StockCV
Starbucks Corp logo

Starbucks Corp

Retail-Eating & Drinking Places

$90.83
-2.55%
Market cap $104B

Starbucks stands out as the world's biggest and most recognizable coffee brand, powered by ultracustomizable beverages in-store and a sweeping footprint of nearly 41,000 cafes in over 80 countries. About 52% are company-operated, with the balance run by licensees.

It is a $104B consumer company. Revenue grew 4.5% over the last year, it keeps 5¢ of every dollar of sales as profit, and its net debt equals ~3.9 years of free cash flow. It trades at 52.2× earnings — in the most expensive third of its own history.

Location
Seattle, WA
Employees
381 000
Sector
Consumer Cyclical
Founded
1971

Skills

Six independent scores, 0–100, built from reported numbers and valuation history. Click a row to see how it was scored.

Valuation44Growth57Profitability75Health36Quality80Moat62

Strong profitability and quality; Valuation and Health lag behind.

Valuation44
  • P/E vs own history85th pct · 0/25
  • FCF yield3.5% · 12/25
  • P/S2.7x · 20/25
  • EV/EBITDA22.3x · 12/25
Growth57
  • Revenue CAGR6.4% · 12/25
  • Net income CAGR-18.5% · 0/25
  • EPS CAGR ~5Y15.7% · 20/25
  • Fwd implied growth72.0% · 25/25
Profitability75
  • ROIC36.7% · 25/25
  • ROE115.7% · 25/25
  • Net margin5.2% · 13/25
  • Operating margin9.2% · 12/25
Health36
  • Altman Zn/a · 0/25
  • Current ratio0.76 · 6/25
  • Interest coverage14.8x · 25/25
  • Net cash / debtD/A 45% · 5/25
Quality80
  • Piotroski F4/9 · 10/25
  • Beneish M-2.29 · 20/25
  • FCF conversion184% · 25/25
  • Margin stabilityσ 3.5% · 25/25
Moat62
  • ROIC >12% years10/10 yrs · 25/25
  • Median gross margin15.3% · 0/25
  • FCF-positive years10/10 yrs · 25/25
  • Worst-year net marginworst 3.9% · 12/25

How the scores work →

Experience

The company's career so far — founding, the IPO, landmark products and acquisitions, plus revenue milestones and insider buying.

  1. 2022Product
    Starbucks launched a line of canned energy drinks, called "Baya"
  2. Dec 9, 2021Milestone
    Finally, on December 9, 2021, the workers at the Elmwood Avenue store became the first unionized Starbucks workers…
  3. FY2018Financial
    Best year on record
    $4.52B net income
  4. 2017Acquisition
    Starbucks acquired the remaining 50% stake in its Chinese venture from long-term joint venture…
  5. FY2016Financial
    Profitable every year on record
    10 consecutive profitable years in our data
  6. FY2016Financial
    Revenue already above $10B
    $21.3B in first reported year
  7. FY2016Financial
    Positive free cash flow every year since
    10-year streak
  8. 2013Product
    Its first store released in San Bernardino, California and plans for a store in San Francisco were to be launched in…
  9. 2012Milestone
    Starbucks Verismo became publicly available, consisting of a line of coffee makers that brew…
  10. 2009Product
    Starbucks introduced a line of instant coffee packets, called VIA "Ready Brew"
  11. 2008Acquisition
    Journalist Jack Schofield noted that "My Starbucks seems to be all sweetness and light at the moment
  12. 2003Product
    Pumpkin Spice Latte
    the seasonal phenomenon
  13. 1995Product
    The beverage was introduced under the Starbucks name in 1995
  14. 1994Acquisition
    Starbucks acquired The Coffee Connection, gaining the rights to use, make, market
  15. Jun 26, 1992IPO
    IPO on Nasdaq
    went public at $17 with ~140 stores
  16. 1987Milestone
    Howard Schultz buys Starbucks
    merged his Il Giornale cafés — the espresso-bar model begins
  17. Mar 30, 1971Founded
    First store at Pike Place
    three friends selling beans and equipment, inspired by Alfred Peet

Achievements

Verifiable track record, straight from the reported numbers.

#10 largest of 99 Consumer Cyclical companies by market cap
Raised its dividend 15+ consecutive years
$10 000 invested in 2021 would be worth ~$7 642 today — price return only
$37.2B revenue in FY2025
Profitable 10 years in a row
Positive free cash flow 10 years in a row
381 000 employees
ROIC of 36.7%

Strengths & watch-outs

What a bull and a bear would each point to. Both lists come from the reported numbers, not opinions.

Strengths

  • Interest covered 14.8× by operating earnings
  • High returns on invested capital (ROIC 36.7%)

Watch-outs

Nothing stands out as a concern in the available data.

Qualifications

The basics a company should meet before you research it further. Each check uses the reported numbers.

8 of 11 checks passed
  • Revenue growing+4.5% YoY
  • Profitable$1.98B TTM
  • Profit growing-16.9% YoY
  • Generates cash$3.64B TTM
  • Debt under control~3.9y of cash flow to repay
  • Established company$104B market cap
  • Not printing shares-3.6% shares over ~5y
  • Proven track record10/10 profitable years
  • Financially stablehealth score 24/100
  • Pays a dividendyield 2.72%
  • Valuation not extremeP/E 52.2
Peer comparisonStarbucks Corp vs 6 largest consumer cyclical peers — cap, P/E, growth and margin side by sideOpen ▾
CompanyMarket capP/ERevenue growthNet marginProfile
SBUX this company$103.5B52.2+4.5%5.2%Strained
AMZN Amazon.Com Inc$2.8T20.9+15.8%17.4%Mixed
TSLA Tesla, Inc.$1.5T397.1+11.8%3.7%Strong
NFLX NetFlix Inc$292.8B21.4+16.0%28.2%Solid
HD Home Depot, Inc.$290.4B20.4-16.0%8.7%Solid
DIS The Walt Disney Company$186.5B21.7+4.6%8.7%Solid
MCD McDonald's Corporation$166.9B18.9+6.3%31.7%Strained

Head-to-head: SBUX vs AMZN · SBUX vs TSLA · SBUX vs NFLX

References

What covering analysts publish about the company — information only, not a recommendation.

Strong buy 8Buy 14Hold 20Sell 3Strong sell 1

Appendix · Financial records

The full statements behind this CV, FY2016–FY2025. For readers who want to check the numbers.

Want the live picture — intraday moves, valuation history and full analysis?

Deeper analysis of SBUX on PreMarketPrice

Figures are derived from company filings (quarterly values normalised from as-filed year-to-date data where applicable) and may be delayed, restated or incomplete. This page is information, not investment advice. Latest price $90.83 · market cap $104B.