UBS lowered the firm’s price target on Starbucks (SBUX) to $94 from $100 and keeps a Neutral rating on the shares. The firm expects “limited” progress against “Back to Starbucks” strategic initiatives, with Q4 sales trends likely still challenged given the difficult industry environment, while margins and earnings likely remain pressured, the analyst tells investors in a research note. The turnaround plan should support a gradual sales recovery over time, with a strong leadership team and appropriate strategies across operations, marketing, product innovation and customer experience enhancements, the firm says.
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