Starbucks Stock Jumps After Earnings and Revenue Beat Wall Street Forecasts

April 29, 2026 - 01:23

Investors are celebrating a much-needed turnaround as Starbucks delivered stronger-than-expected fiscal second quarter earnings on Tuesday, sending shares surging in after-hours trading. The coffee giant reported adjusted earnings per share of $0.79, topping analyst estimates of $0.68, while revenue came in at $8.72 billion against expectations of $8.51 billion. The results mark a significant rebound for the company, which has faced sluggish same-store sales and customer traffic concerns in recent quarters.

Global comparable store sales declined 3% year-over-year, but that figure was better than the 4% drop analysts had predicted. The North America segment showed particular resilience, with comparable sales falling just 2% compared to the anticipated 3% decline. International markets, including China, also performed better than feared, with comparable sales down 6% versus the expected 8% drop. The company credited improved operational efficiency, targeted promotions, and stronger mobile order execution for the outperformance.

Management highlighted that customer sentiment is gradually improving, with early signs of increased visit frequency among loyalty program members. Starbucks also announced plans to accelerate store renovations and expand its cold beverage lineup to drive further traffic. The chain has been working to streamline service times and enhance the in-store experience, which executives say is beginning to resonate with consumers. Looking ahead, Starbucks reaffirmed its full-year guidance, signaling confidence that the worst of the demand slowdown may be behind it. The stock jumped more than 7% in extended trading as investors welcomed the return of a more confident and resilient Starbucks.