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The Markets
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Coverage of London’s small caps continues on proactiveinvestors.com
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The Markets
by Proactive
Proactive UK has moved.
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Go to Proactive UK
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The Markets
by Proactive
Proactive UK has moved.
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Food & drink

Coffee house Starbucks takes a hit after broker downgrade

The share price target was repeated at C$65 - which is still higher than the current price of around 60 cents

Shares in coffee giant Starbucks (NASDAQ:SBUX) took a hit on Wednesday after broker Wedbush downgraded the stock for the first time.

The move, the first downgrade for the firm from the broker, was made due to concerns over the sales outlook, and the rating was cut to 'neutral' from 'outperform'.

The share price target was repeated at C$65 - which is still higher than the current price of around 60 cents - down 1.3% on the day.

The firm is on track to fall eight days in a row, with shares falling 5.6% over the last seven sessions.

Same-store-sales growth is currently expected to rise to 5% for the third quarter, which ends this month, and then to 5.2% for the fourth quarter, according to analysts.

That compared to 3% growth in the second quarter.

Starbucks is scheduled to report third-quarter results after the bell closes in New York on July 27.

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