Starbucks to unveil long-term outlook at investor day, as Niccol says turnaround is just beginning

Core Viewpoint - Starbucks is set to provide a long-term financial forecast and details on achieving its targets during an investor presentation, following a suspension of its outlook in October 2024, which projected global same-store sales growth of at least 5%, revenue growth of at least 10%, and earnings per share growth of at least 15% [1] Group 1: Financial Performance - Starbucks shares have decreased approximately 5% over the past year, resulting in a market value of around $108 billion, amid concerns over consumer spending and rising coffee prices [2] - The company reported a same-store sales growth of 4% for the first time in two years, driven by increased customer traffic [3] - For fiscal 2026, Starbucks anticipates adjusted earnings per share between $2.15 and $2.40, with same-store sales growth of at least 3% globally and in the U.S. [5] Group 2: Strategic Initiatives - Menu innovations, such as protein cold foam, have attracted both loyal and infrequent customers, with further innovations and enhancements to the rewards program and digital experience planned [4] - Under CEO Brian Niccol's leadership, Starbucks is focusing on improving customer and employee experiences, including returning seating to cafes and requiring baristas to write messages on cups, despite these changes impacting short-term earnings [6] - Investments in restaurant improvements and labor have affected profits during the fiscal first quarter, leading to earnings per share that fell short of Wall Street estimates [4]