Starbucks (SBUX)

[winston]

6 Consumer Stocks That Won’t Slow Down: Starbucks (SBX)

Shifting gears in the world of consumer stocks, let’s transition from cars to coffee. Another consumer favorite is Starbucks (SBUX), a pick boasting a delicious year-to-date climb of nearly 40%.

As I mentioned recently, Starbucks is in a sweet spot when it comes to consumer spending. Compared to the majority of restaurant stocks, the company’s offerings are at a much lower price point.

That makes headlines about slowing consumer spending less worrisome, since snagging a cup of coffee on the way to work usually isn’t a budget-breaker (and is likely a habit).

On the flip side, when we consider just the coffee world, Starbucks has sweet price points and thus sweeter margins than a rival such as Dunkin Brands (DNKN), plus a wide range of offerings with regards to actual eats.

This has shown up in earnings, too. The most recent report boasted solid 8% same-store sales growth in the domestic market and record quarterly revenue of $4.9 billion thanks to strong 18% year-over-year growth.

Source: Investor Place

[winston]

Should You Buy Starbucks Stock? 3 Pros, 3 Cons (SBUX)

Should you buy SBUX after its amazing one-year stock performance?

By Matt Thalman

Source: Investor Place

http://investorplace.com/2015/09/starbu ... gxo1dIirIU

[winston]

THE POWER OF INVESTING IN HABITS

Today's chart showcases one of the all-time great investment secrets: investing in habits.

Longtime DailyWealth readers are familiar with this powerful strategy... As Editor in Chief Brian Hunt says, if people only knew this secret of investing, they could ignore just about everything else.

By "investing in habits," we mean owning companies that sell habit-forming or addictive products, like soda, fast food, candy, cigarettes, and alcohol.

One of the best examples of this idea at work is coffee megachain Starbucks (SBUX). Starbucks is undoubtedly one of the most popular stocks in the market... and it's one of America's best businesses. The company has developed a product that millions of people love and rely on every day.

As you can see from the chart below, people still can't get enough of their Starbucks "fix." Shares just struck a new all-time high... and are up 65% over the past year, including dividends.

It's clear to see that investing in habits is a proven way to generate wealth based on common sense.

Source: Daily Wealth

[winston]

not vested

Starbucks Stock: The Perfect Pick-Me-Up for Investors (SBUX)

Strong SBUX earnings show a fast-growing company to love

By Jeff Reeves

Source: Investor Place

http://investorplace.com/2015/10/starbu ... jaz97crKM8

[winston]

How to Get Triple-Digit Tech Gains from This… Coffee Company?

By MICHAEL A. ROBINSON

Source: Money Morning

http://moneymorning.com/2015/11/17/pick ... -disguise/

[winston]

Be Thankful for Starbucks (SBUX)

I’m personally thankful for Starbucks (SBUX) because it offers wi-fi and caffeine, but investors in the chain should be thankful, too.

As is the case with several names on this list, Starbucks has been on an impressive run, tallying 50% year-to-date gains while also boasting a solid outlook.

In this case, analysts are predicting EPS expansion of 18% per year long-term, which is especially notable for such an established and fundamentally sound company.

Starbucks has increased revenue every year since the Great Recession, expanding from $9.77 billion in 2009 to $19.16 billion in fiscal 2015. And the company is putting all the pumpkin spice latte revenues to good use with a rock-solid 50% return on equity.

The whipped cream on top of this order is a 1.3% dividend yield that has been especially sweet considering that the payout is tacked on top of solid organic growth.

Source: Investor Place

[winston]

not vested

Tasty Restaurant Stocks To Buy: Starbucks (SBUX)

Honestly, who gives a flip about red cups? Restaurant stocks investors looking at Starbucks (SBUX) shouldn’t even give it another thought. SBUX is doing what it’s always been doing and that’s filling America’s caffeine addition one expensive cup of joe at a time.

Except, Starbucks isn’t just selling increasing amounts of coffee. For the latest quarter, SBUX managed to see total revenues rise 18% across its entire global portfolio of stores. Here in the U.S. same store sales jumped 8%. This is now the third quarter in a row of total revenues rising by double digits. Aside from increased beverage sales, Starbucks has seen great things from its new food and desert lines as well as rising foot traffic.

And tomorrow could be even brighter for SBUX.

That’s because the restaurant stock has managed to tap into technology in a big way. Starbucks has cultivated a “digital ecosystem” that links Starbucks Cards, apps, and various corporate partnerships with companies such as Apple (AAPL), Lyft, and the New York Times (NYT). And it seems to be driving sales. Starbucks CFO Scott Maw recently reported that 21% of the firm’s payments are made using mobile devices.

With SBUX trading at a forward P/E of 28, investors can snag one of the best stocks to buy without breaking the bank.

Source: Investor Place

[winston]

not vested

Starbucks Corporation (SBUX)

Starbucks (SBUX) has been brewing coffee since 1971 and now has over 23,000 stores in its global empire. But it’s not content to stop with just coffee.

It also owns the Teavana brand and has been pushing into the tea market.

Food, beer and wine are also appearing regularly in Starbucks across North America as the company makes a play to being more than just a coffee shop.

After hitting some bumps in its global expansion during the Great Recession, it has produced double digit growth every year since 2010.

Shares have soared and aren’t cheap. Starbucks has a forward P/E of 33 but shares have been priced higher.

In the 2005 to 2007 period, they traded as high as 45x.

The 3 Criteria:

1. Starbucks sheer size gives it advantages. Starbucks is such a dominant name in the coffee market that it has dared to enter more competitive markets such as Colombia, where the Juan Valdez brand reigns king. It also has shown it can successfully compete outside the coffee market, with teas and non-coffee beverages making up more of its sales.

2. The company started paying a dividend in 2010. In that time, it has never cut and has only raised its payout. The dividend is currently yielding 1.3%.

3. Starbucks has a famous CEO in Howard Schultz. Doesn’t that disqualify the company based on the criteria? I would argue it does not.

While his personality is a big driver of the company, especially his initiatives to hire more military veterans and to pay college tuition for employees, the Starbucks brand is bigger than any one individual. Starbucks can prosper even without Schultz at the helm.

Source: Investor Place

[winston]

not vested

Stocks to Buy in a Crash: Starbucks (SBUX)

Starbucks Corporation (SBUX) is my first choice of stocks to buy. It has not been too badly impacted by the bear market yet, and its results from the last quarter — despite some headwinds in China — show SBUX stock and the company are pretty resilient. SBUX stock is trading at $58, about 10% off its all-time high.

Starbucks has become intertwined with the American experience, and has been on a generally wise path towards expanding its in-store products as well as opening new stores around the world.

While China is the last frontier, I would actually count more on organic expansion within its product base.

Including its dividend, analysts see 20% YOY growth over the next five years.

Now, I’m willing to give SBUX stock a 26x premium estimate, so if you can get the stock below $50, I think that’s a bargain.

However, I would only open a half position. A bear market means you have to enter your new positions a bit at a time.

Source: Investor Place

[winston]

not vested

Can Starbucks Rally 25%?

By Maria Boden

Are you looking to brew up your returns? Today RW Baird reiterated its Buy rating on Starbucks (NASDAQ: SBUX) (SBUX) saying a big rally could be ahead.

The Halftime Report was joined by Baird analyst, David Tarantino, who broke down his reasons for believing in the stock. Tarantino says to look at Starbucks as a consumer staple: "We took a look at Starbucks relative to some of their large cap names in the consumer staples universe largely because Starbucks has a lot of staples like properties both from a qualitative perspective and financial metrics perspective."

David is also encouraged by the valuation: "Starbucks'valuation premium is now close to a five-year low." Lastly, he isn't concerned about other players saying "competition is not a big part of the story" and the company's internal fundamentals remain very healthy.

Baird has a $68 price target, a 25% upside from here.

So, are the Halftime Report experts buying? While the desk agreed that the stock could be a buy here, Pete Najarian argued that the stock may be a bit stretched. However, he remains bullish on the company's overseas growth. Najarian recently sold his calls in SBUX.

Bank of America's Savita Subramanian added that Starbucks is "a staple to the high income consumer and that trend, I see as weakening."

Source: CNBC