Starbucks Corp Stock Price, News & Analysis

Starbucks has announced its plan to sell the Seattle’s Best Coffee brand to Nestlé, strengthening their existing Global Coffee Alliance. This strategic move allows both companies to concentrate on their core businesses. The partnership aims to enhance the premium coffee experience through innovative products and marketing strategies. Starbucks expects the transaction to close by the end of 2022, pending Board and regulatory approvals.

Delta Air Lines (NYSE: DAL) and Starbucks (NASDAQ: SBUX) announced a strategic partnership allowing Delta SkyMiles and Starbucks Rewards members to link their accounts. Starting Oct. 12, 2022, members can earn one mile per $1 spent at Starbucks and double Stars on flight days. Additionally, those who link accounts by Dec. 31, 2022, will earn bonuses of 500 miles and 150 Stars. This collaboration aims to enhance loyalty program benefits, attracting new members and increasing customer engagement for both companies.

Starbucks Corporation (NASDAQ: SBUX) has announced a quarterly cash dividend increase from $0.49 to $0.53 per share, effective for payment on November 25, 2022. This update marks the twelfth consecutive annual increase in dividends since the company initiated its dividend in 2010, raising the annual rate to $2.12 per share. Shareholders of record by November 11, 2022 will benefit from this increment.

Starbucks celebrated its 6,000th store in the Chinese mainland and 1,000th in Shanghai, making it the first city globally to achieve this milestone. The Shanghai Lippo Plaza Store, opening on September 30, features cutting-edge sustainability solutions and digital operations. To commemorate the occasion, Starbucks is launching the Shanghai Coffee in Crema Ristretto style on September 28, reflecting local flavors.

The company aims to operate 9,000 stores in China by 2025, emphasizing its commitment to innovation and growth.

Starbucks (SBUX) held its Investor Day in Seattle, unveiling a three-year financial roadmap targeting 7-9% annual store sales growth, 10-12% revenue growth, and 15-20% non-GAAP EPS growth through fiscal 2025. The company aims to enhance its operational margins and expand its store count by approximately 7% annually. The introduction of new store formats and significant investments in partner engagement and digital capabilities are expected to drive growth, particularly in China. Starbucks plans to return around $20 billion to shareholders through dividends and share buybacks in the coming three years.

Starbucks announced new benefits to support eligible partners with savings and student loan debt effective September 19, 2022. The initiatives include My Starbucks Savings, allowing partners to save directly from their paychecks with up to $250 in incentives, and a Student Loan Management Benefit through Tuition.io to help manage loan repayments. These programs address financial pressures faced by partners, particularly during high inflation, and aim to enhance overall financial stability.

Starbucks (SBUX) announces Laxman Narasimhan as the new CEO, set to officially take the role on April 1, 2023, after a transition period starting October 1, 2022. Narasimhan relocates from London and brings over 30 years of experience, previously serving as CEO of Reckitt. Howard Schultz will remain as interim CEO and advisor during this transition. Narasimhan aims to enhance the brand's growth through his operational expertise and commitment to innovation. Schultz expressed confidence in Narasimhan’s ability to lead Starbucks into its next growth phase.

Starbucks has partnered with Volvo and ChargePoint to install up to 60 DC fast chargers in 15 Starbucks locations along a 1,350-mile route from the Colorado Rockies to Seattle. The first four chargers are operational in Provo, Utah. This initiative aims to boost EV infrastructure, assisting both EV drivers and Starbucks customers. While any EV can use these chargers for a fee, Volvo drivers will enjoy complimentary access. The project aligns with Starbucks' sustainability goals, including a 50% reduction in carbon footprint by 2030.

Starbucks (SBUX) reported Q3 fiscal 2022 results with consolidated net revenues of $8.2 billion, a 9% increase from the previous year. Comparable store sales rose 3% globally, driven by a 9% increase in the U.S. The company opened 318 new stores, reaching a total of 34,948 locations. However, earnings per share decreased to $0.79 GAAP, down from $0.97 year-over-year. The North America segment saw revenue growth of 13%, while international revenues declined by 6%, primarily due to challenges in China. Starbucks suspended guidance for the remainder of the fiscal year.