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Fundamentals for Starbucks Corporation
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Fundamentals for Starbucks Corporation
* SBUX makes the list of companies with the best technicals at present.
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:
Starbucks Corporation is projected to see a decline in revenue compared to last year, which could lead to investor caution. A drop in earnings is often viewed as a negative signal for profitability, making it more difficult for the company to maintain investor confidence in its financial health.
Financial Ratios:
| currentRatio | 1.047000 |
|---|---|
| forwardPE | 33.383965 |
| debtToEquity | 0.000000 |
| earningsGrowth | -0.625000 |
| revenueGrowth | 0.055000 |
| grossMargins | 0.221680 |
| operatingMargins | 0.092620 |
| trailingEps | 1.200000 |
| forwardEps | 2.954640 |
SBUX's current ratio is 1.047, showing the company's capacity to service its short-term debt through its cash reserves and current assets. This is a positive indicator of liquidity, suggesting SBUX has no trouble covering its short-term financial obligations.
SBUX's low earnings and revenue growth suggest that the company may see declining profits. This indicates potential financial challenges ahead, and could lead to a more cautious outlook from investors.
Starbucks Corporation's negative gross and operating margins indicate the company is operating at a loss, unable to generate profit from its core business activities. This suggests financial strain and potential challenges in maintaining profitability.
SBUX's forward EPS surpasses its trailing EPS, reflecting expectations of higher profitability in the current year. This suggests that SBUX is projected to generate stronger earnings, indicating an optimistic financial outlook compared to the prior year's results.
Price projections:
The price of SBUX has consistently been close to the lower limit of expectations. This trend may point to challenges in the company's performance, leading to concerns about its future growth potential.
Insider Transactions:
1 separate transactions to buy SBUX were completed, while market price hovered around 84.5999984741211.During the review period, no buy transactions were executed.The current trend of more sells at SBUX's price levels may signal a potential decline. If this selling pressure continues, it could indicate investor pessimism, leading to more price drops in the future.
Recommendation changes over time:
Analysts have shown a buy bias for SBUX, signaling it as a strong investment choice. This positive outlook could motivate investors to allocate funds to SBUX, seeing it as a reliable and potentially profitable option, especially in an environment where the stock market is highly scrutinized.
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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