Starbucks Corp SBUX,
Upgraded to buy from neutral at MKM Partners on Tuesday, with analysts expressing optimism about the coffee purveyor’s longer-term prospects, even if near-term pressure is under way. MKM has raised its 12-month price target from $114 to $114. Brett Levy wrote in one, “Despite an operating model facing near-term pressures related to internal decisions and macro-related factors, and the understanding that a straight-line recovery is unlikely, we are looking at these short-term Loves seeing the odds.” pay attention. “We have long been a proponent of the balance of investment in Starbucks’ brand strength/scale; growth opportunities; and returns in its brand, people, technology and investment community.” The company announced in its most recent earnings release that it will invest $1 billion in its workforce during fiscal years 2021 and 2022. MKM says this increase will boost profits and sales over time. Starbucks shares rose 2% in Tuesday’s premarket trading, and are up 6% for the year so far. s&p 500 index spx,
Has gone up 22.3% in 2021.