Starbucks raises profit guidance, launches $1B buyback, and accelerates tech plan
Oct 29, 2026, 6:31 PM EDT1 sourcesAI-analyzed
Why it may matterVerify against the original reporting
Strong Q4 beat and higher guidance support upside; sizable buyback signals capital return and confidence, though the China sale introduces near-term revenue headwinds and could weigh on sentiment until Asia growth proves durable.
AI summary
What happened, with direct paths to the underlying reporting
Starbucks posted a stronger-than-expected Q4 with 7.2% global same-store sales growth and $0.80 adjusted EPS, beating consensus. Management reiterated a growth-focused strategy, including a $1 billion buyback and a notable tech modernization push (AI-assisted drive-thru, personalized menus). The China operations sale to Boyu Capital for $4B reshapes revenue outlook but aims to accelerate growth in Asia.
Full-year adjusted EPS guided to $3.15-$3.25 vs $3.14 est.
Q4 global same-store sales up 7.2% vs 5.4% expected.
Plan to deploy about $1B toward share repurchases.
China operations sold to Boyu Capital for $4B.
Q4 adjusted EPS 0.80; deliveries near 90% of NA stores.
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