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Starbucks Corporation (SBUX)

  • Thu, Apr. 23, 4:16 PM
    • Starbucks (NASDAQ:SBUX): FQ2 EPS of $0.33 in-line.
    • Revenue of $4.56B (+17.8% Y/Y) beats by $30M.
    • Shares +3.89%.
    • Press Release
  • Thu, Apr. 23, 4:13 PM
    • Starbucks (NASDAQ:SBUX) reports global comparable store sales increased 7% in FQ2 vs. 5.1% expected and 4.9% last quarter.
    • Transactions were up 3% and the average price per order was 4% higher.
    • Comp growth by region: Americas and U.S. +5%; EMEA +2%; China/Asia Pacific +12%. All three regions showed positive traffic.
    • The company's operating margin improved 40 bps Y/Y to 17.0%.
    • My Starbucks Rewards member adds +1.3M members to 10.3M members total.
    • The company added 210 net new stores during the quarter.
    • FY15 guidance is reaffirmed at revenue growth of 16%-18% and a mid single-digit comp.
    • FY15 EPS of $1.77-$1.79 expected vs. $1.57 consensus (split-adjusted).
    • SBUX +4.17% AH to $51.50.
  • Wed, Mar. 18, 3:42 PM
    • Starbucks (NASDAQ:SBUX) didn't forget about China at today's eventful annual meeting of shareholders.
    • Execs noted that China is the coffee giant's fastest-growing market and say the company plans to have 3.4K stores open in the nation within five years.
    • Shanghai already has more Starbucks outlets than any other city in the world.
    • The company says it signed a deal with Tingyi Holdings to produce and distribute the company's ready-to-drink products in China.
    • Starbucks plans to convert tea drinks in China to the Teavana brand in 2016.
    • Previous from the annual meeting: Starbucks announces delivery serviceStarbucks to split 2-for-1
    • Shares of SBUX staged a rally during the event to carve out a 1.8% gain.
    | 1 Comment
  • Mon, Mar. 9, 8:28 AM
    • McDonald's (NYSE:MCD) appears to have lost market share during February in the U.S.
    • Black Box Intelligence estimates that comparable-store sales in the restaurant industry rose 2.1% in February vs. the 4% decline reported earlier by McDonald's for the month.
    • The deceleration across the industry was strongly influenced by a 5.8% drop in New England due to a harsh winter month, while McDonald's cites broader promotional pressure.
    • Within the burger sector, Sonic reported a sizzling 11.5% comp for its FQ2 which included all of February and didn't mention any promotional headaches.
    • Retail analysts think Sonic (NASDAQ:SONC) and Jack in the Box (NASDAQ:JACK) have converted some loyal McDonald's customers - while on a smaller scale the higher-end burger concepts at Five Guys, Habit Restaurants (NASDAQ:HABT), In-N-Out Burger, and even Shake Shack (NYSE:SHAK) have had an influence.
    • An even deeper dive into breakfast traffic has concluded Starbucks (NASDAQ:SBUX) has taken some coffee-on-the-go share.
    • Previously: McDonald's misses Feb. comp mark as U.S. disappoints
    • MCD -1.21% premarket to $95.95 after shares floated over the $100 level last week.
  • Thu, Feb. 26, 10:42 AM
    • Shares of J.M. Smucker (SJM +1%) and Dunkin Brands' (DNKN +2.9%) are both higher after the two companies sign a deal to broaden distribution for Dunkin' Donuts K-cups.
    • J.M. Smucker is handling distribution to grocery stores and club chains, while Keurig Green Mountain (GMCR -0.1%) will cover office supply stores and specialty stores.
    • Perhaps the most important aspect of the new distribution deal is that Dunkin' K-Cup packs will now be sold online.
    • The K-cup shakeup isn't expected by most analysts to have a major impact on Starbucks (SBUX +0.2%) which is also a Keurig partner. Smaller coffee brands could suffer though.
  • Thu, Jan. 22, 5:36 PM
  • Thu, Jan. 22, 4:14 PM
    • Starbucks (NASDAQ:SBUX) reports global comparable store sales increased 5% in FQ1 vs. 4.9% expected and 5.0% last quarter and in the year-ago period.
    • Traffic was 2% higher during the quarter.
    • Comp growth by region: Americas and U.S. +5%; EMEA +4%; China/Asia Pacific +8%.
    • Operating margin improved -130 bps Q/Q and -10 bps Y/Y to 19.1%. The decline was due in a large part to a shift in ownership in Japan.
    • My Starbucks Rewards member adds +10% to over 9M members.
    • The company added 512 net new stores during the quarter.
    • FY15 EPS guidance is reaffirmed at revenue growth of 16%-18% and a mid single-digit comp.
    • FY15 EPS of $3.09-$3.13 expected vs. $3.13 consensus.
    • SBUX +3.17% AH
    | Comment!
  • Thu, Jan. 22, 4:04 PM
    • Starbucks (NASDAQ:SBUX): FQ1 EPS of $0.80 in-line.
    • Revenue of $4.8B (+13.2% Y/Y) in-line.
    • Shares +2.4%.
  • Fri, Jan. 9, 9:35 AM
    • Reports indicate the departure of Starbucks (SBUX -1.3%) COO Troy Alstead is due to a personal issue which has been under discussion for some time.
    • The Puget Sound Business Journal suggests it's "unlikely" Alstead will return to the company.
    • Alstead nearly left the company in 2008 before CEO Howard Schultz talked him into staying.
    • Several analysts have tipped that the dip in shares makes for a good entry point on Starbucks, although SA contributor Howard Penney has a detailed look on the company which could give some investors pause.
    | Comment!
  • Mon, Jan. 5, 9:16 AM
    • Janney Capital Markets downgrades Starbucks (NASDAQ:SBUX) to a Neutral rating from Buy
    • The investment firm thinks shares could have a testy year as the company struggles to show accelerating comp growth.
    • SBUX -1.69% to $80.06.
  • Dec. 5, 2014, 8:32 AM
    • JPMorgan raises its price target on Starbucks (NASDAQ:SBUX) to $89 from $82 after taking in the company's Investor Day presentation.
    • Piper Jaffray thinks share will "double" in the next four years. Needless to say the firm has an Overweight rating locked in on the Seattle company.
    • Other analysts are giving Starbucks CEO Howard Schultz for staying ahead of the "seismic" change in retail toward mobile as best he can with a brick-and-mortar operation.
    • Previously: Starbucks Investor Day: Wine, mobile ordering, and China expansion all on tap (Dec. 04 2014)
    • SBUX +0.9% premarket.
  • Oct. 7, 2014, 8:37 AM
    • Shares of Keurig Green Mountain (NASDAQ:GMCR) are higher in early action despite a soft read from SodaStream (NASDAQ:SODA) on demand for home beverage systems.
    • A strong initiation from Goldman Sachs on the stock is helping to offset any concerns on the category.
    • Coca-Cola (NYSE:KO) has its eyes on the developments with its 10-year Keurig Cold partnership kicking off in 2015.
    • If it's true that PepsiCo (NYSE:PEP) and Starbucks (NASDAQ:SBUX) have interest in SodaStream - there's some number-crunching going inside the C-suites there.
    • GMCR +2.1% premarket, SODA  -17.5%.
  • Sep. 23, 2014, 5:28 PM
    • Starbucks (NASDAQ:SBUX) is acquiring the 60.5% of Starbucks Coffee Japan (OTC:STBJF) it doesn't own from JV partner Sazaby League in a 2-stage deal valued at ¥99.5B ($913.5M). The JV was formed in 1995, and now runs over 1K stores.
    • Through a tender offer, Starbucks will pay ¥965/share for Sazaby's 39.5% stake. Once the deal has closed, a tender will be launched for the 21% stake held by public shareholders/option holders at a price of ¥1,465/share (a 4.7% premium to Monday's close). The deals are expected to be completed during 1H15.
    • Starbucks expects the purchase to be slightly accretive to FY15 (ends Sep. '15) results on an adjusted basis. The company asserts the deal "positions Starbucks to accelerate growth across multiple channels in Japan, including the potential introduction of new concepts, such as Teavana."
  • Aug. 25, 2014, 8:03 AM
    • A strategic reason for Burger King Worldwide (NYSE:BKW) to snap up Tim Hortons (NYSE:THI) is the potential for the company to use its deep global development experience to help the coffee chain grow in new global markets
    • That plan could see Tim Hortons compete against Starbucks (NASDAQ:SBUX) in more regions, including a deeper foray into the U.S.
    • Shares of Tim Hortons (THI) are flying in premarket trading, up 17.6%.
    | 1 Comment
  • Jul. 25, 2014, 2:42 PM
    • Starbucks (SBUX -2%) is finally seeing real progress in China after slowly building a presence for 16 years, CEO Howard Schultz says.
    • "The real breakthrough for us is our core customers today are Chinese, and we are beginning to break through on the morning ritual," the CEO. tells CNBC.
    • Schultz does not comment on the food safety incident involving McDonald's and Yum, but says "food safety is the no. 1 issue for any company doing business in China... and we believe that we've done it the right way."
    • Seeking to deflect any concern over SBUX's warning that FY 2015 EPS growth may be near the bottom of the long-term goal of 15%-20% annual increases, Schultz says "this is a [global] growth story... in our business, to have 7% [growth in] comps on a base of 1,600 stores is really unparalleled."
    • Earlier: Sell-side weighs in on Starbucks.
    | Comment!
  • Jul. 25, 2014, 11:50 AM
    • "With a top and bottom line beat in a difficult consumer landscape, FQ3 lived up to the lofty expectations," says UBS's Keith Siegner (who has a Buy and $90 PT). Nevertheless. some pressure on the all-time high shares could be warranted amid management commentary (CC transcript) that FY15 earnings growth could be at the lower end of the 15-20% range. "We're not phased," he concludes, and would buy on any weakness.
    • Also noting the conservative guidance, Barclays' Jeffrey Bernstein (Equal Weight and $81 PT), says the stock - at 25x forward earnings - is fairly valued.
    • "Strong momentum in the business continues to make Starbucks (SBUX -2.3%) a long-term holding," says JPMorgan's John Ivankoe (Overweight and $85 PT). "While we believe some consolidation may be warranted to more aggressively purchase shares, we continue to advocate long-term investment based on uncommonly high cash flow/balance sheet flexibility, earnings power and visibility over the next few years."
    • Previously: Starbucks edges lower following earnings beat
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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