Starbucks assumed with an Outperform at RBC Capital

RBC Capital assumed coverage of Starbucks (SBUX) with an Outperform rating and $115 price target Despite having “one of the most recognized brands” in the U.S., the company has faced several headwinds recently, many of which the company can control, the analyst tells investors. The company has an opportunity to meaningfully re-accelerate the business and while investments will be a margin headwind in the near-term, RBC thinks a margin improvement in the second half of 2025 and into 2026 could be better than expected and thinks the long-term China opportunity remains large, the analyst added.