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.
Future Outlook | New leadership and the Green Apron Initiative show promise, but analysts expect no significant comparable sales benefit until fiscal year 2026, with an average price target of $94.80 |
Competitive Edge | Despite challenges, Starbucks maintains a strong global presence with $36.7 billion in revenue, differentiated by premium offerings and customer experience focus |
Financial Headwinds | Analysts project a gradual improvement in revenue growth from 2025 to 2027, with EPS estimates for fiscal year 2025 ranging from $2.05 to $2.80 per share |
Turnaround Tactics | Starbucks' "Back to SBUX" strategy aims to revitalize its brand through enhanced customer experience and operational efficiency initiatives |
Metrics to compare | SBUX | Sector Sector - Average of metrics from a broad group of related Consumer Cyclicals sector companies | Relationship RelationshipSBUXPeersSector | |
|---|---|---|---|---|
P/E Ratio | 81.8x | 21.6x | 10.9x | |
PEG Ratio | −1.34 | 0.03 | 0.02 | |
Price / Book | −13.4x | 1.7x | 1.4x | |
Price / LTM Sales | 3.0x | 2.3x | 0.9x | |
Upside (Analyst Target) | 1.7% | 9.6% | 28.3% | |
Fair Value Upside | Unlock | 12.0% | 10.2% | Unlock |