A Business at a Glance
0 of 5 daily views used (5 remaining). Sign up free for 10 daily views, or try AAPL for a full preview.
Item 1. Business In this Annual Report on Form 10-K (“10-K” or “Report”) for the fiscal year ended September 28, 2025 (“fiscal 2025”), Starbucks Corporation (together with its subsidiaries) is referred to as “Starbucks,” the “Company,” “we,” “us,” or “our.” Starbucks is the premier roaster, marketer, and retailer of specialty coffee in the world, operating in 89 markets. Formed in 1985, Starbucks Corporation’s common stock trades on the Nasdaq Global Select Market (“Nasdaq”) under the symbol “SBUX.” We purchase and roast high-quality coffees that we sell, along with handcrafted coffee, tea, and other beverages and a variety of high-quality food items through company-operated stores (“stores” or “coffeehouses”). We also sell a variety of coffee and tea products and license our trademarks through other channels, such as licensed stores as well as grocery and foodservice through our Global Coffee Alliance with Nestlé S.A. (“Nestlé”).
| Metric | TTM | FY2025 | FY2024 | FY2023 | FY2022 | FY2021 |
|---|---|---|---|---|---|---|
| Revenue | 37.7B | 37.2B | 36.2B | 36.0B | 32.3B | 29.1B |
| Net Income | 1.4B | 1.9B | 3.8B | 4.1B | 3.3B | 4.2B |
| EPS | $1.20 | $1.63 | $3.31 | $3.58 | $2.83 | $3.54 |
| Free Cash Flow | 2.3B | 2.4B | 3.3B | 3.7B | 2.6B | 4.5B |
| ROIC | 29.4% | 19.4% | 25.5% | 35.4% | 30.1% | 32.7% |
| Gross Margin | 68.1% | 68.6% | 69.1% | 68.3% | 68.0% | 69.9% |
| Debt/Equity | 0.00 | -3.47 | -3.63 | -3.08 | -2.73 | -4.44 |
| Dividends/Share | $2.44 | $2.45 | $2.32 | $2.16 | $2.00 | $2.29 |
| Operating Income | 2.7B | 2.9B | 5.4B | 5.9B | 4.6B | 4.9B |
| Operating Margin | 7.2% | 7.9% | 15.0% | 16.3% | 14.3% | 16.8% |
| ROE | 0.0% | -23.9% | -50.5% | -51.6% | -37.7% | -78.9% |
| Shares Outstanding | 1,139M | 1,139M | 1,136M | 1,152M | 1,160M | 1,186M |
STARBUCKS CORP passes 5 of 9 quality checks, suggesting mixed fundamentals.
STARBUCKS CORP trades at 81.2x trailing earnings, compared to its 15-year median P/E of 27.2x, suggesting it is currently Expensive relative to its historical range. On a free-cash-flow basis, the stock trades at 47.5x vs a median of 26.8x. The company's 5-year average ROIC is 28.6% with a gross margin of 68.8%. Total shareholder yield (dividends) is 2.5%. At current prices, the estimated annualized return to fair value is +7.2%.
STARBUCKS CORP (SBUX) has a current P/E ratio of 81.2, compared to its historical median P/E of 27.2. The stock is currently considered Expensive based on its historical valuation range.
STARBUCKS CORP (SBUX) has a 5-year average return on invested capital (ROIC) of 28.6%. This indicates strong capital allocation and a potential competitive advantage.
STARBUCKS CORP (SBUX) has a market capitalization of $111.1B. It is classified as a large-cap stock.
Yes, STARBUCKS CORP (SBUX) pays a dividend with a trailing twelve-month yield of 2.51%.
Based on historical P/E analysis, STARBUCKS CORP (SBUX) appears expensive. The current P/E of 81.2 is 198% above its historical median of 27.2. The estimated fair value CAGR (P/E method) is 9.5%.
STARBUCKS CORP (SBUX) operates in the Retail-Eating & Drinking Places industry, within the Consumer Cyclical sector.
STARBUCKS CORP (SBUX) reported annual revenue of $37.2 billion in its most recent fiscal year, based on SEC EDGAR filings.
STARBUCKS CORP (SBUX) has a net profit margin of 5.0%. This is a modest margin.
STARBUCKS CORP (SBUX) generated $2.4 billion in free cash flow in its most recent fiscal year. Positive free cash flow supports dividends, buybacks, and debt reduction.
STARBUCKS CORP (SBUX) reported earnings per share (EPS) of $1.63 in its most recent fiscal year.
STARBUCKS CORP (SBUX) has a return on equity (ROE) of -23.9%. A negative ROE may indicate losses or negative equity.
STARBUCKS CORP (SBUX) has a 5-year average gross margin of 68.8%. This high margin suggests strong pricing power and a potential competitive moat.
The Ledger Terminal provides 19 years of financial data for STARBUCKS CORP (SBUX), sourced directly from SEC EDGAR filings. This includes income statements, balance sheets, cash flow statements, and key financial ratios.
STARBUCKS CORP (SBUX) has a book value per share of $-7.11, based on its most recent annual SEC filing.