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Starbucks: Can Cheap Coffee Counter The Hitting Of Maturity In The Business Cycle?


Starbucks (NASDAQ:SBUX) is the largest coffee chain in the U.S. and has shops all over the world. This causes it to be one of the largest purchasers of coffee in the world. As this is one of their primary costs, their bottom line can greatly benefit from depressed coffee prices. Different factors, especially foreign exchange rates, have reduced the price of coffee to some of the lowest lows of the last five years. This should be a positive for Starbucks, but their stock is still struggling.

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