It will be very interesting to observe how Starbucks' Verismo sales impacted Keurig sales. We don’t have to wait for much longer now before Green Mountain trading results are announced on Feb. 6.
Starbucks has to do well in many directions in order to sustain growth, and it is important to watch out for competitors like Dunkin Brands Group Inc (NASDAQ:DNKN), which is expanding its presence in Southern California and looks like it's sticking to the plan of expanding in the U.S. The share price of Dunkin Brands has recently been upgraded by Argus from $38 to $42, and Argus currently has a “buy” rating for the stock. Dunkin might not be a threat, but will still be taking away market share from Starbucks.
Starbucks recently acquired Teavana Holdings, Inc. (NYSE:TEA). Coffee is not the only interest anymore, but there is a desire out there to be a global leader in tea. It's possible that Strabucks is over-stretching slightly by trying to enter new areas of business, expanding and buying other companies, but this is the only way it can achieve future growth and show strong results. Hopefully all these efforts will pay off, but for now Starbucks remains strong and yet again delivers.
The article Starbucks – Still Strong, Still Delivers originally appeared on Fool.com and is written by Serge Kozjakov.
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