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Starbucks price target raised to $115 from $100 at BMO Capital

BMO Capital analyst Andrew Strelzik raised the firm’s price target on Starbucks (SBUX) to $115 from $100 and keeps an Outperform rating on the shares. The company’s Q3 earnings missed estimates amid one-time investments and discrete tax items, lower equity income, and slightly softer comps, but signs of turnaround progress continue to build, including U.S. comp transactions improving for a third consecutive quarter and momentum continuing into July, the analyst tells investors in a research note. BMO remains optimistic about EPS potential resulting from turnaround efforts in coming years.

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