Starbucks Corp (NASDAQ:SBUX) Earnings Model
Author: Kelly Patrick Published: August 1, 2023
Thoughts From the Model Developer...
I expect Starbucks to continue their pro-growth policies which are bullish, however, I do not expect them to launch a new product or service which will have a substantial impact on their business and therefore overall growth and profitability metrics.
I expect Starbucks to continue their pro-growth policies which are bullish, however, I do not expect them to launch a new product or service which will have a substantial impact on their business and therefore overall growth and profitability metrics.
Expected trend growth persisting from last year and prior 2 quarters of current year into the foreseeable future. Expected global sales to persist in line with last year's growth.
Expected inflation pressures to increase revenue, increase COGs and labor expense thereby keeping margins stable.
Starbucks PE ranges from 25 to 35. I chose 30 as it reflects prior year and current year expectations. I do not see multiple expansion for Starbucks in the current environment. If we hear Starbucks initiating a growth curve initiative, I will revise the PE higher based on greater future growth prospects.
| SBUX Model (Kelly Patrick).xlsx |
Disclosure: The author of this article/model has no financial investment or other conflict of interest related to the subject company or other companies discussed. Any views made or implied in the content represent the author’s opinions.