Related posts
TSX climbs on BoC cut, Wall Street fadesTSX, tech climbInflation data lifts markets, Starbucks shake-upThis summary was created by AI, based on 26 opinions in the last 12 months.
Starbucks Corporation (SBUX) is currently undergoing a significant transformation under its new CEO, who previously exhibited strong performance at Chipotle. Experts acknowledge the potential for a turnaround, aiming for double-digit growth as the company focuses on enhancing operational efficiency and customer experience. However, concerns persist regarding its high debt levels, exposure to a sluggish market in China, competitive pressures, and the recent record of disappointing earnings. While some analysts are optimistic and even see shared growth potential, there is a cautious outlook on the stock's valuation, with mixed opinions on whether it is fair priced or overvalued at present. The upcoming earnings report is crucial in determining the success of the ongoing strategies and overall recovery post-pandemic.
They changed the CEO last summer, one of the best in fast food (did a great job at Chipotle). The CEO is improving through-put, will restore the coffee house vibe, and wants to add 10,000 locations in the US alone. You're betting on the CEO.
(Analysts’ price target is $106.55)Biggest change is new CEO. Above 200-day MA since last August, now near 52-week high. Slow pandemic recovery in China. Premium of 36x forward PE, with 9% growth -- well over 3.5x PEG. Bit overbought at 80 RSI, take some profit.
Up 18% last month after a beat. He has faith in the new CEO.
It reports Tuesday. Maybe buy it after the conference call. The new CEO did a great job to turn around Chipotle.
Wild ride, ups and downs. 200-day MA is still declining to flattening, not the most positive sign. Sluggish China impacted performance, uncertainty still there. Trying to enhance efficiencies and revenues. Positive earnings growth won't be until next year. 30x forward PE.
The shares are overprices and (some say) the coffee is mediocre. In the last 10 years, the competition has really increased. Too rich.
Buy on this pullback. This was down 13% in 2022, and 2% in 2023 and another 2% this year. It's rare for SBUX to be down three straight years. We'll know when they report Jan. 28 if the turnaround is working. They will do $1 billion in revenue, -1% YOY, $1.12 billion in EBIT or -23% YOY. Analyst expectations are very low. Shares are trading at their 10-year median valuation. They just hired the best QSR CEO who will turn things around. At $80-65, he will add a lot more shares.
Shares are up 27% after they changed CEOs, but some analysts aren't sold. Bears say turnarounds take time and are expensive, and earnings estimates need to come down. He agrees with the bulls who feel that operating margins will improve, though earnings estimates need to come down. He has a large position, but hasn't sold a share on the CEO news. He expects either flat or weak earnings next year, but is willing to hold on as long the company comes out better the following year.
Technically, great that it's broken above the 200-day MA, but that's still trending lower. Stock's gapped up. On his watchlist. Concerns about China, its second-largest market.
Investors should be cautious about the new-CEO effect. They need to execute. Stock moving higher is a hope for execution. Not cheap at this point, 2.9x PEG.
Debt levels are very high at the moment (~$15 billion). Capital allocation has not been very strong. Too many new CEO's lately. Would not recommend investing at this time. Better options for investors out there.
US store traffic is weakening while it's gotten more competitive in China, so weak there. They just got the Chipotle CEO, so shares just popped chase it, but will wait.
Would take a profit on the trade. Short-term, a new CEO doesn't change the fundamental story, maybe long-term. The problems are a saturated market and the consumer is watching their pennies.
It reported a not-as-bad-as expected quarter yesterday. To adjust to the poorer American consumer, it's now offering members discounts, but not to non-members. SBUX must do more to entice consumers.
Starbucks is a American stock, trading under the symbol SBUX-Q on the NASDAQ (SBUX). It is usually referred to as NASDAQ:SBUX or SBUX-Q
In the last year, 22 stock analysts published opinions about SBUX-Q. 13 analysts recommended to BUY the stock. 9 analysts recommended to SELL the stock. The latest stock analyst recommendation is . Read the latest stock experts' ratings for Starbucks.
Starbucks was recommended as a Top Pick by on . Read the latest stock experts ratings for Starbucks.
Earnings reports or recent company news can cause the stock price to drop. Read stock experts’ recommendations for help on deciding if you should buy, sell or hold the stock.
22 stock analysts on Stockchase covered Starbucks In the last year. It is a trending stock that is worth watching.
On 2025-03-14, Starbucks (SBUX-Q) stock closed at a price of $97.16.
Going back to basics. In only 6 months, new CEO has put his stamp on the business. Should be back to double-digit growth next year. Early stages of a turnaround. Incredible franchise. Because people put $$ on their SBUX apps (to the tune of ~$3B), it's making money off this float just like a bank.
Focus includes getting orders through much faster, but creating a better and more welcoming atmosphere. So much about the retail experience today is about the vibe.