How Will Starbucks' Stock React To Its Upcoming Earnings?

Core Insights - Starbucks is set to announce its fiscal third-quarter earnings on July 29, 2025, with analysts predicting earnings of 64 cents per share and revenue of $9.3 billion, reflecting a 31% decrease in earnings year-over-year and a 2% increase in sales compared to the previous year [2] - The company reported a 50% decrease in profits for Q2, with margins falling to 6.9% due to rising labor costs in the U.S. Sales increased by 2% to $8.76 billion, but same-store sales dropped by 1% for the fifth consecutive quarter [3] - Starbucks management has refrained from providing guidance for fiscal year 2025, indicating a recalibration phase under new leadership [3] Financial Performance - Current market capitalization of Starbucks stands at $109 billion, with revenue for the past twelve months at $36 billion [3] - The company generated $4.4 billion in operating profits and reported a net income of $3.1 billion [3] Historical Earnings Trends - Historical data shows that Starbucks stock has underperformed post-earnings releases, with a 55% decrease rate and a median one-day drop of 4.4% [2] - Over the past five years, there have been 20 recorded earnings data points, with 45% resulting in positive one-day returns, which increases to 58% when considering the last three years [6] - The median of positive returns is 4.3%, while the median of negative returns is -4.4% [6]