Jim Kramer here to share with you a sample of my take on the market from today's

CNBC Investing Club warning meeting.

Why don't we talk Starbucks.

They reported last night.

It was a miss, comparable sales, earnings per share, a big miss.

Disappointing, but the reaction today was down, you know,

call it 10% at one point. So it's come off slightly off the low. This is Brian Nicol. Okay,

he said nothing that indicates to me that this turnaround isn't on track. He just got his

team. It's one month. Every single Starbucks that he touches, everyone is now showing good comp numbers. The China numbers are much better than expected. The China's flat. And what does he say? He goes, I know I'm doing badly. Come on. It's not ready. I mean, I don't get a quote. I don't know if you heard the interview, but the gist of the interview was, look, I'm doing my best. It's very tough. They overspent on technology and they underspent on staff, and I got to reverse that.

Yeah, that was one of the big notable things from the call is that they are investing more in OPEX, labor versus CAPEX, equipment, and that's going to pressure earnings. He said earnings, maybe not the best indicator of the recovery. And I think there's some truth to that. But he did say, when I interviewed him, he said, look, come on, Jim, I know growth is the, we have to have growth. Absolutely. And it seems like they have found something with this new mobile, this new order sequencing

algorithm.

Yes, and how about the loyalty program?

Which he missed was a bad, just coupon loyalty program.

This is going to be much better.

But with that sequencing, in their test locations, the average cafe wait times dropped

by an average at two minutes.

So you have three-fourths of cafe orders under that four minute at peak.

That's just called right coffee in four minutes or

less. So, an international, by the way, eight of the top ten international markets return to flat

comp or comp or so. This is him. I mean, he, look, he owns it, all right? I think that when I asked

him about whether you should own the stock, his reaction was very clear.

Absolutely.

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