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Why Shares of Starbucks are Down Today

Gold Investment Experts by Gold Investment Experts
in Foreign Silver Coins
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What’s taking place

Shares of Starbucks (NASDAQ: SBUX) opened sharply decrease on Thursday, as rising considerations concerning the results of the novel coronavirus pandemic on companies and the financial system drove a broad-based market sell-off.

As of 11 a.m. EDT, Starbucks shares have been down about 7% from Wednesday’s closing value.

So what

Like nearly each enterprise with a retail presence, Starbucks is uncovered to the rising probability that buyer foot visitors will decline sharply as folks keep residence to attempt to sluggish the unfold of COVID-19. 

3 iced drinks in plastic cups with the Starbucks logo.

Picture supply: Starbucks.

To its credit score, Starbucks has moved shortly to attempt to answer virus-related considerations:

  • For purchasers, CEO Kevin Johnson mentioned the corporate will implement protective measures at its shops on a store-by-store foundation as wanted. These may embrace eradicating tables to extend distances between patrons, increasing cellular order-and-pay capabilities, and if needed, changing some shops to drive-through-only stations.
  • For workers, there is a new “catastrophe pay” provision, underneath which staff recognized with COVID-19 will get 14 days to “self-quarantine” at full pay, whereas these exhibiting signs will get three paid days of paid depart after a 24-hour self-quarantine.

Now what

For Starbucks buyers, the factor to do now could be to observe and wait. The corporate appears to have executed what it could possibly to be prepared for a fast-growing pandemic; the query is, how lengthy will it final? 

10 shares we like higher than Starbucks
When investing geniuses David and Tom Gardner have a inventory tip, it could possibly pay to pay attention. In spite of everything, the e-newsletter they’ve run for over a decade, Motley Idiot Inventory Advisor, has tripled the market.*

David and Tom simply revealed what they consider are the ten best stocks for buyers to purchase proper now… and Starbucks wasn’t one in every of them! That is proper — they assume these 10 shares are even higher buys.

See the 10 stocks

 

*Inventory Advisor returns as of December 1, 2019

 

John Rosevear owns shares of Starbucks. The Motley Idiot owns shares of and recommends Starbucks. The Motley Idiot has a disclosure policy.

The views and opinions expressed herein are the views and opinions of the writer and don’t essentially mirror these of Nasdaq, Inc.



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