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Starbucks (SBUX) Competitors

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$98.42 -0.20 (-0.20%)
(As of 11/15/2024 ET)

SBUX vs. MCD, CMG, YUM, DRI, DPZ, TXRH, DNKN, SHAK, EAT, and WEN

Should you be buying Starbucks stock or one of its competitors? The main competitors of Starbucks include McDonald's (MCD), Chipotle Mexican Grill (CMG), Yum! Brands (YUM), Darden Restaurants (DRI), Domino's Pizza (DPZ), Texas Roadhouse (TXRH), Dunkin' Brands Group (DNKN), Shake Shack (SHAK), Brinker International (EAT), and Wendy's (WEN). These companies are all part of the "retail/wholesale" sector.

Starbucks vs.

Starbucks (NASDAQ:SBUX) and McDonald's (NYSE:MCD) are both large-cap retail/wholesale companies, but which is the better stock? We will contrast the two companies based on the strength of their community ranking, dividends, earnings, valuation, institutional ownership, risk, analyst recommendations, media sentiment and profitability.

Starbucks presently has a consensus target price of $102.81, indicating a potential upside of 4.46%. McDonald's has a consensus target price of $319.46, indicating a potential upside of 9.17%. Given McDonald's' stronger consensus rating and higher possible upside, analysts plainly believe McDonald's is more favorable than Starbucks.

Company Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Starbucks
3 Sell rating(s)
8 Hold rating(s)
17 Buy rating(s)
1 Strong Buy rating(s)
2.55
McDonald's
0 Sell rating(s)
12 Hold rating(s)
18 Buy rating(s)
0 Strong Buy rating(s)
2.60

McDonald's has lower revenue, but higher earnings than Starbucks. McDonald's is trading at a lower price-to-earnings ratio than Starbucks, indicating that it is currently the more affordable of the two stocks.

CompanyGross RevenuePrice/Sales RatioNet IncomeEarnings Per SharePrice/Earnings Ratio
Starbucks$36.18B3.08$3.76B$3.3129.73
McDonald's$25.49B8.23$8.47B$11.3925.69

McDonald's has a net margin of 31.79% compared to Starbucks' net margin of 10.40%. Starbucks' return on equity of -46.39% beat McDonald's' return on equity.

Company Net Margins Return on Equity Return on Assets
Starbucks10.40% -46.39% 12.54%
McDonald's 31.79%-175.42%15.61%

72.3% of Starbucks shares are owned by institutional investors. Comparatively, 70.3% of McDonald's shares are owned by institutional investors. 2.0% of Starbucks shares are owned by insiders. Comparatively, 0.2% of McDonald's shares are owned by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company will outperform the market over the long term.

In the previous week, McDonald's had 12 more articles in the media than Starbucks. MarketBeat recorded 78 mentions for McDonald's and 66 mentions for Starbucks. Starbucks' average media sentiment score of 1.05 beat McDonald's' score of 0.71 indicating that Starbucks is being referred to more favorably in the media.

Company Very Positive Positive Neutral Negative Very Negative Overall Sentiment
Starbucks
47 Very Positive mention(s)
3 Positive mention(s)
10 Neutral mention(s)
2 Negative mention(s)
0 Very Negative mention(s)
Positive
McDonald's
44 Very Positive mention(s)
8 Positive mention(s)
14 Neutral mention(s)
5 Negative mention(s)
2 Very Negative mention(s)
Positive

Starbucks received 37 more outperform votes than McDonald's when rated by MarketBeat users. Likewise, 76.39% of users gave Starbucks an outperform vote while only 71.89% of users gave McDonald's an outperform vote.

CompanyUnderperformOutperform
StarbucksOutperform Votes
2106
76.39%
Underperform Votes
651
23.61%
McDonald'sOutperform Votes
2069
71.89%
Underperform Votes
809
28.11%

Starbucks has a beta of 0.97, meaning that its stock price is 3% less volatile than the S&P 500. Comparatively, McDonald's has a beta of 0.74, meaning that its stock price is 26% less volatile than the S&P 500.

Starbucks pays an annual dividend of $2.44 per share and has a dividend yield of 2.5%. McDonald's pays an annual dividend of $6.68 per share and has a dividend yield of 2.3%. Starbucks pays out 73.7% of its earnings in the form of a dividend. McDonald's pays out 58.6% of its earnings in the form of a dividend. Both companies have healthy payout ratios and should be able to cover their dividend payments with earnings for the next several years. Starbucks has raised its dividend for 15 consecutive years and McDonald's has raised its dividend for 49 consecutive years.

Summary

Starbucks and McDonald's tied by winning 11 of the 22 factors compared between the two stocks.

New MarketBeat Followers Over Time

This chart shows the number of new MarketBeat users adding {thisCompany.Symbol} and its top 5 competitors to their watchlist. Each company is represented with a line over a 90 day period.
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Media Sentiment Over Time

This chart shows the average media sentiment of NASDAQ and its competitors over the past 90 days as caculated by MarketBeat. The averaged score is equivalent to the following: Very Negative Sentiment <= -1.5, Negative Sentiment > -1.5 and <= -0.5, Neutral Sentiment > -0.5 and < 0.5, Positive Sentiment >= 0.5 and < 1.5, and Very Positive Sentiment >= 1.5.
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SBUX vs. The Competition

MetricStarbucksEating & drinking places IndustryRetail SectorNASDAQ Exchange
Market Cap$111.53B$13.65B$23.65B$8.67B
Dividend Yield2.31%3.34%172.78%4.06%
P/E Ratio29.73106.65115.4917.37
Price / Sales3.082.072.5772.25
Price / Cash21.1333.7520.3036.36
Price / Book-14.986.056.775.87
Net Income$3.76B$411.39M$689.25M$225.66M
7 Day Performance0.89%-3.12%-2.81%-1.34%
1 Month Performance3.10%101.72%0.17%1.00%
1 Year Performance-8.20%68.88%15.92%25.27%

Starbucks Competitors List

CompanyMarketRankShare PriceAnalysts' Price Target1Y Price PerformanceMarket CapRevenueP/E RatioEmployee CountIndicator(s)
SBUX
Starbucks
4.925 of 5 stars
$98.42
-0.2%
$102.81
+4.5%
-8.2%$111.53B$36.18B29.73381,000Analyst Forecast
Positive News
MCD
McDonald's
4.6932 of 5 stars
$298.65
-1.0%
N/A+6.0%$214.23B$25.49B26.22150,000Analyst Revision
CMG
Chipotle Mexican Grill
4.8534 of 5 stars
$60.49
+2.1%
N/A+34.9%$82.42B$9.87B56.30116,068Analyst Forecast
Short Interest ↓
News Coverage
YUM
Yum! Brands
4.6694 of 5 stars
$134.61
-1.5%
N/A+4.5%$37.85B$7.22B25.1635,000
DRI
Darden Restaurants
4.4063 of 5 stars
$167.07
-1.3%
N/A+7.1%$19.63B$11.39B19.27191,105News Coverage
Positive News
DPZ
Domino's Pizza
4.6128 of 5 stars
$440.37
-1.5%
N/A+14.9%$15.21B$4.48B27.0511,200Short Interest ↑
News Coverage
Gap Up
TXRH
Texas Roadhouse
4.2726 of 5 stars
$196.19
+0.9%
N/A+79.7%$13.09B$5.10B33.7191,000Insider Selling
Positive News
DNKN
Dunkin' Brands Group
N/A$106.48
flat
N/AN/A$8.78B$1.37B40.181,114
SHAK
Shake Shack
3.7647 of 5 stars
$130.44
-0.2%
N/A+100.9%$5.54B$1.09B767.2912,196Analyst Revision
EAT
Brinker International
4.0641 of 5 stars
$118.95
+1.1%
N/A+223.5%$5.28B$4.42B29.0168,852Short Interest ↓
Analyst Revision
Positive News
WEN
Wendy's
4.5126 of 5 stars
$18.38
-2.2%
N/A-3.9%$3.75B$2.18B19.3515,300Analyst Revision

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This page (NASDAQ:SBUX) was last updated on 11/17/2024 by MarketBeat.com Staff
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