Starbucks Corporation (SBUX): Betting Against CEO Niccol “Is A Huge” Mistake, Says Jim Cramer

We recently published 14 Stocks Jim Cramer Discussed As He Talked About Record Bitcoin Price. Starbucks Corporation (NASDAQ:SBUX) is one of the stocks Jim Cramer recently discussed.

Starbucks Corporation (NASDAQ:SBUX) is a well-known American coffee chain that has embarked on a turnaround strategy under its CEO, Brian Niccol. The shares have gained 2.5% year-to-date as they are yet to recover from a 19.8% drop in April after President Trump’s Liberation Day tariff announcements. Despite investor wariness about the stock, Cramer continues to remain a fan as he is a strong believer in Niccol. In his recent remarks, he discussed share price movements and cautioned against going against the CEO:

“Remember when he came on, and the stock went to 75 then 71 and people didn’t believe Brian Niccol? I mean, Brian Niccol, who turned around Chipotle and made it one of the greatest countries on Earth? Betting against him is a huge mistake, and many people were.”

The CNBC host had discussed Niccol in his previous remarks as well:

“What Starbucks? Meeting with Brian Niccols, one of the firms met with him and I think that there are a lot of people who doubt Brian. I think why don’t I send those people an invitation to their own funeral? Barclays, 98 goes to 108, fundamental metrics.

A barista pouring freshly brewed coffee from an espresso machine to a cup in a bustling cafe.

“[On reporting surrounding a possible China sale] Okay so Brian told me. . .you once explained to me about how it works. That there is a lot of firms that will hire. . .whatever and say hey listen I’m exiting the Chinese business. Next thing you know you got a dialogue. And next thing you know, you hear about talks. Remember how you taught me that? That’s what this is. It’s like some people are saying hey listen I’m ready to buy. What Brian was I think kind of stunned by is that so many companies wanted.

“[On whether that would motivate him to sell] I know this sounds rare in this world, Brian will do what’s right. If he thinks that that’s a good thing, he will sell it. He has no agenda on this. He just wants to make a lot of money for shareholders. His main thing was the four minute Starbucks. He’s got it down. No one’s talking about this. It’s the most important thing he’s done. The throughput. He has it so that the time between order and cup, four minutes. People said that it couldn’t be done. People said it couldn’t be done with this labor force. I am so all in Brian Niccol. That he is, Brian Niccol is to coffee, as Jensen Huang is to semis.”

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Disclosure: None. This article is originally published at Insider Monkey.