Starbucks Gains on Buy Rating
SEATTLE (
) --
Starbucks
(SBUX) - Get Report
shares jumped Thursday morning thanks to some favorable broker action.
Analysts from
Goldman Sachs
(GS) - Get Report
resumed coverage of the coffee shop powerhouse with a conviction buy list rating, setting a $44 price target on Starbucks shares.
|
>>Kraft Seeks Injunction Against Starbucks
Goldman said Starbucks has yet to reach a saturation point in the U.S. market, and the firm forecast healthy domestic new store growth that could extend through 2025.
The firm also said that Starbucks store traffic trends highly correlate with the
labor market, and expectations for the labor market to pick up somewhat in 2011 should offer further improvement.
Starbucks shares added 2.3% to trade at $32.60 ahead of midday.
>>Restaurant Stocks: Earnings to Watch
-- Written by Miriam Marcus Reimer in New York.
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