Starbucks Stock Surges 4.94% Amid Turnaround Efforts and Legal Developments

Starbucks Corporation (NASDAQ: SBUX) saw its shares climb nearly 5% on December 19, 2025, as investors reacted to a blend of operational progress and lingering legal risks. The stock reached $89.42, fueled by Optimism around the company's 'Back to Starbucks' initiative—a multi-year plan aimed at streamlining operations and enhancing customer experience without heavy discounting.

Global comparable-store sales growth returned for the first time in seven quarters, with Q4 net revenue rising 5% to $9.6 billion. While U.S. sales remained flat and margins faced pressure from restructuring costs, the market appears to be pricing in a sustainable turnaround. Options activity surged, with 49,000 contracts traded, signaling cautious optimism near-term.

Labor actions and scheduling settlements continue to weigh on sentiment, while China strategy and margin recovery remain critical to long-term performance. CEO Brian Niccol's operational overhaul is being closely watched as the company navigates headline risks and execution challenges.