ScoreWhy is Starbucks Corp. ?
1
With a Negative Book Value, the company has a Weak Long Term Fundamental Strength
- Poor long term growth as Operating profit has grown by an annual rate 21.36% of over the last 5 years
2
Flat results in Dec 25
- OPERATING CASH FLOW(Y) Lowest at USD 4,273.2 MM
- RAW MATERIAL COST(Y) Grown by 14.54% (YoY)
- NET PROFIT(Q) Lowest at USD 327.04 MM
3
Risky -
- The stock is trading risky as compared to its average historical valuations
- Over the past year, while the stock has generated a return of -5.83%, its profits have fallen by -39.6%
4
Reducing Promoter Confidence
- Promoters have decreased their stake in the company by -0.54% over the previous quarter and currently hold 0.06% of the company
- Promoters decreasing their stake may signify reduced confidence in the future of the business
5
Consistent Underperformance against the benchmark over the last 3 years
- Along with generating -5.83% returns in the last 1 year, the stock has also underperformed S&P 500 in each of the last 3 annual periods
Real-Time Research ReportHow much should you sell?
- All quantity irrespective of whether you are making profits or losses
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Leisure Services)
When to re-enter? - We will constantly monitor the company and review our call based on new data
Is Starbucks Corp. for you?
Medium Risk, Medium Return
Absolute
Risk Adjusted
Volatility
Starbucks Corp.
-5.83%
0.39
34.14%
S&P 500
14.9%
0.77
19.29%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
10.22%
EBIT Growth (5y)
21.36%
EBIT to Interest (avg)
7.77
Debt to EBITDA (avg)
2.44
Net Debt to Equity (avg)
-1.84
Sales to Capital Employed (avg)
4.00
Tax Ratio
24.07%
Dividend Payout Ratio
149.81%
Pledged Shares
0
Institutional Holding
87.68%
ROCE (avg)
82.75%
ROE (avg)
0
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
52
Industry P/E
Price to Book Value
-13.29
EV to EBIT
37.56
EV to EBITDA
24.53
EV to Capital Employed
23.04
EV to Sales
3.32
PEG Ratio
NA
Dividend Yield
2.53%
ROCE (Latest)
61.35%
ROE (Latest)
Negative BV
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Bullish
Mildly Bullish
RSI
No Signal
No Signal
Bollinger Bands
Mildly Bullish
Sideways
Moving Averages
Mildly Bullish (Daily)
KST
Bullish
Bearish
Dow Theory
Mildly Bearish
Mildly Bearish
OBV
Mildly Bullish
Mildly Bullish
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend4What is working for the Company
DIVIDEND PER SHARE(HY)
Highest at USD 30.63
DIVIDEND PAYOUT RATIO(Y)
Highest at 241.43%
NET SALES(Q)
Highest at USD 9,908.4 MM
-14What is not working for the Company
OPERATING CASH FLOW(Y)
Lowest at USD 4,273.2 MM
RAW MATERIAL COST(Y)
Grown by 14.54% (YoY
NET PROFIT(Q)
Lowest at USD 327.04 MM
Here's what is working for Starbucks Corp.
Dividend per share
Highest at USD 30.63 and Grown
In each year in the last five yearsMOJO Watch
Company is distributing higher dividend from profits generated
DPS (USD)
Net Sales
Highest at USD 9,908.4 MM
in the last five periodsMOJO Watch
Near term sales trend is positive
Net Sales (USD MM)
Dividend Payout Ratio
Highest at 241.43%
in the last five yearsMOJO Watch
Company is distributing higher proportion of profits generated as dividend
DPR (%)
Here's what is not working for Starbucks Corp.
Net Profit
At USD 327.04 MM has Fallen at -57.85%
Year on Year (YoY)MOJO Watch
Near term Net Profit trend is very negative
Net Profit (USD MM)
Operating Cash Flow
Lowest at USD 4,273.2 MM and Fallen
In each year in the last three yearsMOJO Watch
The company's cash revenues from business operations are falling
Operating Cash Flows (USD MM)
Net Profit
Lowest at USD 327.04 MM
in the last five periodsMOJO Watch
Near term Net Profit trend is negative
Net Profit (USD MM)
Raw Material Cost
Grown by 14.54% (YoY)
MOJO Watch
The company's ability to pass on the cost of raw materials to customers has deteriorated; this may lead to a fall in profit margin
Raw Material Cost as a percentage of Sales
InfinHub Market Technologies FZ-LLC, Building-2, Unit 112, Dubai Internet City, Dubai, United Arab Emirates
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