Starbucks price target lowered to $115 from $120 at Morgan Stanley

Morgan Stanley analyst Brian Harbour lowered the firm’s price target on Starbucks to $115 from $120 and keeps an Overweight rating on the shares ahead of the Q2 report. The analyst reduced fiscal Q2 and year estimates to below the company’s guidance, but admits investors are likely below the firm’s numbers. Morgan Stanley continues to see a “interesting risk/reward skew” for the stock. The firm are moved its U.S. comp estimate to up 1% verses the Street’s up 2%, with traffic down 3%, though it thinks investors are prepared for flat if not negative, based on third party data reads.