15 Most Crowded Hedge Fund Stocks That Are Targeted by Short Sellers

7. Starbucks Corporation (NASDAQ:SBUX)

Number of Hedge Fund Holders: 84

Short Interest:  3.15%

Starbucks Corporation is a marketer, roaster, and retailer of coffee. It operates in the International, North America, and Channel Development segments. The company’s stores provide tea, coffee, single-serve products, roasted whole beans and ground coffees, and different food products.

As per the recent earnings report, the firm fell short of expectations. Due to a 2% drop in comparable transactions, global comparable store sales went down by 1%. However, the firm managed to improve its consolidated net revenue by 2.3%. Despite missing targets, Starbucks saw a slight turnaround under the new CEO, Brian Niccol.

CEO Brian Niccol pointed out the turnaround:

“My optimism has turned into confidence that our Back to Starbucks plan is the right strategy to turn the business around and to unlock opportunities ahead. Improving transaction comp in a tough consumer environment at our scale is a testament to the power of our brand and partners getting ‘Back to Starbucks.’ We are on track, and if anything, I see more opportunity than I imagined.”

Heading into 2025, management remains confident in its Back to Starbucks strategy to grow and stabilize the business. However, the company did not disclose the detailed financial outlook for upcoming quarters. Recovery and international expansion are major priorities, with 8 out of the top 10 markets indicating improvement in sales. Moreover, the company plans to enhance operational efficiency.