After Hitting a New 52-Week High, Has Starbucks' Stock Gotten Too Expensive?
Starbucks (NASDAQ: SBUX) has one of the most iconic consumer brands in the world. Its premium-priced coffee has enabled the business to experience strong profit growth over the years. However, it has experienced a slowdown in its growth recently amid worsening global economic conditions. Last year, it brought on CEO Brian Niccol from Chipotle Mexican Grill, in an effort to turn things around.Even though those efforts are in their early stages, the stock has been doing well since then. It rallied more than 20% in the past six months, hitting a new 52-week high of $117.46 last week. Could this be the start of even larger gains to come for Starbucks stock, or should investors be concerned that it may be approaching a peak?Starbucks brought on Niccol in the hopes that he could get Starbucks' business back on the right path. Slowing sales numbers have been a concern for investors, and that remains an issue today.Continue reading
Starbucks (NASDAQ: SBUX) has one of the most iconic consumer brands in the world. Its premium-priced coffee has enabled the business to experience strong profit growth over the years. However, it has experienced a slowdown in its growth recently amid worsening global economic conditions. Last year, it brought on CEO Brian Niccol from Chipotle Mexican Grill, in an effort to turn things around.
Even though those efforts are in their early stages, the stock has been doing well since then. It rallied more than 20% in the past six months, hitting a new 52-week high of $117.46 last week. Could this be the start of even larger gains to come for Starbucks stock, or should investors be concerned that it may be approaching a peak?
Starbucks brought on Niccol in the hopes that he could get Starbucks' business back on the right path. Slowing sales numbers have been a concern for investors, and that remains an issue today.
