Dunkin' roasted Starbucks in its Super Bowl advertisement.The ad, starring Ben and Casey Affleck, took shots at Starbucks' long wait times and over-customization.The ad ended with the bold slogan, "America runs on Dunkin'."Dunkin' used the biggest ad space of the year to take shots at Starbucks. The Super Bowl advertisement, which featured actor-siblings duo Ben and Casey Affleck and NFL coach Bill Belichick decked out in Dunkin' merch, depicted a competition among coffee brands.The Affleck brothers and Bel ...

Dutch Bros (BROS 1.54%) shares are soaring, up 87% just in the past three months. Investors are clearly energized about the company's prospects. Starbucks (SBUX -0.28%) shares are on the upswing as well. Bringing in a top restaurant executive to lead the business has sparked investor enthusiasm.Between these two, which is the top coffee stock to buy right now? The answer might surprise you.Betting on growthDutch Bros is making a name for itself thanks to its customer service and highly customizable menu tha ...

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Core Insights - Starbucks stock has increased by 21% year-to-date, reaching approximately $111 per share, outperforming the S&P 500 which grew by 3% in the same period [1] - The company's first-quarter earnings showed a decline in net income to $780.8 million, or $0.69 per share, compared to $1.02 billion, or $0.90 per share, in the previous year [2] - Same-store sales decreased by 4%, marking the fourth consecutive quarter of decline, with significant drops in both U.S. and Chinese markets [2] - Operating expenses surged, compressing margins by 390 basis points to 11.9%, below the ten-year average of 15.1% [2] - Starbucks' revenue for fiscal year 2025 is forecasted to be $37.9 billion, a 5% year-over-year increase, with earnings per share expected at $3.05 [4] Financial Performance - Net sales for the fiscal first quarter remained unchanged at $9.4 billion [2] - Same-store sales in the U.S. fell by 4%, with an 8% decline in store traffic, while in China, same-store sales decreased by 6% [2] - The decline in net income and same-store sales indicates a need for strategic adjustments, particularly in international markets [2] Market Position - Starbucks' stock has shown inconsistent performance over the last four years, with annual returns of 11% in 2021, -13% in 2022, -1% in 2023, and -2% in 2024 [3] - The company's stock has outperformed peers like McDonald's, which has remained flat this year [1] Valuation - The revised valuation for Starbucks is set at $100 per share, based on a projected EPS of $3.05 and a P/E multiple of 32.9x for fiscal year 2025, which is nearly 8% lower than the current market price [4]

In this podcast, Motley Fool analyst Anthony Schiavone and host Dylan Lewis discuss:The market's very upbeat reaction to Starbucks' fairly lackluster results.Brian Niccol's "Back to Starbucks" plan and the progress so far.Brad Jacobs' plans to run his proven acquisition playbook at QXO, and why Beacon Roofing Supply isn't eager to be bought up.Is there a way to make clothing rentals work? If there is, Rent the Runway hasn't quite figured it out. But a quiet competitor might have. Fool analyst Nick Sciple jo ...

Heather Ostis joins homebuilder's board with extensive Fortune 500 experience in supply chain managementSCOTTSDALE, Ariz., Feb. 4, 2025 /PRNewswire/ -- Taylor Morrison (NYSE: TMHC), a national homebuilder and land developer, has appointed Starbucks Executive Heather Ostis to its Board of Directors effective March 1, 2025.Ms. Ostis' demonstrated leadership in global procurement and supply chain are integral functions for new construction and homebuilding. She currently serves as chief procurement officer, gl ...

Chipotle (CMG 0.02%) lost its CEO to Starbucks (SBUX 0.45%), but investors are still curious about this overperforming business.*Stock prices used were the afternoon prices of Jan. 30, 2025. The video was published on Feb. 1, 2025. ...

Starbucks (SBUX 0.45%) shares got a boost following its fiscal Q1 earnings as CEO Brian Niccol continues to implement his turnaround plan. While its results topped analyst expectations, the coffee house operator is still seeing same-store sales and traffic declines.Let's take a closer look at Starbuck's most-recent results and turnaround progress to see whether or not it's too late to buy the stock.Same-store sales continue to declineFor the fourth-straight quarter, Starbucks' same-store sales declined. Thi ...

Core Viewpoint - Starbucks shares surged 8.1% following its first-quarter fiscal 2025 results, raising questions about the sustainability of this growth and the company's future direction [1] Company Performance - Starbucks has experienced significant volatility over the past five years, with the COVID-19 pandemic severely impacting results, followed by inflation and economic challenges in China [2] - The appointment of Brian Niccol as CEO in August marked a turning point, with shares rising 21% on the announcement and a total increase of 39% since then [3] Strategic Initiatives - Under Niccol's leadership, Starbucks is refocusing on core elements that contributed to its past success while addressing issues affecting employee and customer experiences [4] - Recent changes include better management of peak hours, pausing price increases, eliminating non-dairy milk upcharges, and simplifying the menu by reducing selections by 30% [5][6] Employee and Customer Experience - Niccol's strategy emphasizes improving employee satisfaction, which has been a concern due to dissatisfaction and union-led strikes, aiming to enhance customer experience through reduced wait times [6][7] Financial Outlook - The first quarter showed a 4% decline in comparable sales, with consolidated net revenue remaining flat year-over-year, indicating that the full impact of strategic changes may take time to materialize [9] - Starbucks is currently valued at a P/E ratio of 35.3 and a forward P/E of 32.8, suggesting that the stock is no longer considered cheap [10] Market Challenges - Uncertainties remain regarding the company's performance in China, which was once seen as a key growth market, with significant revenue disparities between the U.S. and China [11] Investment Considerations - The case for investing in Starbucks hinges on the success of its turnaround strategy, with the stock being viewed as a bet on management's efforts rather than a recovery to previous performance levels [12] - Starbucks offers a growing dividend, with a compound annual growth rate of around 20% over the past 14 years, providing an incentive for investors during uncertain times [13]

Starbucks (SBUX -1.21%) hasn't been energizing investors' portfolios in recent years. After hitting a peak in July 2021, shares dipped 43% in the 11 months that followed. It has been a volatile journey since then as the chain has gone through a period of softer demand, leadership changes, and a strategic overhaul.Even after a surge that started last summer, the restaurant stock is still trading 15% off its all-time high. That might make the shares enticing to investors who are looking to put some money to w ...