Starbucks Is Still Working on That Rebound
Starbucks (NASDAQ: SBUX) investors had some big concerns heading into the company's fiscal 2022 third-quarter earnings update (for the quarter ending July 3). The coffee giant has been losing market share to rivals like McDonald's (NYSE: MCD) as consumer preferences shift toward drive-thru and on-the-go ordering. Starbucks' value proposition has traditionally stressed the in-store experience, making it hard to see how the company can thrive in this new selling environment.
The chain's early August earnings update didn't erase those concerns. Customer traffic is still weak in the core U.S. market and plunging in China. But stabilizing sales trends suggest it might not be long before Starbucks returns to a more offense-oriented growth posture.
Let's dive right in.
Source Fool.com
