SBUX
New highs? The market’s clearly interested
Starbucks is doing that classic “show me the receipts” thing right now. Shares are climbing after TD Cowen upgraded the stock to Buy and bumped its price target to $120, which is a nice little vote of confidence for a name that’s been living and dying by its turnaround narrative.
Why investors are suddenly caffeinated
The upgrade didn’t land in a vacuum. Starbucks recently posted a second-quarter beat, with revenue of $9.53 billion and adjusted EPS of 50 cents, both above expectations. Management also said traffic was the best it’s been in three years, which is the kind of sentence bulls love to hear because it suggests the business is not just surviving — it’s actually getting better at getting people in the door.
The chart is doing its own pep talk
At the time of publication, SBUX was up 1.61% to $107.66, hovering just under its 52-week high of $108.05. Translation: the stock is pressing into resistance while momentum traders squint at the screen and ask, “Do we have enough fuel for another leg up?”
A few things are helping the case:
- Shares are above the 20-day, 50-day, and 200-day moving averages
- Momentum indicators are still pointing upward
- The January golden cross is still doing its job like a nerdy but reliable sidekick
Big picture: Starbucks doesn’t need perfection here. It just needs proof that the turnaround is real, and Wall Street seems more willing to believe that story by the day.