Starbucks Corporation (SBUX) shares rallied over 5% on Thursday, significantly outpacing broader retail averages. The surge followed a research report detailing strong performance in the North American first fiscal quarter.
The report suggests the company is on pace to exceed comparable sales expectations for the quarter.
This positive outlook gains support from recent data from Placer.ai, which shows an improving trend in foot traffic at the coffee giant’s locations. Following the rally, the stock reached its highest price since early September.
The continued large stake held by Elliott Management also bolsters investor confidence.