Stock Pick of the Week – Starbucks (SBUX)
Starbucks was down, they were accused of being bloated and out of touch, to big for their own good. Now they are back. They have shown the ability to adapt and rethink their brand in order to stay competitive. For this reason Starbucks is my stock pick of the week.
1) Starbucks is doing well in the recession, even with heavy competition from new premium coffee retailer (and mediocre burger joint) McDonalds. * Should Starbucks sell burgers? Just a thought… *
2) Their new instant coffee product Via (which I reviewed here) will give them a foothold in the $21 billion (Article has been removed) worldwide instant coffee market.
3) Everyone needs coffee, or at least those of us addicted to caffeine. Unlike “big tobacco“, “big caffeine” has an addictive product the government is not likely to crack down on. I wonder if Howard Schultz would admit that caffeine is addictive?
With a per share price beneath $20.00 Starbucks is a great buy right now. So buy it, and get a latte while your at it.
- I’m not a financial adviser, nor do I work for the company mentioned above. Don’t buy things just because I tell you too. Do your own research and then make a decision on stock purchases.



