Oppenheimer Reiterates Outperform Rating For Starbucks (SBUX)

Oppenheimer analyst Matthew DiFrisco reiterated Oppenheimer's Outperform rating for shares of Starbucks Corporation (Nasdaq: SBUX).

After hosting investor meetings with Starbucks Corporation executives, the Oppenheimer analyst wrote that, "the meetings reinforced our view that SBUX's ongoing focus on improving store margins along with the prior year's cost eliminations should sustain margin expansion and EPS upside throughout FY10. While the near-term consumer environment remains constrained, SBUX's outlook of moderate growth is supported by company specific SSS catalysts and the opportunity to further expand its brands into multiple channels (most recently the SBC brand with BKC). We reiterate our Outperform rating on the shares and are encouraged by management's focus to gain category share while targeting peak margins and cash flow."