Interim CEO, Howard Schultz just bought 137,500 shares of SBUX for just under $10 million. All after the stock was crushed to less than $70 a share from $115. Not only is the stock now at support dating back to July 2020, it is oversold on RSI, MACD, and Williams’ %R. From a current price of $72.42, we’d like to see the SBUX stock race back to $90, near-term.
Helping, Evercore ISI analyst David Palmer upgraded the SBUX stock to Outperform from In Line, with a $95 price target.
The analyst “admits that over the next two quarters, investors will likely have to deal with messy results from ongoing softness in China and Starbucks’ increased reinvestment in its business. But ‘by the September investor day and the Fall appointment of a new CEO, Starbucks will likely be able to share some stabilization in China trends, ongoing improvement in US same-store sales and a plan to improve’ its efficiency and capacity,” as noted by Barron’s.