#1 - Starbucks (NASDAQ:SBUX)
Starbucks (NASDAQ:SBUX) is back in growth mode. After four consecutive quarters of year-over-year declines in the company’s revenue, Starbucks posted a YOY rise in revenue in its Q2 earnings report in late April.
Revenue wasn’t the only thing that suffered. The company’s bottom line took a hit as well. However, those concerns may be a bit overstated. Since posting negative earnings per share in the company’s third-quarter earnings report (the three months ending in June 2020), Starbucks has been posting steadily increasing earnings. And while they’re not quite at the level they were pre-pandemic things are trending in the right direction.
And it has to be noted that Starbucks raised its dividend in 2020, which is no small feat. A bearish argument will be that the dividend looks a bit unsustainable in lieu of last year’s earnings. But that ratio will improve as profits rise and that means there should be no near-term problem for the dividend.
About Starbucks
Starbucks Corporation, together with its subsidiaries, operates as a roaster, marketer, and retailer of coffee worldwide. The company operates through three segments: North America, International, and Channel Development. Its stores offer coffee and tea beverages, roasted whole beans and ground coffees, single serve products, and ready-to-drink beverages; and various food products, such as pastries, breakfast sandwiches, and lunch items.
Read More - Current Price
- $87.97
- Consensus Rating
- Moderate Buy
- Ratings Breakdown
- 18 Buy Ratings, 8 Hold Ratings, 3 Sell Ratings.
- Consensus Price Target
- $103.77 (18.0% Upside)
