For the first time in two years, Starbucks reported an increase in global customer traffic, driving a 4% year-over-year rise in comparable store sales in its fiscal first quarter. Revenue reached $9.92 billion, up 5.5% from the prior year, while U.S. same-store transactions climbed by 3.8%. The company attributes the boost to enhanced menu innovation, price optimization and targeted loyalty promotions that lifted active membership to 33 million across key markets.

Terra Alpha Investments LLC expanded its position in Starbucks by 17.9% during the third quarter, adding 6,406 shares to reach a holding of 42,273 shares, representing 3.6% of its portfolio and valued at $3.576 million as of the latest SEC filing. Other funds also shifted allocations: Cooper Haims Advisors lifted its stake by 3.0% to 3,749 shares, Diligent Investors by 1.9% to 6,132 shares, and Pioneer Trust Bank by 1.1% to 11,437 shares. Hedge funds and institutional holders now control 72.29% of the company’s shares.

Following the traffic rebound, management is focused on restoring operating margins toward a 13.5%–15% target by fiscal 2028. In the recent quarter, restaurant operating margin improved to 14.8%, up 60 basis points sequentially, reflecting labor efficiencies and supply-chain cost savings. CEO Brian Niccol reinforced the “Back to Starbucks” turnaround plan at Investor Day, outlining expectations for full-year earnings in the $2.15–$2.40 per share range and long-term same-store sales growth exceeding 5%. Insiders, including Director Jorgen Vig Knudstorp, increased their holdings by 28.3%, signaling confidence in the recovery roadmap.