Seeking Alpha

Starbucks Corporation (SBUX)

  • Oct. 4, 2012, 10:52 AM
    The potential entry of McDonald's into the bagged coffee game throws an unexpected wildcard into the mix with the space already crowded by the likes of Green Mountain Coffee Roasters (GMCR -0.8%), Starbucks (SBUX -1.1%), Kraft Foods Group (KRFT +3.1%), and Dunkin' Brands (DNKN +0.1%) to name a few. Though the competition is heated, there could be enough cups of Joe to go around as even a tiny sliver of the huge market can lead to significant profits for any of the major players. Coffee market breakdown: The $10B industry percolates at a 5% growth clip per year with a profit margin close to 30%.
    | Oct. 4, 2012, 10:52 AM | 5 Comments
  • Oct. 3, 2012, 1:42 PM
    The raging debate on the impact that the new Starbucks (SBUX +0.3%) Verismo machine will have on Green Mountain Coffee Roasters (GMCR -1.6%) shows no signs of dying down. While one camp sees the looming presence of Verismo in the market as directly impacting Keurig and K-Cup sales, the other side rails that GMCR's imposing distribution channel more than covers any slight dip in machine sales. The bigger issue: Will both companies lose out with Kraft, Safeway, and Kroger fighting them on consumable pricing.
    | Oct. 3, 2012, 1:42 PM | 10 Comments
  • Oct. 2, 2012, 11:59 AM
    Though David Einhorn took aim at Green Mountain Coffee (GMCR +1.5%), Starbucks (SBUX -1.7%) sold off as Einhorn expressed concerns about the coffee chain's K-Cup distribution deal with Green Mountain. Green Mountain, meanwhile, has turned positive - 34.6% of the company's float was shorted as of Sep. 14, and some of those shorts probably expected some harsh remarks from Einhorn, given his past opinions.
    | Oct. 2, 2012, 11:59 AM | 6 Comments
  • Sep. 28, 2012, 1:20 PM
    Green Mountain Coffee Roasters (GMCR -3.5%) will drop the prices on its Keurig brewer in order to stay competitive. A new Keurig Vue model will launch at $209.99, while the original Vue model is lowered by $20 to $229.99. Starbucks (SBUX -0.8%) has its single-serve brewing machine, the new Verismo 580 model, listed at $199 on its website.
    | Sep. 28, 2012, 1:20 PM | 4 Comments
  • Sep. 28, 2012, 12:58 PM
    Starbucks (SBUX -0.7%) hopes that the points made in Fran Hawthorne's book Ethical Chic stay under the radar. The author notes that companies such as Starbucks tagged as socially aware benefit from their image - even if it's not fully supported by their actions. Specifically, she takes Starbucks to task over its claims to take a holistic approach to ethically sourcing coffee. But on the flip side, what she calls social wrongs, investors long SBUX might call profit-making smart branding.
    | Sep. 28, 2012, 12:58 PM | Comment!
  • Sep. 28, 2012, 6:50 AM
    Starbucks (SBUX) will finally storm India with its first store in the nation slated to be open by the end of October. The company expected to be up and running last year but ran into delays acquiring real estate. The goal is to have 50 Indian outlets opened by the end of the year through a joint venture with Tata Global Beverages.
    | Sep. 28, 2012, 6:50 AM | 1 Comment
  • Sep. 27, 2012, 3:56 PM
    Starbucks (SBUX +1.8%) says it will offer a 2-for-1 deal on K-Cup packs this weekend in another indication that the company plans to see its Verismo machine and pods make K-cups obsolete in the future. The heat is now on Green Mountain Coffee Roasters (GMCR +5.4%) to make a strong play of its own to stop Verismo from building up too much momentum in front of the holiday season.
    | Sep. 27, 2012, 3:56 PM | 15 Comments
  • Sep. 26, 2012, 2:42 PM
    Execs with Starbucks (SBUX -0.6%) tip off that early sales of Verismo brewers are topping expectations and the product is on back order in some markets.
    | Sep. 26, 2012, 2:42 PM | 7 Comments
  • Sep. 26, 2012, 10:11 AM
    Starbucks (SBUX -0.5%) could benefit from the integration of its digital payment card into Apple's new iOS software and virtual wallet, according to SA author Freedonia Freelance. Though Cult of Mac doesn't expect the company to have an upgraded app until the next week, when it comes it could set Starbucks apart from other quick-service restaurant players.
    | Sep. 26, 2012, 10:11 AM | 1 Comment
  • Sep. 20, 2012, 10:39 AM
    Starbucks (SBUX +1.5%) CEO Howard Schultz tells CNBC (video) that customers want its branded coffee from a single cup brewer in a development that adds a bit more pressure to Green Mountain Coffee Roasters (GMCR -6.3%) to hold onto its market share. As for the "partnership" in place between GMCR and SBUX, Schultz says it's in place for the "time being."
    | Sep. 20, 2012, 10:39 AM | Comment!
  • Sep. 20, 2012, 7:18 AM
    Just a day after Green Mountain Coffee Roasters (GMCR) CEO Larry Blanford seemed to scoff at competition from Starbucks (SBUX), its rival is out an announcement on its new Verismo single-cup coffee machine. Though Starbucks CEO Howard Schultz says the company is committed to its Green Mountain partnership, analysts still see Verismo as a competitive pressure that could alter the coffee landscape. GMCR -2.6% premarket, SBUX -0.2%.
    | Sep. 20, 2012, 7:18 AM | 2 Comments
  • Sep. 20, 2012, 7:07 AM
    Starbucks (SBUX) plans to introduce a single-cup coffee machine that consumers can use to make lattes at home with a special milk pod. The new Verismo machine will be sold online and in stores with one version selling for $199 and a premium model at $399.
    | Sep. 20, 2012, 7:07 AM | Comment!
  • Sep. 19, 2012, 5:58 AM
    Green Mountain (GMCR) CEO Larry Blanford gives an upbeat interview to the WSJ, pointing out that while sales growth is falling, it's still going to be 15%-20%, which few other companies in GMCR's sector achieve. Blanford's also not worried about Starbuck's (SBUX) single-serve brewing machines, as they're espresso products while GMCR's are for filtered coffee.
    | Sep. 19, 2012, 5:58 AM | 2 Comments
  • Sep. 14, 2012, 7:20 AM
    Starbucks (SBUX) opens its first pop-up store in Japan as it tests the concept of a slimmed-down space geared towards building brand loyalty. The test store will only be open until the end of the month, but a broader rollout in Japan or even the U.S. could come down the pike if results are positive.
    | Sep. 14, 2012, 7:20 AM | Comment!
  • Sep. 7, 2012, 7:11 AM
    Starbucks (SBUX) uses strategic tactics as it delves outside of major metropolitan areas in China, adopting styles that make stores look more like local courtyards than the trademark outlets that litter the U.S. The challenge for Starbucks and other U.S. retailers with big growth plans in China is how to appeal to consumers who are ruthless savers and largely unaffected by popular culture.
    | Sep. 7, 2012, 7:11 AM | Comment!
  • Sep. 5, 2012, 12:15 PM
    Shares of Starbucks (SBUX +1.6%) get a boost with positive comments out from Oppenheimer's Brian Bittner. The analyst sees the Outperform-rated company raking it in from lower wholesale coffee prices to the tune of $0.09 to EPS in FY13 and $0.28 in FY14.
    | Sep. 5, 2012, 12:15 PM | Comment!
Company Description
Starbucks Corp is the roaster, marketer & retailer of specialty coffee in the world, operating in 65 countries. It sells a variety of coffee & tea products. It sells goods and services under brands under Teavana, Tazo, Seattle's Best Coffee, etc.
Sector: Services
Country: United States