnalyst unavailable$124$104.14 +32.5%Jul 30, 2026
See 128 more

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Company context

Snapshot as of publication

Starbucks Corporation, along with its various subsidiaries, operates worldwide as a key player in roasting, marketing, and selling specialty coffee. Its business is structured into three main operating divisions: North America, International markets, and Channel Development. The company's retail outlets offer a broad assortment of coffee and tea beverages, roasted whole bean and ground coffees, single-serve options, and ready-to-drink products. Customers can also find a variety of food items, including pastries, breakfast sandwiches, and lunch selections.…

Historical context

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Sources

  1. Earnings call transcript and parsed analysis · 2026-05-11T10:29:34.698584+00:00
  2. FN2 earnings calendar · 2026-07-26T00:37:55.686058+00:00
  3. Polygon adjusted daily market bars · 2026-10-08T01:10:46.283450+00:00
  4. Financial Modeling Prep analyst price-target consensus and quote snapshot · 2026-10-08T01:10:46.280657+00:00

Methodology

Reported and consensus figures come from FN2's earnings event records. Market reaction and volume are calculated from daily adjusted bars around the event; abnormal move subtracts the SPY move over the same window.

Analyst target low, average, and high values are derived at request time from each named analyst's latest persisted FMP target. The current-price marker comes from FN2's persisted market snapshot. They are sell-side estimates, not an FN2 valuation or recommendation.

Transcript intelligence is a structured synthesis of the current and prior earnings-call analyses. Missing values stay missing and are never estimated.

By FN2 Research · Updated · As of 2026-10-08. For educational purposes only; not investment advice.