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published in Blogs
Oct 31, 2021
Starbucks (SBUX, $106.07) shares get price target cuts

Starbucks (SBUX, $106.07) shares get price target cuts

Starbucks shares got their price targets lowered by several analysts.

The company’s  earnings beat fourth-quarter results, as wider margins more than offset slightly weak comps. But, the company’s fiscal 2022 projection was below the Street forecasts.

BMO Capital analyst Andrew Strelzik slashed his price target on the coffee-bar company’s shares  to $135 from $140, while keeping an outperform rating on the shares.

However, Strelzik indicated that while Covid-19 temporarily hurt sales trends, the fourth quarter results bolstered his belief that Starbucks' underlying margin potential is "underappreciated."

Stifel analyst Chris O'Cull lowered rating on Starbucks shares to hold from buy.  O'Cull slashed price target to $112, from $130.

O'Cull  cited significant inflationary pressures and investments and the magnitude of the cost pressure.

Wedbush analyst Nick Setyan cut his price target to $128 from $132, while keeping an outperform rating.

Related Tickers: SBUX