Starbucks Corporation (SBUX)
Starbucks is the world's largest coffeehouse chain, serving up millions of cups of coffee, tea, and snacks across thousands of locations globally.
Is Starbucks Corporation a good stock for a UK beginner?
The honest version: Starbucks is the world's largest coffeehouse chain, serving up millions of cups of coffee, tea, and snacks across thousands of locations globally.
Over about 2 years to 2026-07-31. This is the share price only - reinvesting the dividends would add to it. And it's the USD return - as a UK investor your actual £ return also moves with the exchange rate. Past performance is not a guide to the future, and it could just as easily have fallen.
Based on beta - how much the price swings versus the whole market. Bumpier isn't bad; it just means a rougher ride, which matters more the sooner you might need the money.
Prices move on results, news and the mood of the whole market - no single headline explains a day, and a quiet week is usually just noise, not a signal.
Dominance in the premium coffee market continues globally
Long-term shift in consumer preferences away from coffee chains
What does Starbucks Corporation do?
Starbucks makes its money by selling premium coffee and food, while also building a loyal following through its mobile app and rewards programme. It operates as a 'third place' between home and work, relying on high foot traffic and consistent customer habits. It comes down to how well they can keep customers coming back despite rising costs and competition from smaller, local coffee shops.
On our factor screen it looks strongest on momentum and growth, and weakest on quality.
- ✓Pays a dividend - about 2.4% a year
- !High P/E of 61 - big growth is already priced in
- Massive global brand recognition
- Strong digital presence through the mobile app
- Consistent history of paying dividends
- Quality screens low (22/100)
- Rising costs for coffee beans and labour
- Intense competition from both large chains and independent cafes
- Economic downturns causing customers to cut back on daily treats
What do Starbucks Corporation's numbers mean?
How much money does Starbucks Corporation make?
Revenue and profit by quarter, and how much of each sale turns into profit.
Does Starbucks Corporation pay a dividend?
Yes - Starbucks Corporation currently pays a dividend of about 2.4% a year (the yearly payout as a share of the price). A dividend is a slice of profit handed to shareholders; the yield moves as the price moves, and a company can cut or stop it.
When does Starbucks Corporation report earnings, and how did recent quarters go?
Starbucks Corporation is next scheduled to report on about 2026-10-28 - dates can move, and we don't predict results; this just tells you when to look.
Each quarter a company reports its results against what analysts expected. ‘Beating’ or ‘missing’ is about that expectation, not whether the business is doing well in absolute terms.
| Reported | Expected EPS: The earnings per share analysts expected for the quarter - the average of their forecasts. 'Beating' or 'missing' is measured against this number. | Actual EPS | vs expected |
|---|---|---|---|
| 2026-07-29 | $0.65 | $0.85 | Beat +31% |
| 2026-04-28 | $0.44 | $0.50 | Beat +15% |
| 2026-01-28 | $0.59 | $0.56 | Missed -5% |
| 2025-10-29 | $0.56 | $0.52 | Missed -7% |
| 2025-07-29 | $0.65 | $0.50 | Missed -22% |
| 2025-04-29 | $0.48 | $0.41 | Missed -15% |
Across the last 6 quarters here, Starbucks Corporation came in ahead of what analysts expected 2 times. One quarter is noise, not a trend.
See who else reports over the next two weeks →
Reported vs expected earnings per share (EPS) from published results; the expectation is the analyst consensus, not our view. Report dates are estimates that can move.
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Casey's General Stores, Inc.What are the scenarios for Starbucks Corporation?
An illustrative range for the year ahead, with the assumption behind each case — not a prediction or a price target.
What are the pros and cons of Starbucks Corporation?
How many points the write-up makes each way — a balance check, not a score or verdict.
- Massive global brand recognition
- Strong digital presence through the mobile app
- Consistent history of paying dividends
- Low net profit margins compared to other industries
- High valuation relative to current earnings
- Heavy reliance on consumer discretionary spending
- Rising costs for coffee beans and labour
- Intense competition from both large chains and independent cafes
- Economic downturns causing customers to cut back on daily treats
The write-up's own warning lights — if these start happening, the case above changes.
- A sustained drop in global coffee consumption
- A major failure in the digital rewards platform
Built from public filings & market prices, checked for an education-only tone, and never a price target. How we make these →
This plain-English summary was auto-generated on 2026-08-01 from public data and checked for an education-only, no-advice tone (the figures above carry their own, usually fresher, 'as of' date). It's information, never a recommendation.