AIEQ0.050%
as of Oct 26
SBUX
GrowthSTARBUCKS CORP
Starbucks Corporation, together with its subsidiaries, operates as a roaster, marketer, and retailer of coffee internationally. The company operates through three segments: North America, International, and Channel Development. Its stores offer coffee, tea, and other beverages, roasted whole beans and ground coffees, complementary food, packaged coffees, single-serve products, and ready-to-drink beverages; and various food products, such as pastries, breakfast sandwiches, and lunch items.
Close · 3M
-3.32%
Held by 1 AI ETF
Signal performance
Each tracked ETF's moves on this stock, grouped by fund. Returns are measured from the signal date to the latest close — hypothetical, no commissions or slippage.
Buy signals2
Win rate50% (1/2)
Avg buy return+1.87%
AIEQ · New entry · 1d
weight 0 → 0.050% (new)·stock down 8.5% in the 30 days before
Oct 1·entry $94.88·now $100.80Drifting
+6.24%
since Oct 1
AIEQ · Exit · 1d
weight 0.050% → 0 (exited)·stock up 1.8% in the 30 days before
Aug 2·entry $103.37·now $100.80
-2.49%
since Aug 2
AIEQ · New entry · 1d
weight 0 → 0.050% (new)·stock up 7.1% in the 30 days before
Jul 1·entry $103.39·now $100.80Fresh
-2.51%
since Jul 1
AIEQ · Exit · 1d
weight 0.200% → 0 (exited)·stock down 6.0% in the 30 days before
May 30·entry $96.51·now $100.80
+4.45%
since May 30
Sell signals show what the stock did after the AI exited. A negative number means the AI's exit was well-timed.
Buffett-style framework
Fails the frameworkas of May 31
AI ETF AIEQ recently exited its position in Starbucks, a move that aligns with this framework's 'Fail' verdict primarily due to the lack of a margin of safety and insufficient financial health data. Conversely, QRFT maintains a small holding, suggesting a different investment thesis that tolerates the current valuation or factors in other growth aspects not central to a strict value-investing approach.
- Circle of CompetenceStarbucks' business of selling coffee and related products through a global retail footprint presents unit economics stable enough for reasonable long-term cash flow projections.
- Economic MoatStarbucks benefits from a powerful global brand and significant scale advantages in sourcing and distribution, creating a durable economic moat.
- ManagementSpecific data on management candor, capital allocation track record (beyond general operations), and 'skin in the game' is not provided, preventing a definitive assessment of this criterion.
- Financial HealthWhile the most recent ROE of 115.68% is exceptionally high, the lack of 10-year average ROE, operating margin trends, debt details, and owner earnings data prevents a comprehensive assessment of financial health according to the framework's criteria.
- Margin of SafetyWith a PER of 75.56, PBR of 64.12, and EV/EBITDA of 58.71, the current market price reflects a very optimistic future, offering no discernible margin of safety to a conservative estimate of intrinsic value.
While Starbucks operates within a predictable circle of competence and possesses a strong brand-driven economic moat, the absence of comprehensive financial data to confirm long-term health metrics like consistent ROE, combined with a significantly elevated valuation that offers no margin of safety, leads to an overall 'Fail' verdict. The business quality aspects are appealing, but the financial metrics and current price fall short of the demanding value investing criteria.
Educational interpretation generated by AI applying frameworks Warren Buffett documented in his shareholder letters and other public writings. Not a statement by Mr. Buffett or Berkshire Hathaway, and not investment advice.