10 Best Stocks Under $100 To Invest In

6) Starbucks Corporation (NASDAQ:SBUX)

Stock Price as of November 6: $96.08

Number of Hedge Fund Holders: 70

Starbucks Corporation (NASDAQ:SBUX) operates as a roaster, marketer, and retailer of coffee.

Starbucks Corporation (NASDAQ:SBUX)’s brand strength stems from its pricing power, attractive unit-level economics, and successful international replication. Wall Street remains optimistic about the leadership change. Starbucks Corporation (NASDAQ:SBUX) brought in Brian Niccol as its new Chairman and CEO. Analysts opine that his experience in fueling operational efficiencies, improving marketing strategies, and fostering product innovation should be a perfect fit for the company’s current needs.

Starbucks Corporation (NASDAQ:SBUX) will continue to benefit from a healthy brand presence and customer loyalty throughout various generational cohorts. Its focus on improving throughput, enhancing digital marketing, and driving product innovation appears to be critical for maintaining and strengthening its competitive edge.

Starbucks Corporation (NASDAQ:SBUX) has been emphasizing product innovation as a critical driver of customer interest and sales growth. The company’s initiatives which are focused on streamlining operations, optimizing store formats, and leveraging technology for improved efficiency are expected to yield substantial benefits.

Analysts at Morgan Stanley increased their price target on the shares of Starbucks Corporation (NASDAQ:SBUX) from $98.00 to $115.00, giving it an “Overweight” rating on 16^th October. ClearBridge Investments, an investment management company, released its Q3 2024 investor letter. Here is what the fund said:

“Similarly, we took advantage of a business reset at Starbucks Corporation (NASDAQ:SBUX) in the third quarter to initiate a position in the global coffee retailer. A confluence of factors, including degraded store-level operations and long consumer wait times, consumer fatigue with high prices and weakening engagement among occasional Starbucks customers has led to declining U.S. same-store sales growth. While the path ahead will likely require reinvestment back into the business, there are many merits to Starbucks’ business including its strong brand name and category leading market position. In response to recent challenges, Starbucks has appointed change-agent CEO Brian Niccol, who we know from the Strategy’s ownership of Chipotle Mexican Grill during its turnaround. Niccol has a successful track record of investing in product innovation and fixing execution issues, which we believe are the primary challenges facing Starbucks today. Starbucks represents the kind of successful playbook we have executed on historically – focusing on high-quality businesses and brands while being disciplined around the entry point into investments with attractive risk-reward opportunities.”