Core Viewpoint - Dutch Bros has shown significant growth potential, with shares up 98% over the past year, while Starbucks faces challenges with a 28% decline from its 52-week high [1] Group 1: Dutch Bros Overview - Dutch Bros has recently opened its 1,000th location, aiming for a total of 7,000 stores, up from a previous target of 4,000 [2][4] - The company emphasizes convenience through drive-through locations, a diverse menu for customization, and friendly customer service [2] - Dutch Bros has a strong presence in the western and southern U.S., indicating substantial opportunities for national expansion [3] Group 2: Financial Outlook - If Dutch Bros successfully expands its store count seven-fold, it could lead to significantly higher revenue and net income, making its current price-to-earnings ratio of 174 less relevant [4] - The leadership team at Dutch Bros is optimistic about performance, which is reflected in their ambitious growth targets [4] Group 3: Starbucks Overview - Starbucks reported a 4% decline in same-store sales for the first quarter of fiscal 2025, marking the fourth consecutive quarter of year-over-year declines [5] - Customer dissatisfaction has been attributed to price increases, long wait times, and menu complexity, alongside potential losses due to political or social issues [6] - Despite current challenges, Starbucks maintains a strong brand recognition and scale, with over 17,000 stores in the U.S. and nearly 41,000 worldwide, providing cost advantages [7] Group 4: Future Projections - Consensus analyst estimates predict a 24% increase in earnings per share for Starbucks in fiscal 2026, followed by a 19% increase the next year, suggesting potential recovery [8] - The leadership team at Starbucks is focused on improving customer experience and employee support to facilitate a turnaround [11] Group 5: Investment Considerations - Dutch Bros stock presents a higher upside potential over the next decade, contingent on successful execution of its growth strategy [9] - However, Starbucks is viewed as the better stock to buy currently due to its competitive strengths and ongoing efforts to improve performance in a competitive market [10]

Core Viewpoint - Starbucks is expected to report its fiscal Q2 results on April 29, with investors hoping for a rebound in stock performance despite a year-to-date decline of 10% and a 28% drop from its 52-week high of $117 per share [1][4]. Financial Expectations - Q2 sales are projected to reach $8.79 billion, reflecting a 2% increase from $8.56 billion in the same quarter last year [4]. - International revenue is anticipated to rise by 5% to $1.84 billion compared to $1.75 billion in the prior period [4]. - Q2 EPS is expected to decrease to $0.49 from $0.68 per share a year ago, indicating a significant decline [5]. Earnings Performance - Starbucks recently exceeded Q1 EPS expectations by 4%, but has shown an average earnings surprise of -2.34% over the last four quarters [5][6]. - The reported earnings history shows fluctuations, with an average surprise of -2.34% across the last four quarters [6]. Stock Performance - Over the last two years, Starbucks stock has decreased by 24%, and it has only gained 11% over the last three years, underperforming the broader index which has returned over 30% [7]. - The stock is currently trading at 28.6X forward earnings, which aligns with its decade-long median and is below the peak of 95.8X during this period [8]. Valuation Insights - Starbucks' valuation is not excessively high compared to the S&P 500's forward earnings multiple of 21.2X and the Zacks Retail-Restaurants Industry average of 26.2X [8]. Future Outlook - Currently, Starbucks holds a Zacks Rank 3 (Hold), with expectations for a resurgence in profitability next year, but it may be premature to consider it a buy for a sustained rebound [9]. - The potential for meaningful upside is contingent on Starbucks meeting or exceeding Q2 expectations and providing guidance that indicates a return to growth [9].

Group 1 - The core viewpoint of the article indicates that Starbucks is optimistic about reaching an agreement despite the union's proposal being deemed "incomplete" [1] Group 2 - The union has submitted proposals to representatives, which Starbucks considers not fully comprehensive [1] - Starbucks expresses a positive outlook towards the negotiation process and potential agreement [1]

Starbucks Corporation (SBUX) is scheduled to report second-quarter fiscal 2025 results on April 29, 2025, after the closing bell. In the last reported quarter, the company’s earnings surpassed the Zacks Consensus Estimate by 4.6%.Trend in Estimate Revision of SBUXThe Zacks Consensus Estimate for fiscal second-quarter EPS has declined to 49 cents from 52 cents in the past 30 days. The expected figure indicates a fall of 27.9% from the year-ago quarter’s 68 cents per share. (See the Zacks Earnings Calendar to ...

Starbucks (NASDAQ: SBUX ) (NEOE: SBUX:CA ) continues to grab my attention, and as its earnings approach, I see three red flags that I would like to bring to everyone's attention. In fact, we should not ignore that, when a stock such as Starbucks, with itsI focus on long term growth and dividend growth investing. I follow both the US and the European stock markets, looking for undervalued stock and/or for high quality dividend growing companies that provide me with cash to reinvest. Over time, I have come to ...

Core Viewpoint - Analysts forecast that Starbucks will report quarterly earnings of $0.49 per share, reflecting a year-over-year decline of 27.9%, with anticipated revenues of $8.79 billion, an increase of 2.6% compared to the previous year [1]. Earnings Projections - Over the past 30 days, the consensus EPS estimate has been adjusted downward by 2.4%, indicating a reassessment by covering analysts [2]. - Changes in earnings projections are crucial for predicting investor reactions, as empirical studies show a strong correlation between earnings estimate trends and short-term stock price movements [3]. Revenue Estimates - Analysts expect 'Net Revenues- Company-operated stores' to be $7.29 billion, a year-over-year increase of 3.4% [5]. - 'Net Revenues- Licensed stores' are projected to reach $1.05 billion, reflecting a decline of 0.6% year-over-year [5]. - 'Net Revenues- Other' is estimated at $456.59 million, indicating a slight increase of 0.2% from the prior year [5]. - The consensus for 'Net Revenues- Channel Development' stands at $422.80 million, suggesting a year-over-year change of 1.1% [6]. - 'Net Revenues- North America' is estimated at $6.57 billion, a 2.9% increase year-over-year, while 'Net Revenues- International' is projected to be $1.85 billion, reflecting a 5.1% increase [6]. Store Metrics - Analysts predict 'Total Stores' will reach 40,887, up from 38,951 a year ago [7]. - 'Total Licensed stores EOP' is expected to be 19,371, compared to 18,842 in the same quarter last year [7]. - 'Total Stores - North America' is projected at 18,635, an increase from 18,065 year-over-year [7]. - 'Total Company-operated stores EOP' is forecasted to be 21,512, up from 20,109 in the previous year [8]. - 'Total Stores - International' is expected to reach 22,217, compared to 20,886 a year ago [8]. - 'Licensed stores - International' is projected to be 12,042, an increase from 11,604 in the same quarter last year [9]. Stock Performance - Starbucks shares have decreased by 15.5% over the past month, contrasting with a 5.1% decline in the Zacks S&P 500 composite [9].

The latest trading session saw Starbucks (SBUX) ending at $82.79, denoting a +1.27% adjustment from its last day's close. This move lagged the S&P 500's daily gain of 1.67%. Meanwhile, the Dow experienced a rise of 1.07%, and the technology-dominated Nasdaq saw an increase of 2.5%. The the stock of coffee chain has fallen by 14.74% in the past month, lagging the Retail-Wholesale sector's loss of 4.21% and the S&P 500's loss of 6.57%. The Zacks Rank system, ranging from #1 (Strong Buy) to #5 (Strong Sell), p ...

Group 1: Starbucks and JD Delivery - Starbucks has become the first restaurant brand to integrate its membership system with JD's instant delivery platform, enhancing its delivery coffee ecosystem [1] - The integration allows "Star Club" members to enjoy the same benefits and services on JD's platform as they do through Starbucks' own channels [1] - JD's platform has developed customized features for Starbucks, enabling users to personalize their coffee orders based on preferences such as temperature and flavor [1] Group 2: Tea Export Statistics - In the first quarter of 2025, China's tea exports reached 101,000 tons, generating $350 million, marking a year-on-year increase of 17.1% and 7.0% respectively [3] - Green tea exports accounted for 88,000 tons, while black tea saw the highest growth rate at 24.4% [3] - Major export markets include Morocco, Ghana, and Uzbekistan, with significant increases in exports to Morocco and Côte d'Ivoire [3] Group 3: Kuaishou Spring Tea Campaign - Kuaishou's Spring Tea campaign reported a 55% year-on-year increase in GMV for green tea products [6] - The campaign involved sourcing from key tea-producing regions and featured live-streaming events to promote traditional tea-making techniques [6] - The overall user engagement metrics showed a 42% increase in order volume and a 117% increase in user-generated content [6] Group 4: Nestlé's Coffee Innovations - Nestlé announced the upgrade of its classic 1+2 coffee formula, eliminating trans fats and enhancing coffee content [7] - The company aims to continue localizing its products for the Chinese market, focusing on innovation and empowerment of the Yunnan coffee industry [7] - Nestlé's strategy includes leveraging product innovation to expand its presence in the global coffee market [7]

Core Insights - Starbucks appointed Brian Niccol as the new CEO to revitalize sales growth, particularly in the U.S. and China, which are its largest markets [1] - Prior to Niccol's appointment, Starbucks experienced a decline in same-store sales, with a drop of 7% in the fiscal fourth-quarter of 2024, including declines of 6% in the U.S. and 14% in China [2] Investment Performance - Over the past five years, Starbucks shares have shown volatility, with a price increase of 5.7% and a total return of 17.7% when including dividends, making a $5,000 investment worth approximately $5,285 today, or $5,886 with reinvested dividends [3] - In comparison, the S&P 500 index returned over 84% during the same period, indicating that a $5,000 investment in the index would be worth over $9,180, highlighting Starbucks' underperformance relative to the broader market [4] Current Market Conditions - Early in Niccol's tenure, fiscal first-quarter same-store sales in the U.S. fell by 4%, while China saw a 6% decline [5] - The current valuation of Starbucks stock, with a price-to-earnings (P/E) ratio of 26, is not considered a discount compared to the S&P 500, which has the same P/E ratio, although Starbucks' P/E is slightly lower than its 10-year median of 30 [4][5]

Starbucks on Monday revealed a new dress code for java-slinging baristas as CEO Brian Niccol bets on creating a comfortable, welcoming environment to boost the sagging company’s sales.Starting May 12, employees will have to wear solid black tops, and will be issued two shirts from a new, company-branded line at no cost. Previously, the baristas were allowed to wear any color shirt they chose. The workers must also wear khaki, black or blue denim bottoms. The prior dress code had allowed for gray and brown s ...