Starbucks Keeps Retail Traders Bullish After Naming Nordstrom Exec Cathy Smith As New CFO

Starbucks Corp. (SBUX) drew attention on Tuesday after appointing Nordstrom's chief financial officer, Cathy Smith, as its new CFO. Retail sentiment remained bullish on the news.

Smith, 61, has been Nordstrom's CFO, executive vice president, and treasurer since 2023.

She previously held CFO roles at Bright Health Group, Target Corp., and Walmart International, bringing decades of retail finance experience to Starbucks.

She also serves on the boards of PPG Industries and Baxter International.

Smith will assume her new role next month, succeeding Rachel Ruggeri, who has been Starbucks' CFO since 2021 and briefly served as interim CEO following Laxman Narasimhan's departure.

According to the company, Smith will receive a base salary of $925,000 per year and an annual cash incentive target of 125% of her salary.

The leadership shake-up is part of Starbucks' ongoing turnaround under CEO Brian Niccol, who has pushed major strategic shifts, including restricting non-paying customers from using store spaces.

The company recently announced plans to lay off 1,100 corporate employees and has reportedly paused hiring for hundreds of open positions.

Stocktwits sentiment ended Tuesday in the 'bullish' zone, though message volume was low.

One user praised the move, calling Smith a "stud good pickup."

The company’s latest earnings report showed earnings per share of $0.69, beating consensus estimates of $0.67.

Starbucks stock is up 23% year-to-date.

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