UBS Adjusts Starbucks Price Target Amid Brand Pressures and Recovery Strategy

UBS raised its price target on Starbucks Corporation (NASDAQ:SBUX) to $95 from $90, maintaining a Neutral rating as the coffee chain navigates through a period of weakened traffic and mixed sales performance in its core U.S. market.

The firm noted that Starbucks continues to face headwinds from shifting consumer spending and growing brand perception challenges. However, UBS sees potential for improvement through the company’s “Back to Starbucks” strategy, which aims to reinvigorate domestic transactions and strengthen long-term earnings.

UBS analysts also dug into recent findings from their 2025 Global Coffee and QSR Surveys, which revealed that while Starbucks still enjoys strong brand loyalty and high marks on several key attributes, concerns around value and intensifying competition have dented customer traffic. These issues, UBS suggests, underscore the importance of Starbucks' current initiatives to restore growth and relevance in a crowded marketplace.

Overall, the slight price target boost reflects cautious optimism that strategic execution could gradually restore momentum—even if the path forward may be uneven.