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With the upswing in inflation and the massive job losses that we are seeing, Starbucks is going to pay the price.  I've decided that I'm going to short them for the long run.  Just go to your local Starbucks and notice how few people are dropping in. 

Also, the upper management at Starbucks don't have a clue.  When they first came on the scene they were cool.  No people go because they remember when it was good.  With the rise of inflation, the incompetent management, and the general pullback on cash in the pocket of consumers Starbucks is going to take a big dump in its value.  Just

Starbucks has developed too many stores in the recent years.  They have recently scaled back and shut down many stores.  With the inflation we will be experiencing and the loss of jobs, Starbucks patrons will not be driviing to get coffee as much and this is going to hurt them in a big way.

Filed under: International markets, Starbucks (SBUX), Newsletters, Stocks to Buy

"I've spotted an excellent opportunity to cash in on the turnaround of one of America's most visible companies -- Starbucks (NASDAQ: SBUX)," says Jim Stanton.

The quantitative analyst and contributing editor to Xcelerated Profits Report explains, "I've had my eye on a number of retail stocks for some time now, looking for signs of a potential turnaround, and Starbucks is now high on my list."

"One of the main reasons for the slide in SBUX shares from its high of $40 in November 2006 was the overly aggressive expan

"I’ve spotted an excellent opportunity to cash in on the turnaround of one of America’s most visible companies -- Starbucks (NASDAQ: SBUX)," says Jim Stanton.

The quantitative analyst and contributing editor to Xcelerated Profits Report explains, "I’ve had my eye on a number of retail stocks for some time now, looking for signs of a potential turnaround, and Starbucks is now high on my lis."

"One of the main reasons for the slide in SBUX shares from its high of $40 in November 2006 was the overly aggressive expansion plan.

"And as food and dairy prices have soared, this has led to higher oper

Starbucks (Nasdaq: SBUX) is probably not the first company that comes to mind when thinking of a value play. As discussed here, small-caps usually offer the best opportunities when it comes to finding stocks trading at discounts to their intrinsic values. With a market cap north of $11B and a large analyst following, one could argue that for Starbucks there is little room for market inefficiency. However, the recent challenges facing Starbucks in today’s weakened economy have likely caused its share price to be unjustifiably over-punished by the markets.

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SBUX has experienced significant correction and is establishing a bottom in the $15 area.  Company is taking significant steps to reduce expenses, "cut the fat" and excess overhead, close non-producing locations, reduce administrative staff, etc.  Although one should not expect the rapid growth the company experienced the last few years, there should be significant increase in earnings from both the "belt-tightening"  and from new products and services that are being introduced.  Company also stands to profit from the burst of the oil speculation bubble and the resulting drop in fuel price

Starbucks (SBUX) is too expensive and not just the coffee but the stock itself. The stock reached a new 52 week low today as the market sold off during the morning and has rebounded some. But the price to earnings of the stock is still too expensive for the limited revenue growth and the declining earnings the company is now experiencing.

BusinessWeek Rankings

BusinessWeek 50

2008   #16

2007   #28

Filed under: Forecasts, Consumer experience, Competitive strategy, Starbucks (SBUX), McDonald's (MCD), Stocks to Buy

I'll admit the headline is a bit deceptive. On one hand McDonald's (NYSE: MCD) has seen a resurgence in its business and frankly, the shares have done very well. In fact since McDonald's went through its own set of problems five years ago, the stock has since tripled in value.

The parallels between Starbucks (NASDAQ: SBUX) and McDonald's are very eerie. Starbucks has hit the proverbial wall after a successful ride from 1992 to 2007 as one of the premier GameChanger stocks aroun

Recap of CNBC's Fast Money, Monday June 16. Click on a stock ticker for more analysis.
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Gassing Up: Chesapeake (CHK), AMR (AMR)

The Dow finished lower on worries about the economy, but Najarian pointed out volatility is also lower, thanks to the drop in oil prices. However, oil initially rose to a record high of $139 before it fell on the news that Saudi Arabia will beef up production. Joe Terranova said everything points to Friday, when the contracts come off the front of the board. However, he would buy natural gas. Najarian is bullish on CHK and AMR.

Despite the economic slowdown, or perhaps due to the pressures on beer drinkers from the slowdown, Molson Coors (TAP) reported better than expected sales and earnings for the recent quarter and the stock foamed up over 8%. TAP has been a position of mine for several months, up over 25% before the pop.<!--more--> The stock has appeared cheap relative to earnings and sales, had a nice pattern of improving earnings estimates from Wall Street and few short sellers willing to bet against it - and the news proved they were right to be cautious.

Before the Coors -Molson merger, Co