22 Jan 2021 22:59
Starbucks Corporation (#SBUX) was founded in Washington, US in 1971. It is the world’s biggest coffee retailer with stores in 65 countries.
The company purchases and roasts high-quality whole bean coffees as well as sells its products in its own coffeehouse chain. Besides coffee, Starbucks sells tea and other drinks and offers various fresh pastries. Starbucks has the following subsidiaries: Teavana, Tazo, Seattle’s Best Coffee, Evolution Fresh, La Boulange, and Ethos.
The company’s goal is to hold and strengthen the position of the Starbucks brand, which is one of the most recognizable and respectable in the world. The corporation expands its coffeehouse chain by constantly opening new locations in developed and emerging markets. Starbucks offers brand-new coffee varieties and blends as well as other products.
Investments in the Starbucks shares may be considered profitable, according to experts. The common shares are listed on the Nasdaq Stock Market under #SBUX ticker symbol. In 2014, there were around 17,800 shareholders and about 748.3 million outstanding common shares. As of November 20, 2014, the minimum and maximum share prices of Starbucks Corporation were 67.93 and 82.37 US dollars, respectively.
In 2014 and 2013 fiscal years, the company paid $1.10 per common share in dividends for the fourth quarter and $0.89 dollars per common share, respectively. After that, dividends were paid if the Board of Directors decides on dividend declaration.
By the end of June 2017, Starbucks Corporation reported on its quarterly earnings that coincided with analysts’ forecasts. The company downgraded its expectations for the current quarter amid lower activity in the retail and restaurant spheres in the US. According to Starbucks CEO Kevin Johnson, the world’s largest coffeehouse chain plans to invest in China in the long term on the back of concerns over decreased demand in the US. Earlier, the company stated that it was going to buy the remaining 50% of East China from partners for about $1.3 billion. The purchase is expected to be the corporation’s biggest one.
In the third quarter of 2017, the company’s net income dropped by 8.3 percent to $691.6 million, or 47 cents per share. Excluding some balance items, Starbucks earned 55 cents per share in line with consensus.
Sales in the US cafes opened for at least 13 months rose by 5 percent on a quarterly basis. Starbucks Corporation also decreased its annual earnings forecast to $1.96 - $1.97 per share from $2.06 - $2.10 per share.