 
The Clean-Energy Boom Created a Problem - and an Opportunity Every major buildout creates bottlenecks. Clean energy is now hitting one that few expected. Solar capacity expanded rapidly, but the infrastructure to manage aging systems never kept pace. As panels begin reaching end-of-life, that gap is becoming impossible to ignore. When supply is limited and demand is structural, infrastructure starts to matter - quickly. See why investors are starting to focus on this bottleneck:
More Reading from MarketBeat Starbucks Gets a Jolt After Earnings, But Will the Buzz Last?Author: Chris Markoch. Originally Published: 1/30/2026. 
Key Takeaways- Starbucks stock jumped after earnings, but gains faded as valuation concerns resurfaced.
- Revenue growth is improving, yet margins remain under pressure from labor and coffee costs.
- With SBUX trading near overbought levels, investors may want to wait for a pullback.
Starbucks Corp. (NASDAQ: SBUX) stock briefly spiked 5% after the company released mixed earnings before the market opened on Jan. 28. Starbucks reported revenue of $9.92 billion, ahead of the $9.62 billion consensus. Earnings per share (EPS), however, were $0.56, missing estimates by $0.03. Despite the revenue beat, within an hour of the opening bell SBUX stock had given back some gains and slipped below the psychologically important $100 level. Heading into earnings, analyst sentiment was generally bullish, but the consensus price target for SBUX was $103.19, suggesting limited upside from then-current levels. Given the mixed results and the stock's uneven price action, investors are asking whether analysts—and the market—agree with Starbucks CEO Brian Niccol, who said the company's turnaround plan is "on track." Below, we examine Niccol's turnaround plan and consider how economic factors such as input costs and the 2026 outlook could affect the company going forward. Getting Back to Its RootsThe core of Niccol's turnaround is a renewed focus on the "coffeehouse experience": returning Starbucks to being a destination for gathering to drive traffic and sales volume, with earnings improvement to follow. That revenue-first, earnings-later pattern is reflected in the quarter: sales growth was positive while margins and EPS remain pressured. Same-store sales rose 4% in the quarter, and Starbucks recorded its first comparable transaction growth in the U.S. in eight quarters. The company's viral "Bearista" cold cup likely provided a short-term lift to transactions and traffic. Still, like most retail stocks, Starbucks is sensitive to U.S. and China traffic trends and to labor costs. Persistent headwinds in those areas could limit the company's recovery. Consumers Shouldn't Expect Price ReliefReports from companies such as Kimberly-Clark (NYSE: KMB) show consumers remain value-conscious. That could make it harder for a premium brand like Starbucks to raise or maintain prices without affecting demand. Management acknowledged higher input costs in the earnings release. Whatever the Supreme Court rules regarding the IEFA tariffs imposed by the Trump administration, the underlying cost pressure is likely to remain. On the commodity front, coffee prices — which rose sharply over the past two years — are not expected to decline sharply in 2026. Futures look structurally tight and volatile, with upside risk outweighing downside, particularly for Arabica beans that Starbucks uses. SBUX Stock Flashing Overbought SignalsTechnically, SBUX looks stretched: the price is near the upper Bollinger Band and the relative strength index (RSI) sits around 70, a level commonly viewed as overbought for short-term traders. A more attractive buy zone for patient investors would be a pullback toward the middle Bollinger Band, near the 20-day moving average (roughly $91.24), where prior consolidations formed. That area often acts as support and could offer a better risk‑reward entry than chasing new highs. Investors may also consider scaling into positions over time to manage volatility. 
The Tough Comps May Be Behind ItIn a challenging retail backdrop, Starbucks's revenue and same-store sales gains suggest its initiatives may be resonating with customers. The 2026 revenue and earnings outlook is more constructive, and if the company hits that guidance it could change the outlook for SBUX stock. Niccol appears to be focusing on what he can control: expanding stores, investing in digital innovations, and improving the in-store experience — all of which could support margin recovery over time. As a long-term holding, Starbucks still benefits from strong brand recognition and potential pricing power down the road. That said, investors should consider valuation. Trading at more than 60x trailing earnings, the stock is expensive relative to its historical average and would remain somewhat rich even at a forward P/E near 32x. Buyers should weigh that premium against the company's growth prospects and the risks that remain.
We are not securities dealers or brokers, investment advisers or financial advisers, and you should not rely on the information herein as investment advice. Any investment should be made only after consulting a professional investment advisor and only after reviewing the financial statements and other pertinent corporate information. Further, readers are advised to read and carefully consider the Risk Factors identified and discussed in the profiled company's SEC and/or other government filings. Investing in securities, particularly microcap securities, is speculative and carries a high degree of risk. | 
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