Coffee - Nancy

Nancy 

              I have decided to buy shares of the Starbucks Corporation (SBUX) stock. This stock is currently worth $59.70 and is up 0.25 %. It also pays a large dividend (1.34 %). The next earnings date for Starbucks is April 21st and if the company produces good earnings, I expect the stock to rise up to approximately $64, which will be its highest price ever. Starbucks has made a lot of progress in the last few months. In February and March, the stock’s price has risen approximately 3 percent. Starbuck’s results from the last few years are even more impressive. In the last five years, the stock has risen approximately 300 percent (from $18.45 to $59.70). In the past year, the stock has risen from $48.73 to $59.70 (approximately 20 percent). The SBUX is an up streak stock and is the best coffee seller on the market. Starbucks has been doing much better than its competitors (Dunkin' Donuts, McDonalds, Krispy Kreme), primarily due to the opening of many Starbucks stores all over the world. Starbucks operates in many regions in our world including the Americas, Asia, and Africa. Starbucks has opened many new stores in these areas. According to The Motley Fool, the Americas is “the company’s biggest region by store count, revenues, and operating income, leading to a sale increase of 9% this year”. Asia has also become Starbuck’s fastest growing region due to the opening of 281 new stores and due to its “2,000 locations in China, which is its second largest market outside the U.S., and expects to grow that number to 3,400 by 2019”. Starbucks is also greatly investing in Africa by opening up 79 new stores in the area. The expansion of Starbucks all over the world will lead to an increase in the company’s popularity and an increase in the company’s profits. Starbuck’s current, short term, and long term data, alongside the company’s expansion in different parts of the world, are the reasons why I have decided to buy shares of the company’s stock. 


Sullivan, James. "New Stores and Margins: Starbucks Corp. Is Poised to Succeed -- The Motley Fool." The Motley Fool. N.p., n.d. Web. 23 Mar. 2016.