Analyst Says Starbucks (SBUX) is Taking ‘Necessary Actions’ for Turnaround

Group 1 - Starbucks Corp (NASDAQ:SBUX) is undergoing a $1 billion restructuring plan, which is seen as necessary for its ongoing turnaround [1][2] - The company is facing significant challenges, including the loss of 900 jobs and the closure of around 500 stores in the United States [2] - Analysts believe that the leadership of newly appointed CEO Brian Niccol, who previously revitalized Chipotle, is crucial for implementing a practical and achievable turnaround plan [3] Group 2 - The complexity of Starbucks' store operations has led to over-tasked baristas and a poor customer experience, which Niccol aims to address [3] - There is potential for meaningful impact on store productivity, new-store growth, and margin expansion if the turnaround strategies are effectively scaled across 17,000 U.S. stores [3] - Despite the potential of Starbucks as an investment, some analysts suggest that certain AI stocks may offer greater returns with limited downside risk [3]