Here in Japan (a notable market), there's a Starbucks on practically every corner (sometimes several) & getting a seat is never easy. They're smashing it here. Like you - I was happy to pick up a position with this recent 'sale'. Happy to keep this for years to come. They've been around since the 70s, and a temporary setback here is little more than a fantastic entry point. Thanks for the video & cheers from Osaka!
What about inflation? When food prices are high, expensive coffee seems like an easy way to trim costs. Inflation and corporate culture will not resolve overnight - but that said, valuation and the chart makes it interesting
Starbucks is facing alot of competition currently, and it's not just coffee. It's the entire caffeine industry. There's a new caffeine product coming out every day now cheaper than a cup of coffee at Starbucks. Comparing its cash on hand and its debt, the company is not looking so much like a cash cow. Valuation-wise, looking at its PE ratio and cash flow, it looks like it's at fair value. Looking at the recent earnings report, you can see that the amount of Star Bucks stores went up yoy , yet revenue went down. That shows the business is deteriorating. Will this trend continue, who knows? Of course, Starbucks does its brand name as its moat, but you can definitely see growth slowing down.
@@jungchang3227 I appreciate the comment but it’s simply just not true, I buy Starbucks every morning and drive through is almost always packed. Starbucks revenue is still prosperously high with an intrinsic value of over 100$. When the economy is doing bad, like right now currently it’s expected for rev to SLOW down not deteriorate like you said. Starbucks is a great deal right now imo.
@@tylertruski6549 Thanks for the comment back. However, my point still stands. Looking at the past earnings report, you can see their profitability dropping, not just revenue, thus the business is deteriorating. As I mentioned before, when a business is opening more store but at the same time revenue is dropping, the business is also deteriorating. Your anecdotal might hold true, but that does not apply to the entire world. I’m not saying Starbucks is a bad company. I’m simply stating what I saw from their earnings report.
@@tylertruski6549 I agree with you. I’ve had my eye on SBUX for quite some time, but thought the P/E valuations were just too high. This recent pullback was a great opportunity to get in at a good price. I bought my new positions below $73.00………I think that’s a great price. I’m willing to ride this out….. collecting a nice dividend until top and bottom lines as the macro economy improves.
I just bought my first 1k shares today. Hopefully we will see a bit of an increase before ex date. What’s your price projection for the next six months? Thanks!
The guy with the glasses is being extremely overdramatic (as is the market). SBUX is a premium product; sales are expectedly down because of a wider consumer pullback in the midst of difficult macro. That's it. Peter Lynch would scoop this up.
I've been buying my coffee at Fuego, for less than $2. It's right between SBUX & BROS, on UTSA Blvd. Their veggie tacos & charro beans are great. I looked to see if they were on the NYSE. They were, for $.01. Then I read that a Dallas restaurant group bought them. I haven't checked, yet, to see if they're on the NYSE. I still own SBUX, though. I wonder if BROS is going to make it, long term. They have NOTHING, except the drinks. They plowed down a forest for a HUGE parking lot & an ugly building. I looked inside, & it's even uglier. It's almost like they're trying for zero charm.
It seems certain stocks are undervalued, flying under the radar despite their potential. You can't help but wonder when the market will recognize their true worth. How can I invest $600K wisely to ensure our future security?
Many of the store employees do not have a college degree in anything. Top leadership arguably needs a bachelors or even masters degree in finance, accounting, or business management.
True. But I'd argue that among foodservice companies, Starbucks is the best about paying for its employees' tuition (at least in part) and encouraging people to advance.
I just can’t bring myself to buy it in todays geo political climate, same reason why I don’t own TSM. If it continues to drop to ridiculous levels though I might be tempted since it’s a solid brand and business.
![I.N "HALLUCINATION" | [Stray Kids : SKZ-PLAYER]](http://i.ytimg.com/vi/n5B5q1Hwt_U/mqdefault.jpg)
Here in Japan (a notable market), there's a Starbucks on practically every corner (sometimes several) & getting a seat is never easy. They're smashing it here. Like you - I was happy to pick up a position with this recent 'sale'. Happy to keep this for years to come. They've been around since the 70s, and a temporary setback here is little more than a fantastic entry point. Thanks for the video & cheers from Osaka!
What about inflation? When food prices are high, expensive coffee seems like an easy way to trim costs. Inflation and corporate culture will not resolve overnight - but that said, valuation and the chart makes it interesting
Love your comment that SBUX is a luxury experience at a time in the economic cycle when that is probably on the decline.
If you’re cautious about Starbucks income statement then you should be cautious about EVERY stock. Starbucks is a cash cow.
Starbucks is facing alot of competition currently, and it's not just coffee. It's the entire caffeine industry. There's a new caffeine product coming out every day now cheaper than a cup of coffee at Starbucks. Comparing its cash on hand and its debt, the company is not looking so much like a cash cow. Valuation-wise, looking at its PE ratio and cash flow, it looks like it's at fair value. Looking at the recent earnings report, you can see that the amount of Star Bucks stores went up yoy , yet revenue went down. That shows the business is deteriorating. Will this trend continue, who knows? Of course, Starbucks does its brand name as its moat, but you can definitely see growth slowing down.
@@jungchang3227 I appreciate the comment but it’s simply just not true, I buy Starbucks every morning and drive through is almost always packed. Starbucks revenue is still prosperously high with an intrinsic value of over 100$. When the economy is doing bad, like right now currently it’s expected for rev to SLOW down not deteriorate like you said. Starbucks is a great deal right now imo.
@@tylertruski6549 Thanks for the comment back. However, my point still stands. Looking at the past earnings report, you can see their profitability dropping, not just revenue, thus the business is deteriorating. As I mentioned before, when a business is opening more store but at the same time revenue is dropping, the business is also deteriorating. Your anecdotal might hold true, but that does not apply to the entire world. I’m not saying Starbucks is a bad company. I’m simply stating what I saw from their earnings report.
@@tylertruski6549 I agree with you. I’ve had my eye on SBUX for quite some time, but thought the P/E valuations were just too high. This recent pullback was a great opportunity to get in at a good price. I bought my new positions below $73.00………I think that’s a great price. I’m willing to ride this out….. collecting a nice dividend until top and bottom lines as the macro economy improves.
I just bought my first 1k shares today. Hopefully we will see a bit of an increase before ex date. What’s your price projection for the next six months? Thanks!
Great qualitative analysis!
Awesome video🔥
The guy with the glasses is being extremely overdramatic (as is the market). SBUX is a premium product; sales are expectedly down because of a wider consumer pullback in the midst of difficult macro. That's it. Peter Lynch would scoop this up.
I've been buying my coffee at Fuego, for less than $2. It's right between SBUX & BROS, on UTSA Blvd. Their veggie tacos & charro beans are great.
I looked to see if they were on the NYSE. They were, for $.01.
Then I read that a Dallas restaurant group bought them. I haven't checked, yet, to see if they're on the NYSE.
I still own SBUX, though.
I wonder if BROS is going to make it, long term. They have NOTHING, except the drinks. They plowed down a forest for a HUGE parking lot & an ugly building. I looked inside, & it's even uglier. It's almost like they're trying for zero charm.
Thank you
It seems certain stocks are undervalued, flying under the radar despite their potential. You can't help but wonder when the market will recognize their true worth. How can I invest $600K wisely to ensure our future security?
How can I reach this adviser of yours? because I'm seeking for a more effective investment approach on my savings
I looked her up, and I have sent her an email. I hope she gets back to me soon. Thank you
On SBUX------They're too expensive.
I like a large McD ☕ with 3 creams, for undeŕ $3.
Their 🍅 panini is good, though.
Many of the store employees do not have a college degree in anything. Top leadership arguably needs a bachelors or even masters degree in finance, accounting, or business management.
True. But I'd argue that among foodservice companies, Starbucks is the best about paying for its employees' tuition (at least in part) and encouraging people to advance.
Competition is killing SBUX. It’s going to get worse.
Is Michael Saylor your coach? The stock has dropped big time. It will never recover, never!
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I just can’t bring myself to buy it in todays geo political climate, same reason why I don’t own TSM. If it continues to drop to ridiculous levels though I might be tempted since it’s a solid brand and business.
😍