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.
Price ÷ Earnings Per Share — how many years of current earnings you're paying for at today's price. Lower P/E may indicate undervaluation. The dashed forward point is the forward P/E — today's price ÷ analyst consensus EPS. Shaded region = analyst consensus for the current and next fiscal year (32 analysts).
| Parameter | BaseValue |
|---|---|
Initial Cash Flow | |
| Growth Rate (Yr 1-5) | % |
| Growth Rate (Yr 6-10) | % |
| Terminal Growth Rate | % |
| Discount Rate | % |
Base Case $81.80 Implied EV: $115.94B |
Requires positive FCF to compute implied growth rate.
Wide moat driven primarily by roic consistency. Margin Stability is the area most vulnerable to competitive pressure.
"Market is pricing this stock without strong emotion in either direction"
Price appears to exceed estimated intrinsic value — limited margin of safety at current levels
