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Fundamentals for Starbucks Corporation
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Fundamentals for Starbucks Corporation
Business Operations:
Sector: Consumer CyclicalIndustry: Restaurants
Starbucks Corporation, together with its subsidiaries, operates as a roaster, marketer, and retailer of coffee internationally. The company operates through three segments: North America, International, and Channel Development. Its stores offer coffee, tea, and other beverages, roasted whole beans and ground coffees, complementary food, packaged coffees, single-serve products, and ready-to-drink beverages; and various food products, such as pastries, breakfast sandwiches, and lunch items. The company also licenses its trademarks through licensed stores, and grocery and foodservice accounts. The company offers its products under the Starbucks Coffee, Teavana, Seattle's Best Coffee, Ethos, and Starbucks Reserve brands. Starbucks Corporation was founded in 1971 and is based in Seattle, Washington.
Revenue projections:
The projected decline in SBUX's revenues compared to last year is expected to make investors cautious. A drop in revenue often has a direct negative effect on the company's bottom line, signaling potential challenges that could undermine investor confidence and reduce overall profitability.
Financial Ratios:
| currentRatio | 1.047000 |
|---|---|
| forwardPE | 34.292545 |
| debtToEquity | 0.000000 |
| earningsGrowth | -0.625000 |
| revenueGrowth | 0.055000 |
| grossMargins | 0.221680 |
| operatingMargins | 0.092620 |
| trailingEps | 1.200000 |
| forwardEps | 2.909670 |
SBUX's current ratio, being 1.047, demonstrates that the company has the liquidity necessary to service its short-term debt. With strong cash reserves and current assets, SBUX is well-equipped to meet its immediate financial obligations without any difficulties.
SBUX's low earnings and revenue growth suggest shrinking profits. This negative trend could indicate that the company is struggling to maintain its financial performance and may face challenges ahead.
SBUX's negative gross and operating margins indicate that the company is currently unprofitable at both the production and operational levels. This suggests significant challenges in managing costs and generating revenue, which could impact its overall financial health.
Starbucks Corporation's forward EPS being higher than its trailing EPS points to expected growth in profitability. This suggests that the company is projected to perform better in the current financial year, with higher earnings forecasted compared to the previous year.
Price projections:
The steady upward revision of Starbucks Corporation's price projections indicates growing confidence in the company's performance. Analysts are becoming increasingly optimistic about Starbucks Corporation's future prospects and potential for growth.
Insider Transactions:
SBUX experienced 4 sell transactions with market price of 98.30999946594238 per share.SBUX stock was bought in 1 transactions, while the market price was at 84.5999984741211.More sells than buys at SBUX's current price levels suggest potential weakness. If this trend continues, the stock may experience further price declines as selling pressure increases.
Recommendation changes over time:
Analysts' recent buy bias toward Starbucks Corporation suggests the stock is gaining favor as a strong investment choice. This optimism could drive more investors to see Starbucks Corporation as a smart place to invest, further bolstering confidence in the company's long-term growth and potential returns.
DISCLAIMER: We provide information and our musings based on events, but nothing on this site can be considered professional advice of any kind.
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