Starbucks CorporationSBUX
NasdaqGS•Consumer Cyclical•Restaurants
Starbucks Corporation, together with its subsidiaries, operates as a roaster, marketer, and retailer of coffee internationally. The company operates through three segments: North America, International, and Channel Development. Its stores offer coffee, tea, and other beverages, roasted whole beans and ground coffees, complementary food, packaged coffees, single-serve products, and ready-to-drink beverages; and various food products, such as pastries, breakfast sandwiches, and lunch items. The company also licenses its trademarks through licensed stores, and grocery and foodservice accounts. The company offers its products under the Starbucks Coffee, Teavana, Seattle's Best Coffee, Ethos, and Starbucks Reserve brands. Starbucks Corporation was founded in 1971 and is based in Seattle, Washington.
Starbucks Corporation (SBUX) reported trailing twelve months revenue of $38.47B as of March 2026, a 5.8% increase year-over-year. Quarterly revenue reached $9.53B, reflecting continued top-line momentum.
Starbucks Corporation generated $1.50B in TTM net income, with quarterly EBITDA of $1.22B. The operating margin expanded from 6.9% to 8.7%, suggesting improving cost efficiency and pricing discipline.
The spread between operating margin (8.7%) and net margin (5.4%) indicates tight cost control with minimal non-operating drag. Net margin has improved from 4.4% a year ago, signaling stronger bottom-line efficiency.
SBUX trades at a P/E of 66.1x (a premium multiple) and a P/S of 2.6x.
The company generated $91.80M in free cash flow over the trailing twelve months, a 130.9% increase year-over-year, indicating cash generation ability. The balance sheet shows $30.56B in total assets with $13.08B in long-term debt against $-8.47B in stockholders equity. Data based on the most recent quarterly reports.
Competitive analysis based on 21 quarters of fundamental data
Operating margins are positive at ~10.0% on average, but show some variability — pricing power may be sensitive to market conditions.
Limited ROE data for a reliable assessment.
7 of the last 8 quarters generated positive FCF. The company generally funds itself but has occasional cash consumption quarters.
Revenue shows resilience with 5 of 7 quarters posting growth — demand is generally stable but has seen some soft patches.
Data-driven red flags and warnings across 21 quarters
Operating margins dropped 38.9% over recent quarters — a sharp decline suggesting serious cost or pricing challenges.
FCF covers net income by 1.9x on average — earnings are well-supported by cash generation.
Limited debt-to-equity data available.
Revenue is stable or growing over recent quarters — demand appears durable.
Free cash flow is consistently positive — the business self-funds without external capital reliance.
Share count is stable — no significant dilution or buyback activity.
Quarterly standardized metrics.
Stock price and market valuation
Revenue and earnings growth across quarters
Assets, cash, debt, and leverage
Price multiples and return ratios
Operating efficiency and return metrics
Free cash flow, earnings quality, and capital allocation