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Motley Fool Hidden Gems Investing

Starbucks Targets 12 Cups of Coffee

Motley Fool Hidden Gems Investing

The Motley Fool

Investing, Business

4.33.1K Ratings

🗓️ 2 August 2023

⏱️ 30 minutes

🧾️ Download transcript

Summary

China was the star of Starbucks’ earnings report. Can the company convince consumers to drink more than a dozen cups of coffee annually to keep fueling growth? (00:21) Asit Sharma and Dylan Lewis discuss: - Starbucks’ slowing growth in the U.S. and torrid growth in China. - Why investors need to be patient with Pinterest. - How AI and lagging PC sales trends are affecting AMD.  (15:14) Deidre Woollard caught up with Yasser El-Shimy for a look at Saab – a company that you think does one thing, but really should be on your radar for something else..  Companies discussed: SBUX, PINS, AMD, SAABY Host: Dylan Lewis Guests: Asit Sharma, Deidre Woollard, Yasser El-Shimy Engineers: Dan Boyd  Learn more about your ad choices. Visit megaphone.fm/adchoices

Transcript

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0:00.0

Starbuck Sores in China and AI isn't showing up for AMD quite yet.

0:09.6

Motleyful Money starts now.

0:11.8

I'm Dylan Lewis and I'm joined over the airwaves by Motleyful Analyst, Asset Sharma.

0:25.0

Asset, thanks for joining me.

0:26.8

Dylan, thank you for having me.

0:28.1

Great to be here.

0:29.2

Yeah, the beat is on for earning season, at least for some companies.

0:33.4

And so we are going to be spending most of our time

0:35.3

diving through company results.

0:36.7

We've got updates on Starbuck's Pinterest and AMD.

0:40.7

Asset, let's kick off with Starbuck's company's same store sales

0:45.2

through 10%.

0:46.5

Double digit growth seems impressive for a company in the size,

0:49.5

but it was below expectations.

0:52.1

And it seemed like looking at the results for this company,

0:54.7

North America was starting to weigh a little bit on the results.

0:59.3

Yes, and no, Dylan, weighing on results in terms of expectations that the market has,

1:04.5

but I read this report with a lot of good takeaways that impress me.

1:10.9

First, they were able to generate 7% comparable sales growth.

1:15.0

Now, I know that's under what analysts were expecting,

1:17.7

but when you think about how big and how penetrated Starbuck is in North America,

1:22.3

that's still a pretty decent result.

...

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