5 Best Dividend-Paying Beverage Stocks to Buy Now

3. Starbucks Corporation (NASDAQ:SBUX)

Number of Hedge Fund Holders: 65

Dividend Yield as of May 26: 2.46%

Starbucks Corporation (NASDAQ:SBUX) is a roaster, marketer, and retailer of specialty coffee globally. The company has more than 29,000 retail stores in 78 markets worldwide.

Starbucks Corporation (NASDAQ:SBUX) is facing an intense backlash in South Korea after the company launched its “Tank Day” campaign on May 18. However, the day also marked the anniversary of the Gwangju Uprising crackdown, in which hundreds of pro-democracy activists were killed or injured by troops, tanks, and helicopters in 1980. This led to many people feeling that the “tank” motif mocked those who died for the country’s pro-democracy movement, sparking calls to boycott Starbucks Korea and even prompting a harsh rebuke from President Lee Jae Myung.

As a result, the marketing campaign was withdrawn, and Starbucks even issued a public apology. Moreover, the company removed all five employees involved in the campaign and even axed the head of Starbucks Korea. Although there has been no conclusive evidence of intentional wrongdoing, the company is now suffering a “very significant” drop in sales in the country, and the incident has exposed serious flaws in Starbucks Korea’s risk management framework.