Starbucks initiated with an Overweight at Wells Fargo

Wells Fargo analyst Zachary Fadem initiated coverage of Starbucks with an Overweight rating and $120 price target. The company "leads a high-growth global category with big aspirations," said the firm, which sees multi-year upside given "robust" coffee fundamentals, a global economic recovery and re-opening, share gains, unit growth, and innovation. The firm views Starbucks’ FY23-25 algorithm for high-single digit percentage comp growth and 15-20% EPS growth as "achievable with wiggle room," Wells added.