A Starbucks Cafe? Expanding Beyond Coffee
Starbucks (NASDAQ:SBUX) announced on Monday that it plans to offer “wine, beer and premium food offerings” in additional locations beyond the Pacific Northwest, where those innovations are already successfully in place. A similar announcement in November disclosed that the company is planning the create a major juice brand.
“As our customers transition from work to home, many are looking for a warm and inviting place to unwind and connect with the people they care about,” said Turner. “At select stores where it is relevant for the neighborhood, we are focused on creating an atmosphere where our customers can relax with a friend, a small bite to eat and a cup of coffee or glass of wine.”
At this time, the evening day-part concept is only focused on Atlanta, the Chicago area, Southern California, and the Pacific Northwest.
Here’s how shares are reacting to the news:
Starbucks Corp. (NASDAQ:SBUX): SBUX shares recently traded at $47.33, down $0.82, or 1.7%. They have traded in a 52-week range of $30.75 to $48.39. Volume today was 6,179,636 shares versus a 3-month average volume of 5,682,880 shares. The company’s trailing P/E is 29.22, while trailing earnings are $1.62 per share.