Coffeehouse giant Starbucks (SBUX -0.08%) announced on Sept. 1 that it hired Laxman Narasimhan to become its new CEO. He will take the helm next year from founder and three-time CEO of the chain, Howard Schultz, whose current stint has seen Starbucks facing issues relating to labor relations, rising costs, and a slow rebound in China, its second-largest market. 

But to ease investor worries, the company just released fresh long-term growth targets, dubbed the Reinvention Plan, to outline a path to drive improved financial performance for the business. And shareholders have a lot to consider before getting excited. 

With a new outlook, is it time to buy this top restaurant stock? Let's take a closer look. 

Starbucks is reinventing the business 

Starbucks' new Reinvention Plan is targeting improved financial figures over the next three years, including same-store sales growth of 7% to 9%, revenue growth of 10% to 12%, and earnings-per-share growth of 15% to 20% annually through fiscal 2025. Compared to how these financial metrics fared over the past few years, the new targets would be a welcome upgrade. 

While it has long been considered a "third place" for customers to hang out besides work or at home, Starbucks is now focusing intensely on serving customers however they want to be served, increasing convenience and accessibility. And this perspective makes complete sense, given the changes brought on by the coronavirus pandemic. For example, the popularity of remote work setups resulted in consumers visiting Starbucks' locations less frequently but instead making bigger purchases. The Reinvention Plan aims to respond to this trend. 

Over the next three fiscal years, Starbucks will accelerate its global store-opening pace to 7% annually, up from 6% before, with a major push coming in the U.S. This also means enhancing the store footprint with new layouts like pickup only, delivery only, and drive-thru only to better penetrate existing markets. 

What's more, in response to ongoing unionization efforts across the country, Starbucks will invest heavily in fixing the experience for workers by increasing pay, improving benefits, and offering opportunities for career advancement. 

Starbucks will also upgrade its process to better handle order customization as consumers increasingly choose to make changes to their beverages. This has the negative effect of slowing down throughput within stores, a problem that is now being addressed. 

Internationally, the business will continue to lean on its licensing model to drive store growth while at the same time enhancing the digital ecosystem. And unsurprisingly, China, a coffee market that leadership says is still in its early stages, is a massive opportunity. Over the next three years, the expectation is for sales in the country to double, with the store count increasing by 50%. 

This all sounds good on paper, but any company can put together an intriguing presentation with lofty financial goals to please its shareholder base. The real question is whether or not the management team can execute. Ultimately, time will tell, but I'm optimistic because of how successful the company has been in the past. Moreover, it's a positive development to see the business paying attention to its customers' behavior and making the necessary shifts to cater to them. This should result in a bright future for Starbucks. 

What should investors do? 

Starbucks has been a solid investment in the past. Over the past decade, the stock produced a return of 257%, beating the total return of the S&P 500 during the same time. The introduction of the Reinvention Plan increases the likelihood that shares, which are currently trading for a price-to-earnings ratio of just under 25, can outperform over the next few years. This valuation is almost half as cheap as Starbucks' trailing-five-year average. 

From an investor's perspective, I think focusing on businesses that have powerful brands is a worthwhile endeavor. And it's hard to find many companies that top Starbucks when it comes to this attribute. Management has done a wonderful job at integrating technology to bolster Starbucks' connection with its customers while also amassing a treasure trove of data that helps inform key strategic decisions. As of July 3, the top-notch loyalty program counted 27.4 million 90-day active users, up 13% from the prior-year period. This has helped strengthen the brand in the past, and it will continue to in the years ahead. 

With shares down 24% in 2022, now might be a good time for long-term investors to buy Starbucks stock.