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Can Starbucks' 600-650 New Stores Strengthen Its Global Growth?
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Key Takeaways
Starbucks plans 600-650 net new coffeehouses in fiscal 2026, with international markets a key contributor.
International comparable sales rose 5.7% in Q3, while Starbucks added 189 net new locations overseas.
About 90% of Starbucks' international portfolio is licensed after China shifted to a joint venture.
Starbucks Corporation (SBUX - Free Report) is maintaining its plan to open approximately 600-650 net new coffeehouses in fiscal 2026, with international markets expected to provide a strong contribution. The expansion supports the company’s broader effort to capture white-space opportunities globally while becoming more disciplined about where and how it adds stores. Management believes Starbucks still has a long runway for coffeehouse growth in both North America and international markets.
International markets are emerging as an important pillar of this strategy. Starbucks ended the third quarter of fiscal 2026 with 22,933 international coffeehouses after adding 189 net new locations during the quarter. International company-operated comparable sales rose 5.7%, supported by a mix of transaction and ticket growth, with Japan contributing to the momentum.
The company is also shifting toward a more capital-efficient global expansion model. Following the transition of China to a joint venture, roughly 90% of Starbucks’ international portfolio is now managed through licensed structures. Management believes this approach can help scale the brand through local partners while maintaining greater financial discipline and reinforcing operating standards. China offers additional long-term white space, with the joint venture targeting up to 20,000 coffeehouses over time.
However, Starbucks is prioritizing disciplined expansion over simply increasing store count. Management has developed and tested new coffeehouse prototypes to support faster international unit growth while applying those learnings to U.S. development. North American company-operated unit growth may remain modest through fiscal 2027 as Starbucks strengthens its development pipeline, accelerates coffeehouse uplifts and addresses underperforming locations. Overall, the 600-650 planned openings could support global growth, particularly if international licensing and disciplined new-store development translate into sustainable expansion.
Starbucks’ Global Expansion Faces Competition From MCD and CMG
Starbucks’ plan to open 600-650 net new coffeehouses in fiscal 2026 comes as major restaurant operators are also pursuing global unit expansion. McDonald’s Corporation (MCD - Free Report) is advancing one of the most aggressive development periods in its history. The company expects to open about 2,600 gross restaurants in 2026 and now targets 50,000 locations globally in 2028. At the same time, McDonald’s is emphasizing disciplined capital allocation and attractive returns on new restaurants, reflecting a focus on the quality of expansion rather than unit growth alone.
Chipotle Mexican Grill, Inc. (CMG - Free Report) is also broadening its international presence through a mix of company-owned and partner-operated development. Following its entry into Mexico, Chipotle plans additional openings in Monterrey and expansion into Mexico City in 2027. The company also expects to enter South Korea in 2026 and Singapore in early 2027, while expanding its presence in the Middle East. These initiatives support Chipotle’s longer-term ambition to develop a more global restaurant footprint.
SBUX’s Price Performance, Valuation & Estimates
Starbucks’ shares have gained 16.7% over the past year against the industry’s decline of 9.2%.
SBUX’s One-Year Price Performance
Image Source: Zacks Investment Research
From a valuation standpoint, SBUX trades at a forward price-to-earnings (P/E) multiple of 31.25, above the industry’s average of 20.96.
SBUX’s P/E Ratio (Forward 12-Month) vs. Industry
Image Source: Zacks Investment Research
The Zacks Consensus Estimate for SBUX’s fiscal 2026 earnings per share (EPS) implies a year-over-year increase of 21.6%. EPS estimates for fiscal 2026 have increased in the past 60 days.
View the Zacks #1 Rank List
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Can Starbucks' 600-650 New Stores Strengthen Its Global Growth?
Key Takeaways
Starbucks Corporation (SBUX - Free Report) is maintaining its plan to open approximately 600-650 net new coffeehouses in fiscal 2026, with international markets expected to provide a strong contribution. The expansion supports the company’s broader effort to capture white-space opportunities globally while becoming more disciplined about where and how it adds stores. Management believes Starbucks still has a long runway for coffeehouse growth in both North America and international markets.
International markets are emerging as an important pillar of this strategy. Starbucks ended the third quarter of fiscal 2026 with 22,933 international coffeehouses after adding 189 net new locations during the quarter. International company-operated comparable sales rose 5.7%, supported by a mix of transaction and ticket growth, with Japan contributing to the momentum.
The company is also shifting toward a more capital-efficient global expansion model. Following the transition of China to a joint venture, roughly 90% of Starbucks’ international portfolio is now managed through licensed structures. Management believes this approach can help scale the brand through local partners while maintaining greater financial discipline and reinforcing operating standards. China offers additional long-term white space, with the joint venture targeting up to 20,000 coffeehouses over time.
However, Starbucks is prioritizing disciplined expansion over simply increasing store count. Management has developed and tested new coffeehouse prototypes to support faster international unit growth while applying those learnings to U.S. development. North American company-operated unit growth may remain modest through fiscal 2027 as Starbucks strengthens its development pipeline, accelerates coffeehouse uplifts and addresses underperforming locations. Overall, the 600-650 planned openings could support global growth, particularly if international licensing and disciplined new-store development translate into sustainable expansion.
Starbucks’ Global Expansion Faces Competition From MCD and CMG
Starbucks’ plan to open 600-650 net new coffeehouses in fiscal 2026 comes as major restaurant operators are also pursuing global unit expansion. McDonald’s Corporation (MCD - Free Report) is advancing one of the most aggressive development periods in its history. The company expects to open about 2,600 gross restaurants in 2026 and now targets 50,000 locations globally in 2028. At the same time, McDonald’s is emphasizing disciplined capital allocation and attractive returns on new restaurants, reflecting a focus on the quality of expansion rather than unit growth alone.
Chipotle Mexican Grill, Inc. (CMG - Free Report) is also broadening its international presence through a mix of company-owned and partner-operated development. Following its entry into Mexico, Chipotle plans additional openings in Monterrey and expansion into Mexico City in 2027. The company also expects to enter South Korea in 2026 and Singapore in early 2027, while expanding its presence in the Middle East. These initiatives support Chipotle’s longer-term ambition to develop a more global restaurant footprint.
SBUX’s Price Performance, Valuation & Estimates
Starbucks’ shares have gained 16.7% over the past year against the industry’s decline of 9.2%.
SBUX’s One-Year Price Performance
Image Source: Zacks Investment Research
From a valuation standpoint, SBUX trades at a forward price-to-earnings (P/E) multiple of 31.25, above the industry’s average of 20.96.
SBUX’s P/E Ratio (Forward 12-Month) vs. Industry
Image Source: Zacks Investment Research
The Zacks Consensus Estimate for SBUX’s fiscal 2026 earnings per share (EPS) implies a year-over-year increase of 21.6%. EPS estimates for fiscal 2026 have increased in the past 60 days.
Image Source: Zacks Investment Research
EPS Trend of SBUX Stock
SBUX’s Zacks Rank
SBUX stock currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.