Key TakeawaysStarbucks is making a series of changes as part of CEO Brian Niccol's "Back to Starbucks" turnaround plan.Baristas will write customers’ names in Sharpie on their cups again, according to reports, and customers will have access to a self-serve condiment bar.Starbucks will require a purchase to use the restroom, but customers ordering "for here" will receive free refills of coffee and tea. Starbucks (SBUX) is making sweeping changes this week that longtime customers of the coffee chain should fi ...

Ahead of Starbucks’ first-quarter earnings call on Tuesday (Jan. 28), company officials are taking steps to address declining sales and traffic with a series of policy changes.Starting Monday (Jan. 27), Starbucks reinstated condiment bars and return to barista-written names on cups, aiming to recapture the classic coffeehouse experience and improve service efficiency. Additionally, the company is expanding free refills on select orders to all paying customers and enforcing a new code of conduct that limits ...

Starbucks Corp SBUX is brewing up big changes ahead of its first-quarter earnings.Starting Monday, only paying customers—or those accompanying them—will be allowed to use its cafés, patios, and restrooms. Free water is out, and baristas have been trained to enforce the new rules.The policy shift comes after North American transactions fell 5% in 2024, marking the first annual drop since the pandemic. Analysts expect same-store sales to decline 4.8% when Starbucks reports earnings on Jan. 28, with estimated ...

Core Insights - Starbucks is implementing a new policy that defines customers as those who make purchases, asking non-paying visitors to leave, marking a shift from its previous policy established in 2018 [1][5] Group 1: Company Performance - Starbucks' North American stores experienced a 5% decline in transactions last year, the first annual drop since the COVID pandemic [2] - Analysts predict a 4.8% decrease in same-store sales for the upcoming quarterly earnings report [2] Group 2: Strategic Initiatives - The new policy is part of the "Back to Starbucks" initiative aimed at enhancing customer experience and prioritizing quality coffee [2] - CEO Brian Niccol emphasized the need to reestablish Starbucks as a community gathering place and simplify the menu to attract more paying customers [3] Group 3: Market Trends - The restaurant industry, including Starbucks, faced sales declines throughout the previous year, influenced by changing consumer spending habits due to persistent inflation [4] - Research indicates that about one-third of consumers have reduced their spending, regardless of their financial comfort [4] Group 4: Social Implications - The new policy has sparked controversy, with advocates for unhoused individuals arguing that Starbucks locations provide a necessary refuge during early morning hours when shelters are closed [6]

Earnings and Revenue Expectations - Starbucks is expected to report fiscal first-quarter net sales of $9.33 billion, down 1% year-over-year [2] - Earnings are projected to be $776.77 million, or 68 cents per share, down from $1.02 billion, or 90 cents per share, a year ago [2] Analyst Ratings and Price Target - 10 out of 16 analysts covering Starbucks have issued "buy" or equivalent ratings, with four giving a "hold" rating and two opting for "sell" [1] - The consensus price target is near $106, suggesting about 7% upside from Friday's closing price near $99 [1] Same-Store Sales Performance - Same-store sales are expected to fall 4.8% year-over-year, according to Street estimates [3] - Jefferies analysts predict a 6% decline in U.S. same-store sales, citing foot-traffic data from Placer.ai [4] Challenges and Strategic Decisions - Starbucks is facing "lingering challenges around product innovation" [4][5] - New CEO Brian Niccol's decision to "pull back on discounting/promos" in favor of broad, brand-focused national advertising has been questioned by analysts [4] Future Outlook and Market Performance - Analysts will be watching for possible 2025 forecast updates after Starbucks did not release a full-year outlook last quarter [5] - Shares of Starbucks are up about 7% over the past 12 months [5]

Starbucks Corporation (SBUX) is scheduled to report first-quarter fiscal 2025 results on Jan. 28, 2025, after the closing bell.In the last reported quarter, the company reported adjusted earnings per share (EPS) of 80 cents, in line with the Zacks Consensus Estimate. The bottom line decreased 24.5% year over year.The company’s earnings met the Zacks Consensus Estimate in two of the trailing four quarters and missed on two occasions with an average surprise of negative 4%.Stay up-to-date with all quarterly r ...

Wall Street analysts expect Starbucks (SBUX) to post quarterly earnings of $0.65 per share in its upcoming report, which indicates a year-over-year decline of 27.8%. Revenues are expected to be $9.31 billion, down 1.2% from the year-ago quarter.The consensus EPS estimate for the quarter has undergone a downward revision of 4.2% in the past 30 days, bringing it to its present level. This represents how the covering analysts, as a whole, have reassessed their initial estimates during this timeframe.Ahead of a ...

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Parkev Tatevosian, CFA has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Starbucks. The Motley Fool has a disclosure policy. Parkev Tatevosian is an affiliate of The Motley Fool and may be compensated for promoting its services. If you choose to subscribe through his link, he will earn some extra money that supports his channel. His opinions remain his own and are unaffected by The Motley Fool. ...

Wall Street expects a year-over-year decline in earnings on lower revenues when Starbucks (SBUX) reports results for the quarter ended December 2024. While this widely-known consensus outlook is important in gauging the company's earnings picture, a powerful factor that could impact its near-term stock price is how the actual results compare to these estimates.The earnings report, which is expected to be released on January 28, 2025, might help the stock move higher if these key numbers are better than expe ...