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$17.05 0.98 (6.08%)
5/16/2008 4:00 PM

Starbucks Corp (SBUX)

CAPS Rating:
**

Purchases and roasts high-quality whole bean coffees and sells them, along with fresh, rich-brewed coffees, Italian-style espresso beverages, cold blended beverages, coffee-related accessories and equipment primarily through its operated retail stores.

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Avatar OrigamiDuck (40.37) Submitted: 5/09/08 2:31 AM : Underperform Start Price: $15.78 SBUX Score: -4.95

I believe that Starbucks wil hold relatively steady where it is at for the next two to four years. I do believe that it has hit its bottom, but I don't think it will see much gain. Overseas expansion won't help a lot because of the cultural differences. Those countries that are "coffee drinking countries" have their own favorites and Starbucks can't make much inroads into those that are not coffee drinking countries unless they can actually make a cultural shift. Basically I'm saying that in the next 2-4 years the bulk of their overseas customers will be American tourists that want a known quality of coffee, and with the loss in the dollar against foreign currency that market is not growing at the moment.

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