A look into the future with starbucksI avoid making calls far into the future but the case with Starbucks is different. A company with nothing more to show for its success than mediocre overpriced coffee and the hype surrounding it.
"Really, what is so great about Starbucks?"-- a question we have all asked people around us.
A look into their 10Q and 10K reports will tell you the answer to it.
Even though according to average analysts who tend to focus on PE ratios and jump to the conclusion saying it's below its implied price and hence a great opportunity to buy, i want to ask them, why? A stock's current price can rarely ever predict its future price. If it was so easy, this would've been the only profession to exist.
According to me, Starbucks has lost all its hype. The brand which became known due to the Millenial and Gen Z generations hyping it, will be the reason for its downfall.
Starbucks reminds me of Nokia. Something's just die as quickly as it grows. Three years, or less. That's my timeline. I'll be here again.
