Key Stats for Starbucks Stock
- Price change for Starbucks stock in last 6 months: 4%
- $SBUX Stock Price as of Sep. 30: $94
- 52-Week High: $111
- $SBUX Stock Price Target: $112
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What Happened?
Starbucks (NASDAQ: SBUX) is facing fresh investor pressure over its labor relations. New York City’s comptroller filed a shareholder proposal on Friday. Reuters reported it on September 30.
The proposal asks the board to bring back a committee that oversaw labor relations. The filers say the company has neglected the issue under CEO and chair Brian Niccol.
Here are the key points:
- The proposal follows identical filings by the New York state comptroller and Trillium Asset Management.
- It calls labor relations one of Starbucks’ “most significant and persistent risk areas.”
- Starbucks still has no labor agreement with the union, nearly five years after the first store organized in Buffalo.
- The union represents about 5% of US stores.
- The filers hold nearly $270 million of Starbucks shares.
The committee was created in 2023. The board dissolved it in November 2025.
Starbucks says oversight is now “stronger and more integrated.” It also says the board has the skills to oversee its strategy.
This is not the first push. Some of the same investors tried to unseat two directors in March. That effort failed. Still, proxy advisers warned that Starbucks could be overlooking labor risks.
The pressure goes beyond investors.
Starbucks paid $38.9 million to settle a New York City probe over worker scheduling. Last month, the union urged consumers to boycott until it reaches a contract. UN experts and US lawmakers have also weighed in. Starbucks Workers United backed the proposal.
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What the Market Is Telling Us About Starbucks Stock
So far, Starbucks stock has held up well. Shares are up 13% this year. Investors seem focused on the turnaround.
The latest results back that up. In Q3, global comparable sales grew 7.9%. Operating margin rose about 430 basis points to 14.4%.
Earnings per share jumped about 70% to $0.85. Starbucks also raised its full-year EPS guidance to between $2.55 and $2.65.
But the labor issue is a real risk to watch. Union Workers United says the unsettled labor issues may hurt Niccol’s turnaround plan.
A boycott could hit the sales momentum that Starbucks stock has benefited from.
For now, the proposal is only a proposal.
Starbucks typically holds its annual meeting in March. That is when investors would vote.
Until then, Starbucks stock will likely trade on sales and margins. But labor headlines could keep the pressure on.
Investors will want to see whether the board changes course.
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So what is Starbucks stock actually worth?
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Disclaimer:
Please note that the articles on TIKR are not intended to serve as investment or financial advice from TIKR or our content team, nor are they recommendations to buy or sell any stocks. We create our content based on TIKR Terminal’s investment data and analysts’ estimates. Our analysis might not include recent company news or important updates. TIKR has no position in any stocks mentioned. Thank you for reading, and happy investing!
