Why Starbucks Is Poised to Keep Surging

Updated
Why Starbucks Is Poised to Keep Surging

Based on the aggregated intelligence of 180,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, specialty coffee retailer Starbucks has earned a respected four-star ranking.

With that in mind, let's take a closer look at Starbucks and see what CAPS investors are saying about the stock right now.

Starbucks facts

Headquarters

Seattle (1985)

Market Cap

$55.2 billion

Industry

Restaurants

Trailing-12-Month Revenue

$14.5 billion

Management

Founder/Chairman/CEO Howard Schultz

CFO Troy Alstead

Return on Equity (average, past 3 years)

28.9%

Cash/Debt

$2.0 billion / $549.7 million

Divided Yield

1.1%

Competitors


Sources: S&P Capital IQ and Motley Fool CAPS.

On CAPS, 81% of the 8,388 members who have rated Starbucks believe the stock will outperform the S&P 500 going forward.

Just last month, one of those Fools, Rivalsjp, succinctly summed up the Starbucks bull case for our community:

Arguably the greatest CEO in the world (certainly top 5) leading this juggernaut. Outside of a global recession I don't see much slowing this one down. Their ability to evolve, not only their core products, but also technologically is astounding. They are one of the best employers to work for and have low turnover given their industry.

If you want market-thumping returns, you need to put together the best portfolio you can. Of course, despite a strong four-star rating, Starbucks may not be your top choice.

The retail space is in the midst of the biggest paradigm shift since mail order took off at the turn of last century. Only those most forward-looking and capable companies will survive, and they'll handsomely reward those investors who understand the landscape. You can read about the three companies ready to rule retail in The Motley Fool's special report. Uncovering these top picks is free today; just click here to read more.

The article Why Starbucks Is Poised to Keep Surging originally appeared on Fool.com.

Fool contributor Brian Pacampara has no position in any stocks mentioned. The Motley Fool recommends McDonald's and Starbucks. The Motley Fool owns shares of McDonald's and Starbucks. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.

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