Starbucks Corp
SBUX: XNAS (USA)
Morningstar Rating for Stocks | Fair Value | Economic Moat | Capital Allocation |
---|---|---|---|
$78.00 | Tsj | Dhvypfpmp |
Starbucks' Reinvention Plan Positions Firm Well Against Otherwise Challenging Backdrop
Business Strategy and Outlook
Starbucks is the largest specialty coffee chain in the world, generating $36 billion in sales during fiscal 2023. The firm’s attention to premium-quality coffee distinguishes it from chained competitors, alleviating pressure from quick-service peers and at-home consumption while underpinning substantially higher pricing for what has historically been a commoditized product. This positioning looks increasingly important to us moving forward, as both vending and single-serve coffee machines continue to improve at the lower end of the market.