Core Insights - Starbucks is closing over 400 stores nationwide, including 54 locations in New York City, due to six consecutive quarters of sales declines and a $1 billion restructuring plan [1][2][11] - The closures have caused chaos among employees, city officials, and landlords, with reports of abrupt notifications to landlords without prior communication [3][4] Company Actions - The company identified stores where it could not create the expected physical environment for customers and partners, leading to the decision to close [5] - Starbucks CEO Brian Niccol emphasized the need to shut down locations that do not show a path to financial performance [7] Legal and Labor Issues - The city of New York has warned Starbucks that it may be violating local labor laws by not offering jobs to employees at closing locations, as mandated by the Fair Workweek Law [8] - The Department of Consumer and Worker Protection has given Starbucks a deadline to explain compliance with these labor laws [8] Market Challenges - Starbucks faces increased competition from new entrants and fast-food chains, such as McDonald's, which is testing new beverage concepts [9] - The company is also dealing with rising coffee prices due to new tariff policies, contributing to its struggles with sales trends [11]

While the company wouldn't provide us with an official list of its closures, Investopedia scoured local newspapers and network affiliates, employee lists circulating on social media, and cross-referenced locations with the Starbucks location app and phone calls to compile a list of 467 locations that have shut their doors permanently this week. This map shows all the closures—hover and zoom to see locations in your area. There is also a searchable table to check your hometown. Below that, we detail why thes ...

Core Insights - Investors are showing a bullish sentiment towards Starbucks, with significant options trading activity indicating potential upcoming developments [1][2] - The overall sentiment among large traders is 69% bullish and 30% bearish, with a notable disparity in the volume of call and put options [2] - Recent options trading suggests that large investors are targeting a price range of $60.0 to $90.0 for Starbucks over the past three months [3] Options Activity - A total of 13 options trades were identified for Starbucks, with 12 being calls amounting to $564,982 and only 1 put worth $25,000 [2] - The volume and open interest data for Starbucks options provide insights into liquidity and trader interest, particularly within the $60.0 to $90.0 strike price range over the last 30 days [4] Company Overview - Starbucks operates over 40,000 stores globally across more than 80 countries, generating revenue from various segments including company-operated stores and ready-to-drink beverages [12] - Analysts have set a consensus target price of $95.0 for Starbucks, although one analyst has recently downgraded their rating to Hold with the same price target [13][14] Current Market Position - As of the latest trading session, Starbucks stock (SBUX) is priced at $84.42, reflecting a decrease of 1.43% with a trading volume of 3,026,023 [16] - The next earnings report for Starbucks is scheduled in 29 days, which may influence future trading activity and investor sentiment [16]

We came across a bullish thesis on Starbucks Corporation on Darius Dark Investing’s Substack. In this article, we will summarize the bulls’ thesis on SBUX. Starbucks Corporation's share was trading at $85.29 as of September 22nd. SBUX’s trailing and forward P/E were 36.92 and 31.15 respectively according to Yahoo Finance. Starbucks Corporation (SBUX): "I Have Been A Huge Beleiver," Says Jim Cramer Photo by nathan-dumlao-6VhPY27jdps-unsplash Starbucks (SBUX), once a cultural icon and a near-perfect compo ...

Group 1 - Starbucks Corporation (NASDAQ:SBUX) is undergoing an aggressive restructuring plan as part of CEO Brian Niccol's turnaround efforts, which includes laying off 900 non-retail employees and closing under-performing stores [2] - Jim Cramer supports Niccol's strategy, emphasizing the importance of closing laggard stores to improve same-store sales, which can be achieved by boosting sales or maintaining the performance of successful locations [2] - The restructuring is aimed at transforming certain locations that do not fit the traditional coffee house model and enhancing mobile ordering capabilities [2] Group 2 - While SBUX shows potential as an investment, there is a belief that some AI stocks may offer higher returns with limited downside risk [3]

Core Insights - Starbucks is facing significant challenges in both North America and China, leading to strategic restructuring and layoffs as part of a $1 billion plan to close hundreds of stores and cut approximately 900 jobs [1][4][13] - The North American market has seen a decline in sales for six consecutive quarters, with a 2% year-over-year drop reported as of June 29 [1][4] - In China, Starbucks is struggling against local competitors, with its market share plummeting from 42% in 2017 to 14% in 2024, while local brands like Luckin Coffee have surpassed Starbucks in revenue [5][9] Group 1: North America Operations - Starbucks announced a second round of layoffs, following the previous cut of 1,100 employees earlier in the year [1] - The company plans to reduce the number of North American stores from 18,743 to 18,300 by the end of the fiscal year [1] - The CEO acknowledged that some stores do not meet customer expectations or profitability standards, leading to closures [1][4] Group 2: China Market Challenges - Despite not being directly included in the layoffs, the Chinese market is undergoing significant strategic adjustments, including potential sale of equity to attract external investment [4] - Starbucks has initiated a price reduction strategy in China, lowering prices on popular items by an average of 5 yuan, but this has not effectively reversed the declining trend [7][9] - The competition from local brands has intensified, with new tea and coffee brands rapidly gaining market share and offering lower prices [5][9] Group 3: Brand Perception and Employee Relations - The company has faced backlash over its mooncake sales strategy, with employees reportedly being pressured to meet sales targets, leading to negative public perception [10][12][13] - Starbucks is attempting to reposition itself by transforming stores into community spaces, but the effectiveness of this strategy remains uncertain [9] - The brand's historical identity as a premium coffee provider is being challenged as consumer preferences shift towards more affordable options [5][9]

Core Insights - Starbucks plans to close approximately 1% of its North American stores by the end of the fiscal year, resulting in a total of 18,300 cafes in the U.S. and Canada [1] - The company will have closed 434 locations between the end of Q3 and Q4, marking a 2.3% reduction in its North American store count for that quarter [2] - The net reduction for the entire fiscal year will be 227 stores, equating to about 1.2% of its North American cafes [2] Store Closures - Starbucks has not disclosed a full list of affected locations, and it remains unclear how many unionized stores are impacted [3] - A significant portion of the closures, at least 150 stores (35%), are located in California, which has the highest minimum wage for quick-service employees at $20 per hour [5] - Other notable closures include 41 stores in New York and 18 in Oregon, with many closures corroborated by digital storefronts on Google and Yelp [5] Union Response - Workers United has formally requested information from Starbucks regarding the planned closures and expects to engage in effects bargaining for impacted union stores [4] - There are claims from former Starbucks employees that more workers were terminated than transferred to other stores following closures [4]

On September 25, Starbucks CEO Brian Niccol informed his employees in a public memo that the company would be cutting 900 corporate roles and closing down stores. Most Read from Fast Company However, the memo didn’t share exactly how many stores would close and where they’re located—leaving employees scrambling to compile that information on their own. Starbucks is framing the restructuring as a part of Niccol’s broader “Back to Starbucks” plan, a sweeping initiative designed to return Starbucks to its ...

Core Insights - Starbucks Chief Technology Officer Deb Hall Lefevre has resigned as the company faces layoffs and restructuring efforts [1] Company Developments - The resignation of the CTO comes at a time when Starbucks is navigating significant changes within its operational structure [1] - The company is currently undergoing layoffs, indicating a shift in strategy or response to market conditions [1]

Core Insights - Starbucks is the world's largest coffeehouse chain, known for its specialty coffee, inviting ambiance, and strong brand loyalty, having transformed coffee drinking into a lifestyle under Howard Schultz [1] - The company operates over 38,000 stores in more than 80 countries, combining a consistent brand approach with local adaptation [2] Financial Performance - Starbucks reported mixed fiscal Q3 2025 results, with earnings per share (EPS) at $0.50, significantly below analyst expectations of $0.65, marking a 45% year-over-year decline [5] - Revenue reached $9.5 billion, exceeding analyst estimates of $9.29–$9.3 billion, reflecting a 3–4% annual increase driven by expansion in company-operated stores and strength in key markets outside the U.S. [5] - Global comparable sales dropped 2%, and operating margin contracted to 10.1% from 16.6% a year prior, impacted by higher labor costs and ongoing investments [6] - Net income for the quarter was $558.3 million, down from $1.05 billion last year [6] Market Performance - SBUX stock has declined 0.2% over the last five days, 3.4% for the month, 13% over six months, and 6.5% year-to-date, with a 52-week drop of roughly 13% [3] - In contrast, the S&P 500 gained around 12% year-to-date and nearly 15% over the past year, highlighting Starbucks' underperformance against its benchmark [4] Strategic Outlook - The company withheld specific full-year guidance but indicated caution for Q4 due to challenging consumer conditions [7] - Management is focused on operational upgrades and innovation, aiming to return to pre-pandemic operating margin levels in the medium term, with potential upside from digital initiatives and new product offerings [7]