Starbucks shares jumped on Wednesday after the coffee giant upgraded its full-year earnings guidance, citing accelerating momentum in its operational turnaround.
The Seattle-based retailer reported its fourth straight quarter of same-store sales growth, a key metric that has been under pressure for much of the past two years.
For fiscal 2026, Starbucks now expects adjusted earnings per share to fall within a range of $2.
For fiscal 2026, Starbucks now expects adjusted earnings per share to fall within a range of $2.55 to $2.65.
The upgrade reflects management’s confidence that recent strategic shifts, including menu simplification and digital engagement improvements, are resonating with consumers.
CEO Brian Niccol, who took the helm in 2023, has overseen a series of cost-cutting and efficiency measures aimed at restoring profitability and growth.
The positive update comes as investors closely watch consumer discretionary stocks for signs of resilience amid broader economic uncertainty.