Starbucks Stock (SBUX) Gets Jolt as Company Announces New Round of Layoffs

Starbucks (SBUX) stock is trending higher on news that the retail coffee chain is laying off 300 corporate employees.Claim 55% Off TipRanksUnlock hedge fund-level data and powerful investing tools for smarter, sharper decisions Discover top-performing stock ideas and upgrade to a portfolio of market leaders with Smart Investor Picks This marks the third round of job cuts under CEO Brian Niccol. The company also announced plans to shutter some regional support offices as it looks to find cost efficiencies. The latest changes are part of the "Back to Starbucks" turnaround strategy that aims to boost the company's growth. News of the job cuts and office closures come with SBUX stock at a 52-week high, having risen nearly 30% this year. The stock has been rising since Starbucks issued better-than-expected financial results at the end of April, a sign that the turnaround plan is yielding benefits. Reviewing Starbucks International Offices In announcing the latest job cuts, Starbucks said that it has also begun reviewing its international workforce, and that the new layoffs do not impact its coffeehouse staff. The severance costs and reassessment of its office space will result in a restructuring charge of $400 million, which is tied to the current layoffs and office changes, the coffee chain added. Since Niccol took the helm, Starbucks has cut 2,000 jobs and not filled several hundred open positions. Starbucks had 9,000 U.S. nonretail workers and 5,000 international employees working in operational roles at the end of 2025, according to the company. Is SBUX Stock a Buy? Starbucks' stock has a consensus Moderate Buy rating among 29 Wall Street analysts. That rating is based on 17 Buy, 11 Hold, and one Sell recommendations issued in the last three months. The average SBUX price target of $110.48 implies 2% upside from current levels.