If it is starting to seem like coffee giant Starbucks (SBUX) may be abandoning Washington, possibly in favor of Tennessee, there may be a little more reason for that. Starbucks shut down five stores in Seattle, and in the process, laid off 69 workers. Investors seemed pleased, though, and gave Starbucks stock a nearly 2% boost in Tuesday afternoon’s trading.
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The closures took place throughout Seattle. The stores on First Hill, the Metropolitan Park East building, the Seattle Center Armory, the Seattle Children’s Hospital, and the University District are all out of the picture now. There was no word on whether any of the employees would be transferred to different stores, or if any other stores would also be closed in the process.
Jaci Anderson, Starbucks spokesperson, noted, “These choices are never easy — especially here at home — but they’re an important part of focusing on what we do best and delivering on our Back to Starbucks strategy.” Though it was worth noting that, in four out of the five stores closed, a union shop was in place with baristas connected to Starbucks Workers United.
Changes for 2026
Meanwhile, a look into the rest of the year for Starbucks suggests five major changes coming soon, though many of these changes have already started. One big one is a shift in the bakery lineup, featuring more new treats. Seasonal drinks will also get more airtime, which we are also seeing with the new lavender matcha, among others.
Beyond that, the Back to Starbucks initiative will keep rolling, along with changes in seating and other things designed to make coming back to Starbucks feel like a good plan. Finally, Starbucks’ new rewards program is proceeding apace, though not everyone is particularly happy about that due to some fan favorite features being removed.
Is Starbucks Stock a Good Buy?
Turning to Wall Street, analysts have a Moderate Buy consensus rating on SBUX stock based on 13 Buys, 11 Holds, and three Sells assigned in the past three months, as indicated by the graphic below. After a 11.72% loss in its share price over the past year, the average SBUX price target of $100.26 per share implies 13.39% upside potential.
