WING - Starbucks (SBUX) Down 11% in a Year: Can It Revive in 2024? | Benzinga
Shares of Starbucks Corporation (NASDAQ: SBUX) have declined 10.7% in the past year against the industry's 7.7% growth. The company's performance is likely to have been hurt by ongoing inflationary pressure. Its ingredients are witnessing a price hike in the last few quarters.
However, the Zacks Rank #3 (Hold) company's sales and earnings in fiscal 2024 are likely to witness a gain of 10% and 17%, respectively. In the past 60 days, earnings estimates for fiscal 2024 have witnessed an upward revision of 0.7% to $4.14 per share.
Let's delve into the factors likely to drive SBUX's performance in 2024.
Growth Drivers
Starbucks is likely to benefit from expansion efforts. In fiscal 2019, 2020, 2021 and 2022, it added 1,900, 1,400, 1,173 and 1,120 net new stores, respectively. In the first, second, third and fourth quarters of fiscal 2023, Starbucks opened 459, 464, 588 and 816 net new stores worldwide, respectively. This resulted in 2,327 net new stores in fiscal 2023, bringing the total global store count to a record of 38,038 stores.
For fiscal 2024, SBUX expects store count in the United States ...