Stephanie Link is buying shares of this turnaround story. The comeback could become clear this week

January 27, 2026

TL;DR

North American same-store sales were flat last quarter, a positive sign after six consecutive quarters of decline.
CEO Brian Niccol's initiatives could increase operating margins from 9% to the mid-teens.
Many Wall Street analysts remain skeptical, creating a favorable risk/reward scenario.
Starbucks shares have gained 14% in 2026, with potential for more growth.
Niccol's "Green Apron Service" is designed to accelerate order delivery, with some stores achieving service times under four minutes.
International sales grew 3%, with China up 2%.
Analysts predict 2% North American same-store sales growth for the fourth quarter, with some expecting up to 3%.
Deutsche Bank estimates operating margins could reach 17%, leading to an earnings power of $3.50 to $4 per share.
Historically, Starbucks stock traded at a price-earnings multiple of 28 times, suggesting potential for multiple expansion.
Less than half of Wall Street analysts currently recommend Starbucks as a buy.

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