Starbucks Corporation was founded by Jerry Baldwin, Gordon Bowker, and Zev Siegl in 1971. In March 1971, they opened the first store in Seattle. At that time, the company only sold coffee beans and equipment. Today, it's the world's largest coffeehouse chain. The company has kept this status for years.
The corporation went public in June 1992 at $17 per share. The company's stock is listed on Nasdaq under the #SBUX ticker. The company pays a cash dividend which has been growing for over a decade.
However, the company's revenue and earnings haven't been stable in recent years. The company is inefficient at transforming shareholder equity into returns. The return-on-assets and return-on-capital-employed metrics are also unstable. Significant changes in the company's financial stability may cause increased volatility in the stock price. Therefore, CFD trading is a better option for dealing with SBUX shares. Traders should pay closer attention to the company's financial reports.
Institutional investors own over 60% of the company's shares. It's an average percentage for the companies in the restaurants industry. Still, traders should consider large stock sales, as they may lead to a plunge in the stock price.
As Starbucks is an old corporation, it has gone through numerous lawsuits and scandals. The major categories of offenses are related to employment, safety, consumer protection, and the environment. Traders should be aware of the ongoing conflicts, as they may cause a stock plunge.
Although Starbucks is recognized as the world's leading coffeehouse, it also has competitors that can outperform it. The top rivals are Dunkin' Donuts, Peet's Coffee, McDonald's, Whitbread, Costa Coffee, and Subway. If customers prefer any of the alternatives, Starbucks's sales will decline, leading to a fall in the stock price.
The company is included in many stock market indices. The major ones are Nasdaq 100, S&P 500, Nasdaq, and NASDAQ Industrial.
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Starbucks is well-known for the music that is constantly playing in the background of each establishment. Starbucks is more serious about music than you may have thought. The organization even has its own record label, Hear Music. It was founded in 2007 with Concord Music Group and featured some of the world's most famous musicians, including Paul McCartney, James Taylor, and Joni Mitchell. If you download the app, you can find out what's playing in the store and sometimes get points for free song downloads.
Starbucks has a few hidden locations. Roy Street Coffee & Tea in Seattle is one of them, and they sell items that aren't on the regular Starbucks menu. This includes non-mass-produced items, such as wine, beer, and gourmet cheeses. They also use the secret shops to try out new things on occasion.
The company has its own coffee farm. It is located in Costa Rica. The company purchased a 240-hectare coffee farm in Costa Rica because Costa Rican coffee has been among the company's core offerings since the coffee shop was launched. For the first time, customers got a chance to try a limited-edition offering of Hacienda Alsacia in 2018.
The company is an attractive employer everywhere it operates. Starbucks provides a generous benefits package to its employees, including healthcare for those who work 20 hours or more each week.
In recent years, the corporation has made significant progress toward a more ecologically responsible future. Starbucks is proud that more than 1,600 of its stores are LEED-certified, which is a huge gain for sustainability.
Starbucks is an attractive investment for investors and traders worldwide. Its #SBUX shares are quite cheap for such a huge enterprise. Starbucks stock price's all-time high of $126.06 was reached on July 26, 2021.
Since 2016 Starbucks has been committed to the fight against hunger in the US. The company cooperated with Feeding America and other hunger-relief organizations to launch a FoodShare program.